Purchasing for Stock Items - Three-Way Voucher Match

When you enter the purchase order receipt, the system records the sales tax in two general ledger accounts: Purchase Tax Accrual and Received Not Vouchered Tax. When the system creates the voucher, it offsets the Received Not Vouchered Tax account. You use the Purchase Tax Accrual account to track the sales tax portion of the item. You do not remit sales tax to a tax authority because the seller (supplier) pays it. The gross amount of the voucher includes both the sales and VAT taxes; the GL distribution includes the goods + sales tax only. 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 seller (supplier) for the amount of the goods plus VAT and recover the VAT amount from the tax authority later.

Example: Purchasing for Stock 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 - 4310 DM - 4350 DM - 4320 DM - 4355	F0911	Inventory Asset Purchase Tax Accrual (asset) Received Not Vouchered Received Not Vouchered Tax	1,000 . . 30	. 1,000 . . 30
Voucher Match (P4314) Creates a voucher	. . . . DM - 4320 DM - 4350 DM - 4355 DM - 4350	F0411 . F0911	Taxable (1,000) Tax (100) Gross (1,100) Received Not Vouchered Purchase Tax Accrual (asset) Received Not Vouchered Tax Purchase Tax Accrual (asset)	. . . . 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)