A/P Invoice - Payment on account

[former_member418241]

Hi All

Initially without raising an A/P Invoice to a Vendor ( there was no single A/P invoice generated against this vendor), we raised Outgoing Payments say 10,000 as Payment On Account to this Vendor. At a later stage we raised an A/P Invoice for 2000. Now if I open outgoing payment window for this Vendor I can see two transactions one with payment on account with 1000 and another A/P Invoice. Now I want to close this A/P Invoice without making any payments from the payment means window. Because I have already made some payment in advance as payment on account, ... from this amount (10,000) the A/P Invoice amount (2,000) should be deducted / adjusted and the A/P invoice should be closed.

Please let me know whether this is possible.

Thanks

SV Reddy

[former_member583013]

SV Reddy,

You could use Internal Reconciliation and select the Payment and the Invoice. When you try to reconcile SAP will prompt this message "Reconciliation is not balanced. Create balancing transaction?"

It will open the JE window showing the Vendor Account with a credit of 8,000 (since you are adjusting 2,000 from the payment of 10,000 )

On the second line you will select the same vendor account and Debit with 8,000

This way the invoice will get closed and the balance amount will show in outgoing payment as credit to vendor

Suda

[Former Member]

Use this very tricky way:

- Activate Over/Under payment in the Document Setting > Per Documents > Outgoing Payment. Lets say, USD 1.

- Set the g/l in the G/L Account Determination for Over/Under Payment in Purchase tab to let say, Other Expenses.

- Go to the Outgoing Payment, choose the invoice. Tick option for "Payment On Account" then change the amount to "-2000"

=> Total Amount Due = 0

- Chose payment means, cash. Choose the same account as in the Over/Under Payment => Other Expenses. Value = 0.01

- Post the payment.

SAP will produce an outstanding journal entry that will close the A/P Invoice, reduce the open outgoing payment and zero finance impact journal entry (Dr/Cr to Other Expense 0.01) as you describe.

Cheers,

Dody

[former_member186095]

Hi,

I usually use internal reconciliation instead of link invoice to payments.

Both are available in the banking module --> bank statements and reconciliations

Let me know if you need more detail

Rgds,