Hi Jamiew:
I'd say that the way you are recording the out-of-pocket costs is the way that QBO seems to recommend elsewhere (in the Help).
However, as you are a Canadian Corp and not a sole trader, I'd suggest:
- Set up an accounts payable account in your name
- Record your out-of-pocket costs as a Supplier Bill - whether from individual items or from expense reports
- Pay yourself by cheque periodically
This will keep such items out of Equity, instead setting them up as a liability, and will record expense and HST in the appropriate time period.
Hope this helps.
Norman
