Tax transactions issue

1

I am facing some issues and not sure whether it is normal or BUG in the software. Let me explain below:

  • I have recorded a sales on 1st Sep 14 with multiple line items which includes “Advance Outgoings” for $409.98 for which technically the GST (Tax) comes $40.99.

  • When generating the tax report and looking into this particular sales
    tax for e.g: below Screen Shot, the tax amount is not as it should be.

  • By further clicking on the Tax Amount, it shows the below tax figures which I never recorded.

  • Similarly more these types of tax records are coming for this particular sales, the above one is just an example from this sale.

  • Also I have notices that the transaction " Advance payment for sales
    invoice #1012 allocated from customer credit account" has been
    recorded automatically as I didn’t record the same.

Over all if I calculate the tax manually, it is coming correct as per the sales.

2

When you record payment or receipt, the amounts entered are always tax-inclusive. So when you set tax code on line item, Manager has to calculate the tax and deduct it from tax inclusive amount so only tax-exclusive amount is posted as income or expense and the tax amount is to increase/decrease your tax liability.

The amounts you see on reports are already reduced by tax amount (tax-exclusive).

3

Thanks Lubos,

However, my concerns is:

  • I only recorded the sales invoice once for a single date and never recorded the taxes for multiple dates and on different dollar values. Then how come the entries came in?

Also I would like to make a suggestion that, like you have " Amounts are tax inclusive" options in Sales & Purchase Invoice, please have create it for the expenses to avoid confusions.

4

Each line item on invoice is separate transaction on general ledger so one invoice could create several entries.

Payments cannot be ever recorded as “tax exclusive”. When you get bank statement, the bank simply show you how much was deducted from your bank account and the amounts are always tax inclusive so that’s how it needs to be recorded in Manager. When you use correct tax code, Manager will automatically figure out the tax amount. I don’t see any point to allow for entering “tax exclusive” bank transactions. Why do you feel you need something like that?