Arrival Entry Supplier Invoice—Key Exercises

IMPORTANT
It is extremely important that you set up and work within your own company and with your own supplier to maintain your data integrity. If you work with any other objects, your exercises will not function as intended and the data of other students might be affected. Predictable exercise results require that your data must be isolated in your own company.

Basic Data Setup

Prepare Company Tax Information for Companies Using Tax Regime Sales Tax

Purpose: The purpose of this exercise is to set up the company data for companies using tax regime Sales Tax for supplier invoices.

Windows:
Company

  1. Open the Company window and query for your company (F3).
  2. Click the Invoice tab and then the Tax Information.  Select Sales Tax as the Tax Regime of the company. 
  3. Click the Address tab and then the Tax Code tab.
  4. Make sure that this window has at least one sales tax code defined for your company's delivery address.

Prepare Supplier Tax Information for Suppliers Using Tax Regime Sales Tax

Purpose: The purpose of this exercise is to set up the supplier for suppliers using tax regime Sales Tax.

Windows:
Supplier

  1. Open the Supplier window.
  2. Query for the supplier used above.
  3. Click the Invoice tab and then  the Tax Information tab. Note the tax regime of the supplier which is defaulted from the company. Make sure that the Tax Code field is empty. This field is only used by companies using Tax Regime VAT and Mixed.
  4. While still in the Invoice tab, make sure that check box Automatic Creation of Default Tax Lines is marked. If cleared, no tax lines will be defaulted to any manual supplier invoice (i.e. an invoice that is not matched with a purchase order or with a sub contract certificate).

Prepare Supplier Tax Information for Suppliers Using Tax Withholding

Purpose: The purpose of this exercise is to set up the supplier for suppliers using tax withholding.

Windows:
Supplier

  1. Open the Supplier window.
  2. Query for the supplier used above.
  3. Click the Invoice tab and then  the Tax Information tab. Note the tax regime of the supplier which is defaulted from the company. Make sure that in the Tax Withholding/Reporting field you select the correct reporting criteria to be used with tax withholding. (Report Income or Report Income/Withhold Tax) Save the information.
  4. Right-click on the tab window and select Tax Withholding/Reporting.
  5. In the Supplier Income Type tab enter information about supplier income types to identify the category of income each invoice line of the supplier represents.
  6. In the Default Tax Withholding Codes tab specify the withholding tax codes to be used with the supplier.
  7. Save the information (F12).

Main Exercises

Arrival Entry Supplier Invoice Using Tax Regime Sales Tax
Preliminary Supplier Invoice Using Tax Regime Sales Tax

Purpose: The purpose of this exercise is to enter and post a supplier invoice using tax regime Sales Tax.

Windows:
Manual Supplier Invoice

  1. Open the Manual Supplier Invoice window.
  2. Create a new record (F5).
  3. Select your sales tax supplier from the List of Values in the Supplier field. Note: All supplier information is filled in automatically.
  4. Enter a new invoice number in the Invoice No field and enter an amount. Note that when you tab further, one line in  the Line Information section of the window will automatically be created. In case you need to enter several lines, go to the Line Information section and create a new record. 
  5. Save the information (F12).

Note :- Tax Line information can be viewed, edited or removed before saving the invoice. Also note that Multiple Tax Line box in the Line Information is checked when more than one tax code exists. 

Tax Lines

Purpose: The purpose of this exercise is to view the Sales Tax lines created.

Windows:
Manual Supplier Invoice

  1. Open Manual Supplier Invoice the window. 
  2. Query for the preliminary invoice you entered in the exercise above.
  3. Click on the Line Information section of the window, right-click and then click Tax Lines.
  4. The Tax Lines dialog box will open. It displays the tax lines that were created for the current invoice line, according to the tax codes defined in Company/Address/Tax Code. You may add, edit, or remove this information.
  5. Save and close the Tax Lines window.

Note: If the supplier is using tax withholding tax codes you can modify the tax withholding lines by right clicking on the invoice line and selecting Tax Lines, Withholding. It will display the withholding tax lines that were created for the current invoice line, according to the information specified in the Supplier/Invoice/Tax Information window. You can add, edit, or remove this information subjected to restrictions in the tax code used. (such as minimum amount of tax to withhold and the amount not subjected to tax withholding)

Basic Data Setup

Prepare Company Tax Information for Companies Using VAT Tax Regime

Purpose: The purpose of this exercise is to set up the company data for using VAT tax regime  for supplier invoices.

