Purchasing for Nonstock Items - Three-Way Voucher Match

When you purchase for a nonstock item, you can use either two-way or three-way voucher matching. When you use three-way voucher matching and enter the purchase order receipt, the system records the sales tax in the Received Not Vouchered Tax account, which is offset when the system creates the voucher. When the system creates the voucher, it includes both the sales and VAT tax amounts in the gross amount, but only the sales tax in the expense distribution. When you post the voucher, the system records the VAT in the VAT Recoverable Tax account. Rather than pay a tax authority, you pay the supplier for the amount of the goods plus VAT and recover the VAT amount from the tax authority later.

Example: Purchasing for Nonstock Items - Three-Way Voucher Match

Program	AAI*	Table	Accounts & Fields Updated	F0911 DR	F0911 CR
Enter Receipts by PO (P4312) Creates a journal entry	. . DM - 4320 DM - 4355	F0911	Expense Account from PO line Received Not Vouchered Received Not Vouchered Tax	1,030	. . 1,000 30
Voucher Match (P4314) Creates a voucher	. . . DM - 4320 . . . DM - 4355	F0411 . . F0911	Taxable (1,000) Tax (100) Gross (1,100) Received Not Vouchered Expense Account Received Not Vouchered Tax Expense Account	. . . 1,000 . 30 30	. . . . . . 30
Post General Ledger (R09801) Posts the voucher to the general ledger	FIN - PTxxxx FIN - PC	F0911	VAT Recoverable Tax AP Trade	70	. 1,100

* DM - AAI = Distribution/Manufacturing AAI (F4950); FIN - AAI = Financial AAI (F0012)