3 Replies Latest reply: Apr 18, 2011 2:51 PM by kailas ugale RSS

Raising PO based on invoice

Ashok Sriramoju
Currently Being Moderated

hi all if iam raising PO based on invoice shall i raise on net amount or shall i include tax or vat of invoice and when we create po we do select the tax code so what does it do (it includes and calcuate the reporting country vat or tax)

  • Re: Raising PO based on invoice
    AMIT BAKSHI
    Currently Being Moderated

    HI,

     

    Please Create a PO with the Net amount and select the appropriate Tax code in Item Details (Invoice Tab).

     

    It basically depends on your accounting Practice on as to how you would capture the cost of Material and Taxes.

     

    If it includes the Tax , you can use 0% Tax in Tax Code. (if you have defined 0% as Tax )

     

    I would say that you should mention the Net Price and take Tax from Tax code.

     

    Hope this helps,

     

    Amit Bakshi

  • Re: Raising PO based on invoice
    kailas ugale
    Currently Being Moderated

    Hi

     

    shall i include tax or vat of invoice and when we create po we do select the tax code

     

    You cannot decide such type of things,ask your client,what business they want.tax adding in material cost or taxes taking separately ,its part of business

     

     

    Regards

    Kailas ugale

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