1520 rfsa
From UG
(Difference between revisions)
Tracie (Talk | contribs)
(Created page with 'Category:RFSA <div style="background-color:lightSteelBlue"> ==Info== 0001520: (P&L) Exclude VAT amount from Profit ==Business information== It is necessary to exclude V…')
Newer edit →
(Created page with 'Category:RFSA <div style="background-color:lightSteelBlue"> ==Info== 0001520: (P&L) Exclude VAT amount from Profit ==Business information== It is necessary to exclude V…')
Newer edit →
Revision as of 14:53, 17 February 2011
Info
0001520: (P&L) Exclude VAT amount from Profit
Business information
It is necessary to exclude VAT charges from the gross margin (P/L) of the shipment. Right now the P/L amounts showing on the P/L tabs include the VAT charges as a total. This is making the gross margin or the P/L of the shipment incorrect.
Note: VAT charges that we bill to our customers are deducted from the VAT amount we pay to our vendors. The difference of this is either paid or refunded to or by the government. This is why it is so important to be able to be able to break these charges out and show them separately.
Example:
We invoice Coty 100.00 for Customs Entry and VAT applies at 20% the invoice would show Customs 100.00 Subtotal 100.00 VAT Amount 20.00 Total 120.00
We are invoiced by Denny Price 75.00 for this entry and a VAT amount of 15.00 Customs 75.00 VAT 15.00 Total 90.00
At the end of the tax period we would deduct the 15.00 we paid in VAT from the 20.00 we invoiced and owe 5.00.