Deferring dues/subscriptions income

Successful processing of dues/subscription deferred income transactions depends on products with a defined deferred income account number. Both cash dues and accrual dues use deferred income, but the time frame for the deferral varies based on the accounting method used. Cash dues defer income when payments are recorded or reversals are processed. Accrual dues defer income at billing time or when recording credit memos and debit adjustments. The beginning period and term period over which the income is recognized coincides with the beginning and ending date of the dues or subscription term.