Process Prepayment Based Invoice
Explanation
This activity is used to handle, create and remove a prepayment-based invoice
which is part of the customer order flow. The prepayment-based invoice functionality
is an alternative way of invoicing prepayments to the advance invoice functionality.
It is typically used in Poland. It consists in first registering the prepayment
and then, based on this, creating the prepayment invoice. If the prepayment-based
invoice is created erroneously, it is possible to remove it from the system
as long as it has not been printed and posted, in the same way as credit invoices
can be removed while they are in status Preliminary.
Defining required prepayment amount for a customer order:
- On the header in the
Handle Prepayment
Based Invoice page, you can enter the amount required to be paid
in advance in the Required Prepay Amt field. The percentage that
this amount represents will be automatically calculated. Another option
is to enter the percentage of the customer order gross amount (including
charges), which is required to be paid in advance, in the Percentage
field. Then the amount will be automatically calculated.
- If the customer has agreed to the prepayment amount, then select the
Prepayment Approved option.
- On the Connected
Payments tab, you can connect any available prepayments which
are not yet connected to a customer order.
Creating prepayment-based invoice:
- Open the Handle Prepayment Based Invoice/Connected
Payments tab.
- Select the prepayment that has not been invoiced yet.
- Choose Create Invoice and the Create
Prepayment Based Invoices dialog will open. Here you can edit
the suggested lines, description, tax codes, delivery type and amount. The amount can be
edited only to be less than or equal to the amount shown.
Removing prepayment-based invoice:
Once the invoice is created and in status Preliminary, if you need
to do any changes to the tax code or the amount, you need to remove it and create
a new one.
- Open the Customer
Invoice page and query for the required invoice.
- Select command Remove Prepayment Based Invoice.
Prerequisites
Defining required prepayment amount for a customer order:
- In the Method for Invoicing Prepayment field on the
Company/Supply Chain Information/Sales
tab, the Prepayment Based Invoice option must be selected.
- The customer order header must at least be in the Planned status
but not in Partially Delivered, Delivered or Invoiced/Closed
status.
- At least one order line or charge line must exist so that the order
total is greater than zero.
- There should be no order lines or charge lines with multiple tax codes.
- Stage billing lines or sales contracts cannot exist for the customer
order. Delivery confirmation may exist if the company is set up to allow
delivery confirmation with prepayment invoicing.
- The invoice cannot be a collective invoice.
Creating prepayment-based invoice:
- The prepaid but not yet invoiced amount must be larger than zero.
- To connect prepayments to a customer order on the
Connected Payments tab, the customer order
must not be in Invoiced or Cancelled status and the amount
required must be lesser than already connected prepayments.
Removing prepayment-based invoice:
- The invoice must exist in the Preliminary status.
System Effects
Defining required prepayment amount for a customer order:
- On the customer order confirmation, the required prepayment amount information
will be printed.
- When the required amount is larger than zero and the customer order
is released, if the paid amount is less than the required amount, then the
order will get blocked. You can release the order on the
Handle Blocked Customer Orders page.
- When a prepayment is connected to a customer order via the
Connected Payments
tab, the payment amount will increase.
- If the Prepayment Approved option is enabled on the
Handle Prepayment
Based Invoice page, then the required amount cannot be changed.
Creating prepayment-based invoice:
- In the Create Prepayment Based Invoices
dialog you can choose to just create, or create, print and off-set the invoice
by selecting Create or Create, Print and Off-set. If you select
Create, the prepayment invoice will be in status Preliminary.
If you choose Create, Print and Off-set, the invoice will
be in status Paid Posted.
- The invoice lines will not have a part number but just the description
as entered when creating the invoice. E.g. PrePayment.
- One line per the combination of tax code and delivery type found in the customer order line will be shown.
If no delivery types are added, the lines will be grouped based on tax
code only.
If the tax code is changed the net amount is recalculated from the gross
amount.
- The amount shown on the invoice will be the difference between
what the customer has paid and what has already been invoiced.
- The Advance/Prepay Invoice option on the
Customer Invoice
page will get enabled.
- A new record will be created in the customer order history.
Note: Customer tax withholding is not supported for prepayment-based
invoice.
Removing prepayment-based invoice:
- The invoice will be removed completely from the system.
- The invoiced amount will be decreased.