[Question] Trade discounts and rebates

[Loyyd]

Hi there

can someone help me please... I am processing invoices for my company has follows:

Sales : products R 1 000.00 (inc of vat)
Rebates / discounts (8%) R 800.00
total sales R 920.00

how would you go about processing these invoices in pastel account (partner).

thanks

[curare]

Hi
ON the Customer Processing Screen ,Post the Sales Invoice using Type 4 and the Rebate /Discount Invoice using Type 6.

The Entries that Pastel will post will be as follows:

Sales (Type 4)


Debit the Debtor R1000
Credit Sales R877.19
Credit Output Vat R122.21


Rebate/Discount (type 6)
Dr. Rebate Account (8% of R1000) R70.18
Dr Input Vat (14% of R80) R9.82
Cr. Debtors R 80.00

However You will have to create the General Account Rebate Paid to post the Type 6 Entry.

Regards
Curare

[Neville Bailey]

Just to add a point of clarification to the previous post - the type 6 line item for the rebate must have a minus sign in front of the amount.