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Hi all,
I hope all is well.
I have a question - the previous person who was doing the business books - processed the Tax Invoice for a forklift bought on finance, on a Supplier Account and claimed the VAT on it - however the Tax Invoice is made out to Standard Bank?
We paid a deposit to Standard Bank and this was processed to the suspense account, and the monthly debit order payments was posted to a GL - Balance Sheet -Other Long Term Liabilities account without VAT.
Resulting in the Supplier Account showing an outstanding balance of the total purchase price and the GL account reflecting a Debit with all the payments Excl Vat.
Kindly assist me on how to rectify this.
Do I reallocate the deposit (lying in the suspense account) to the Supplier Account, as well as all the D/O payments to show the balance outstanding, or do I reverse the Supplier Invoice and reprocess the D/O payments to include Vat?
Much appreciated, thank you.
Regards,
Cindy
I hope all is well.
I have a question - the previous person who was doing the business books - processed the Tax Invoice for a forklift bought on finance, on a Supplier Account and claimed the VAT on it - however the Tax Invoice is made out to Standard Bank?
We paid a deposit to Standard Bank and this was processed to the suspense account, and the monthly debit order payments was posted to a GL - Balance Sheet -Other Long Term Liabilities account without VAT.
Resulting in the Supplier Account showing an outstanding balance of the total purchase price and the GL account reflecting a Debit with all the payments Excl Vat.
Kindly assist me on how to rectify this.
Do I reallocate the deposit (lying in the suspense account) to the Supplier Account, as well as all the D/O payments to show the balance outstanding, or do I reverse the Supplier Invoice and reprocess the D/O payments to include Vat?
Much appreciated, thank you.
Regards,
Cindy