We have a new requirement in our country, whereas our company is not supposed to pay VAT portion of the vendor invoices to our vendors. So i was asked to instead credit a GL account with the VAT portion.
Is this possible?
So this is our scenario right now:
GRV:
Invoice:
So instead what i am asked to do is to:
while keeping the rest of the transactions the same. Therefore, in Accounts Payable Vendor is supposed to have an amount of 100 instead of 116.
Is this possible?
So this is our scenario right now:
GRV:
HTML:
Dr Inventory 100
Cr Clearing 100
Invoice:
HTML:
Dr Clearing 100
Dr Vat 16
Cr Vendor 116
So instead what i am asked to do is to:
HTML:
Dr Clearing 100
Dr Vat 16
Cr Vendor 100
Cr GL account 16
while keeping the rest of the transactions the same. Therefore, in Accounts Payable Vendor is supposed to have an amount of 100 instead of 116.