difference in VAT processing between full purchase cahin and entering/uploading purchase in a JV

[robert]

Say I process a purchase of item AAA.

 Enter PO and fetch VAT>>>make purchase receipt, >>> make purchase invoice>>>> make JV.

 The JV only shows full amount paid to supplier inclusive of TAX.

 Believe VAT is processed and put into account head for VAT under invoice. ?? correct??

 However, if I upload a series of payments like electricity I have to put the VAT in the JV, since no purchase invoice exists, and otherwise VAT would not be recorded.

 So, JV resulting from the full processing chain do not contain VAT, but manually entered “purchases” do.

Why there is such an "inconsistency" or do i do something wrong??

Hope this is correct otherwise I do have a problem.

[Nabin Hait]

Hi Robert,

If you are making payment entry directly, you should book VAT in JV itself.

For example, if your electricity bill is $110 (inclusive VAT = $10). Then you should debit $100 against electricity expense and debit $10 against VAT.

Regards,
Nabin Hait

[robert]

Good, than i did it all correct.

 Remains the question about consistency, why a complete puchase/sales chain is treated different with respect to the manually entered vouchers. One would expect that using the chain, VAT, would also show up in the ledger, similar to the manually entered VAT.

rgds robert.

<w:LsdException Locked="false" Priority="69" SemiHidden="f...
Show original