How to account for curreny fluctuation in self-assessment?

[montecristo]

If I work as a sole trader and get paid in USD, and I invoice $100k (£65k) and get paid 3 months later $100k (£80k), do I tell HMRC SAE that my income was £65k or £80k?

I think Quickbooks says £80k (well, £65k plus a currency profit of £15k), but I am not sure.

I do invoice accounting, not cash.

[sgrimshaw]

Your accounts package basically has it right.

[Eric Mc]

Do you show the profit or loss on currency exchange as a separate Profit and Loss expense heading in your accounts - as you are supposed to?

[D7PNY]

Quickbooks is right.

Sale at tax point $100k/£65k

When received = £80k clears your original invoice of £65k and shows an exchange rate gain of £15k which should be shown separately in accounts as said above.

Dave