VAT wizard for differentiated rates on purchase invoices

New timesaving feature for those who are doing the accounting related to cost invoices in Next® Invoices

Anyone appreciate assistance - provided is correct and comes for free. Next® Invoices is now giving you just that. 

Next® will automatically validate the invoice, based on the VAT codes specified.

Since the introduction of differentiated VAT, where VAT rates may vary from product type to product type, specifying the correct VAT has become increasingly complicated. This is not in line with our promise to #EASY, and that's why we now introduce the VAT-wizard. 

Displaying the calculated VAT amount

The moment you specify a VAT code, Nex will immediately show the accumulated net amount and the associated VAT amount in the summary below the accounting entries.

The summary look like this:


A summery with accumulated VAT makes the difference


The discrepancy is now calculated for both the net amount and for the accumulated VAT amount.

Suddenly it's easy to verify that you have specified the correct VAT codes.


Without the VAT wizard, you were on your own.

Previously you had no help verifying the accumulated VAT amount


This is true time saver for the operators, and at the same time helps you increase the quality of the final bookings. 

Verification of the calculated VAT amount

When an invoice is approved, you can decide that both the net amount and the VAT amount must be allocated.

If an amount is not allocated as expected, the system can automatically assign the invoice to the Finance department for further processing.

Future enhancements

No enhancements are planned

For the techies

The VAT amount is calculated for each individual line subject to taxation. The Total VAT amount is the sum of the individual taxes. This way of performing the VAT calculation is acknowledged as the expected way. And as a result the VAT amount calculated for each line is predictable and stable.

When the VAT percentage includes several decimal positions, the rounding on line level may cause a small discrepancy as seen in the example below:

A minor discrepancy of 0,01 GBP exists on the calculated VAT amount

To allow for such a small discrepancy, it is possible to define an acceptable discrepancy in the configuration of Next® Invoices.

Additional information

Please refer to the online product guide for additional information on this feature, once it is released.

Commercial terms and conditions

This new feature is available at no additional cost, to users with an active service plan. Any consultancy assistance will be invoiced.

Disclaimer

Despite our best efforts, we may be forced to change both content and expected delivery of future product updates without notice.  


Details

Title:

VAT wizard for differentiated rates on purchase invoices

Type:

New feature

Status:

Released

Release time:

March 2021

Affected products:

Next® Invoices

Audience:

Business users
Next® Admins
Next® Specialists
Developers
Architects
Operations

Classification:

Public

Responsible product manager:

Jørn Christensen

Updated:

26.03.2021

By: 

Kim Hellum