Purchasing for Stock Items - Three-Way Voucher Match

When you purchase for stock, you must use three-way voucher matching. When you enter the purchase order receipt, the system records the 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 tax portion of the item. You do not remit sales tax to a tax authority because the seller (supplier) pays it.

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	1,000 100	. . . 1,000 100
Voucher Match (P4314) Creates a voucher	. . DM - 4320 DM - 4355	F0411 . F0911	Taxable (1,000) Tax (100) Gross (1,100) Received Not Vouchered Received Not Vouchered Tax	. . . 1,000 100	.
Post General Ledger (R09801) Posts the voucher to the general ledger	FIN - PC	F0911	AP Trade	.	1,100

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

Note: When you enter tax information during the voucher match process, instead of when you enter the purchase order, the system does not make an entry to the account associated with DM AAI 4355; instead, the system debits the account for DM AAI 4350, as well as the Received Not Vouchered account, and credits the AP Trade account when the voucher is posted.