Cash Invoices

You can create cash invoices for which a receipt is posted at the same time. A cash account is recognised by the prefix defined in the Cash Account Prefix box on the Set Options form. For example, you might use the prefix 'CASH' and so any account with a reference beginning with the word 'CASH' will be treated as a cash sales account. The entry of the receipt details is done when you have completed and posted the invoice details. When you have completed the details, the relevant files are updated and the receipt is automatically allocated to the invoice. The Post Cash Receipt form appears and the following details are displayed or required:

Box	Description
Bank Account	A reference that identifies the bank account to which the receipt is posted. You can select from a list if the Multiple Bank Accounts option is selected on the Sales Options form in the Sales module.
NL Posting Date	The Nominal Ledger posting date. If you use the Open Period Accounting feature, this is the date used to determine the period in the Nominal Ledger that the transaction is posted to. For more information, see the SOP/Invoicing and Open Period Accounting Help topic.
Transaction Date	The date of the invoice.
Ref 1	The invoice number.
Ref 2	This defaults to the receipt name specified for the customer (this is the one selected using the Receipt list box under Second Reference on the Options form associated with the Customer form in the Sales module), or, if this is blank the first receipt description on the Receipt Names form in the Sales module. You can select an alternative from a list. If you are using the Cashbook module, this also determines the cashbook type.
Transaction Value	The receipt value (the amount being paid) which defaults to the invoice value but can be amended to any value less than that of the invoice.
Reference	You may enter a reference for the receipt in this field.
Invoice Value	The value of the invoice.

Cashbook Paying In Slip Report

To include the cash receipt on the Paying In Slip report in the Cashbook, make sure the Paying In Slip box is ticked on the CashBook Type used for the transaction. This does not apply to Credit Card receipts.

Credit Card Details

If you have the Cashbook module and you have selected a receipt name in the Ref 2 list for which the corresponding Cashbook type is for credit cards, the Credit Card Details form appears for entry of the credit card number, expiry date and name on the card.

Credit Card Entries

Box	Description
Card Number	The credit card number. This must be 13 digits long.
Expiry Date	The month and year of expiry.
Authorisation Number	An authorisation number, if required. This can include letters as well as numbers if appropriate.
Name	The cardholder name as it appears on the credit card.

VAT Return Adjustments for Settlement Discount

VAT in the UK must be calculated before any prompt payment discount (settlement discount) is calculated. Your VAT Return must be updated with the full VAT value when an invoice is posted, even if settlement discount is offered.

How do you make sure VAT is calculated before prompt payment discount is calculated?

If the settlement discount is taken when an invoice is paid, an accounting adjustment must be made which does the following:

post the discount for the reduction in the goods and VAT values
adjust the goods and VAT values on the VAT Return.

The accounting adjustment can be posted using either a credit note or a VAT adjustment after the receipt or payment is posted:

In the Purchase Ledger you define on each supplier record how the adjustment will be posted.
In the Sales Ledger you can define it either from the Sales Ledger - Utilities - Set Options form, or on each customer record.

Important: Customers are set to 'Company Default' for this purpose, so each customer uses the default setting on the Sales Ledger - Utilities - Set Options - Settlement Discount Options form. Suppliers are set to 'Credit Note' by default for this purpose. You may need to change them if necessary.