Windows:
Company

  1. Open the Company window and query for your company (F3).
  2. Go to the Invoice tab and then the Tax Information.  Select VAT as the Tax Regime of the company.  
  3. Click the Address tab and then the Tax Code tab.
  4. Make sure that there are no tax codes defined for your company on this tab.

Prepare Supplier Tax Information for Suppliers Using VAT Tax Regime

Purpose: The purpose of this exercise is to set up the supplier for using VAT tax regime.

Windows:
Supplier

  1. Open the Supplier window.
  2. Go to the Invoice tab and then to the Tax Information. Select your company and enter a VAT tax code in the Tax Code field.

Main Exercises

Arrival Entry Supplier Invoice Using VAT Tax Regime
 Preliminary Posted Supplier Invoice Without PO Reference or Sub Contract Reference

Purpose: The purpose of this exercise is to create a supplier invoice for a supplier without posting the expenses and without a purchase order reference or a sub contract reference. Note that the same entry can be also made in the Manual Supplier Invoice window by entering the same information.

Windows:
Preliminary Supplier Invoice

  1. Open the Preliminary Supplier Invoice window.
  2. If you want to switch between entering the gross amount and the net amount, right-click in the window and click Swap Net/Gross Amount Entry. 
  3. Create new record (F5).
  4. Select your supplier from the List of Values in the Supplier field.
  5. Enter a new invoice number in the Invoice No field.
  6. Enter an amount in the Gross Amount field.
  7. Save the information (F12).  
  8. Create three more invoices by following steps 2 through 6.

Note: The voucher type and voucher number for your preliminary posted invoices are now displayed. 

Supplier Invoice Entry Using VAT Tax Regime

Purpose: The purpose of this exercise is to enter a supplier invoice using VAT tax regime.

Windows:
Manual Supplier Invoice

  1. Open the Manual Supplier Invoice window.
  2. If you want to switch between entering the gross amount and the net amount, right-click in the window and click Swap Net/Gross Amount Entry. 
  3. Create a new record (F5).
  4. Select your VAT supplier from the List of Values in the Supplier field. Note: All supplier information is filled in automatically.
  5. Enter a new invoice number in the Invoice No field and enter an amount. Note that when you tab further, one line in the Line Information section of the window will automatically be created. In case you need to fill in several lines with for example different VAT codes, go to the Line Information section and create a new record. 
  6. Save the information (F12).

Note: The voucher type and voucher number for your preliminary posted invoices are now displayed in the lower part of the header section. 
If the supplier is using tax withholding tax codes you can modify the tax withholding lines by right clicking on the invoice line and selecting Tax Lines, Withholding. It will display the withholding tax lines that were created for the current invoice line, according to the information specified in the Supplier/Invoice/Tax Information window. You can add, edit, or remove this information subjected to restrictions in the tax code used. (such as minimum amount of tax to withhold and the amount not subjected to tax withholding)

Create Supplier Invoice from an Invoice Template

Supplier Invoice Template

Purpose: The purpose of this exercise is to create a supplier invoice template.

Windows:
Manual Supplier Invoice
Supplier Invoice Template

  1. Open the Manual Supplier Invoice window.
  2. Query for the supplier invoice that you want to create the invoice template from.
  3. Right-click and click Create Invoice Template.
  4. In the Create Supplier Invoice Template dialogue box, enter Template No, Template description, Valid From and Valid To.
  5. Click OK. 

Note: This functionality is only supported for companies using Sales Tax as the tax regime.

Create Supplier Invoice from an Invoice Template

Purpose: The purpose of this exercise is to create a supplier invoice from an invoice template.

Windows:
Manual Supplier Invoice
Supplier Invoice Template

  1. Open the Manual Supplier Invoice window.
  2. Right-click and click Use Invoice Template.
  3. In the Create Supplier Invoice dialogue box, enter Template No, Invoice date and Invoice No.
  4. Click OK.

Note: Date on the header, line information, posting information and right mouse button preposting from the supplier invoice template should be copied exactly over to the supplier invoice entry form with status preliminary. The normal process to post and pay the invoice remains the same.

Note: This functionality is only supported for companies using Sales Tax as the tax regime.

Create Recurring Supplier Invoice

Purpose: The purpose of this exercise is to create a recurring supplier invoice, i.e. a duplicate of an invoice into future periods.

