Table of Contents

Posting a Full VAT Amount

As required by Polish law, the net amount should be visible for all transactions in the VAT register. To meet this requirement, Polish Localization allows you to manually enter the VAT base amount for postings that include the VAT amount only.

This feature is particularly useful for recording purchases from outside the EU. For such transactions, two documents have to be posted:

  • purchase invoice - to include a purchase net value and a payable amount based on a vendor invoice;

  • PZC document (Certified Customs Declaration) – to ensure that VAT and other custom duties that are added up to the non-UE shipment value are registered.

Because a net value that is a basis for VAT calculation is posted based on a purchase invoice, it cannot be posted again based on a PZC document when a VAT amount is posted. Therefore, when a PZC document is posted, the VAT base used for calculation is displayed for information purposes only. This ensures that purchase transactions in the VAT register are correct.

Full VAT Posting Setup

To post a VAT amount based on a purchase document, define proper setup. To do this, complete the following steps:

  1. Choose Lightbulb that opens the Tell Me feature icon, enter General Ledger Setup, and then select a related link.

  2. On the VAT Posting Setup page, select the line with a relevant combination of the VAT Business Posting Group field value (used for a Customs and Tax Authorities or Customs Agency that is used by the PZC vendor and to which the company must make a VAT payment and other customs-related payments) and the VAT Product Posting Group field value (used for the VAT rate that is set up especially for PZC documents and applied for the purchase transaction), and then click Edit.

  3. For the selected combination of the VAT groups, the application opens the VAT Posting Setup Card page. The settings in two fields are important:

  • The VAT Calculation Type field should contain the Full VAT option.

  • In the Purchase VAT Account field, the general ledger account should contain a default VAT product posting group which is the same as the group which has been used in the setup.

Note

The Bal. Full VAT Base Amt. (LCY) field is hidden by default. To display this field, use the Personalize function.

Posting a Full VAT Amount

Each PZC document can be entered in the same way as a typical purchase invoice. To register this document, complete the following steps:

  1. Choose Lightbulb that opens the Tell Me feature, enter Purchase Invoice, and then select a related link.

  2. On the Purchase Invoices page, on the ribbon, select New.

  3. Click the Buy-from Vendor No field to view a drop down list and select a tax and customs authority card.

The line should be filled in the following way:

  1. Select G / L Account in the Type field.

  2. In the No. field, select a general ledger account which was selected as a purchase VAT account in the VAT posting setup.

  3. Enter 1 in the Quantity field.

  4. In the Direct Unit Cost excl. VAT enter the VAT amount from the CCD document.

  5. In the VAT Base Amount field, enter the PZC document amount which is a base to calculate VAT.

  6. Complete the remaining required fields as usual.

  7. Post the document by selecting Post.

Note

When you change the value of the field VAT Calculation Type in the line, the Full VAT Base Amount field value is reset. If the value of the VAT Calculation Type field is not equal to Full VAT, the Full VAT Base Amount is disabled for editing.

When the document is posted, the VAT amount is registered at a selected purchase VAT account in company ledgers and the payable amount due to Tax and Customs Authorities is registered at a payables account which is defined in the setup of a vendor posting group assigned to the document. The VAT base amount which has been entered manually is copied to VAT entries linked to a posted purchase invoice (PZC document) and printed in the purchase VAT register.