Hi, we do retention exactly this way however, when a $10,000 invoice with -$1,000 retention gets paid $9,000, on the income statement it shows we received the full $10,000 when we only received $9,000. Why is that? Now I am wondering if we have been over reporting income all these years and overpaying income taxes. I've tried to look to see if the income statement deducts it elsewhere but it does not.
Please help very urgent matter