Windows:
Manual Supplier Invoice

  1. Open the Manual Supplier Invoice window.
  2. Query for the invoice you want to create the recurring invoice from.
  3. Right-click and click Create Recurring Invoice.
  4. Select the Month option if you want the invoices to be printed recursively on a monthly basis.
  5. Enter the recursive value in the Recurrence Frequency filed. For e.g., If you have selected month as the Recurrence Pattern and entered 3 as the recurrence frequency then the invoice will be created every three months.
  6. Enter a value for the number of invoices to be created in the Number of Invoices field. For e.g., If you have selected the Month option and the recurrence frequency is 3 ,and the number of invoices to be printed is 4 then, an invoice will be created every third month and the total number of invoices created will equal to 4.
  7. Select the Day option if you want the invoices to be printed recursively on a daily basis and enter the recursive value in the Recurrence Frequency field. For e.g., if the recurrence frequency is set to 3 then an invoice will be printed every third day.
  8. In the Create Supplier Recurring Invoice(s) dialog box, enter a for the First Invoice Date field. This date will be taken automatically as the First Pay Term Base Date. You can change the date give for the First Pay Term Base Date field manually if required.
  9. The Last Invoice Date will be displayed automatically and this date cannot be changed. 
  10. Click OK. A message appears indicating that the invoice was created. The message also specifies the invoice series, invoice number, invoice date, and total number of invoices that were created.

Basic Data Setup

Prepare Company Tax Information for Using Mixed Tax Regime

Purpose: The purpose of this exercise is to set up the company data for using Mixed tax regime  for supplier invoices.

Windows:
Company

  1. Open the Company window and query for your company (F3).
  2. Click the Invoice tab and then the Tax Information.  Select VAT or Mixed  Tax Regime of the company. 
  3. Click the Address tab and then the Tax Code tab.
  4. Make sure that this window has at least one sales tax code defined for your company's delivery address.    

Prepare Supplier Tax Information for Suppliers Using Mixed Tax Regime

Purpose: The purpose of this exercise is to set up the supplier for using Mixed tax regime.

Windows:
Supplier

  1. Open the Supplier window.
  2. Query for the supplier used above.
  3. Click the Invoice tab and then  the Tax Information tab. Select your company and note the tax regime of the supplier which is defaulted from the selected company. If it is VAT, change it to Mixed. Select a VAT tax code in the Tax Code field.
  4. While still in the Invoice tab, make sure that check box Automatic Creation of Default Tax Lines is selected. If not selected, no tax lines will be defaulted to any manual supplier invoice (i.e. an invoice that is not matched with a purchase order or with a sub contract certificate).

Main Exercises

Arrival Entry Supplier Invoice Using Mixed Tax Regime
Preliminary Supplier Invoice Using Mixed Tax Regime

Purpose: The purpose of this exercise is to enter and post a supplier invoice using both Sales Tax and VAT.

Windows:
Manual Supplier Invoice

  1. Open the Manual Supplier Invoice window.
  2. If you want to switch between entering the gross amount and the net amount, right-click in the window and click Swap Net/Gross Amount Entry. 
  3. Create a new record (F5).
  4. Select your supplier from the List of Values in the Supplier field. Note: All supplier information is filled in automatically.
  5. Enter a new invoice number in the Invoice No field and enter an amount. Note that when you tab further, one line in  the Line Information section of the window will automatically be created. In case you need to enter several lines, go to the Line Information section and create a new record. 
  6. Save the information (F12).

Note :- Tax Line information can be viewed, edited or removed before saving the invoice. Also note that Multiple Tax Line box in the Line Information is checked when more than one tax code exists.

Tax Lines

Purpose: The purpose of this exercise is to view the tax lines created.

Windows:
Manual Supplier Invoice

  1. Open Manual Supplier Invoice the window. 
  2. Query for the preliminary invoice you entered in the exercise above.
  3. Click on the Line Information section of the window, right-click and then click Tax Lines.
  4. The Tax Lines dialog box will open. It displays the tax lines that were created for the current invoice line, according to the tax codes defined in Company/Address/Tax Code and Supplier/Invoice/Tax Information . You may add, edit, or remove this information.
  5. Save and close the Tax Lines window.

Note: If the supplier is using tax withholding tax codes you can modify the tax withholding lines by right clicking on the invoice line and selecting Tax Lines, Withholding It will display the withholding tax lines that were created for the current invoice line, according to the information specified in the Supplier/Invoice/Tax Information window. You can add, edit, or remove this information subjected to restrictions in the tax code used (such as minimum amount of tax to withhold and the amount not subjected to tax withholding).