Hi, Thanks for your comments. Finally I think an invoice adjustment is the simplest way to implement credit memo from a vendor.
Initially I was more inclined to use payments. I thought about new payment type. However payments are not convenient due to how they produce accounting transactions. Vendor credit memo should debit accounts payable but credit part may vary. Unfortunately Override Gl Account changes debit part. I don’t want to have a few payment method types for the company just to define credit accounts. And I mean AP payments. Using AR reverse D/C but anyway I need to have special payment method type for credit memo what is not natural. Since initial idea was to have special payment type + override GL accounts I declined payments for this purpose. Also financial people seems confused to use payments in cases which are not payments per se. Invoice adjustment is not ideal solution either. I don’t like 2 moments. First, it decreases AP at the time when is added to invoice. I mean the credit memo can be issued by supplier in January but used with an invoice in February and this would be a Feb transaction. This seems incorrect unless you use cash method of accounting but probably acceptable. Second, if we add negative adjustment and make invoice Ready it produces accounting transaction of type Purchase Invoice with correct amounts but it does not provide right clue about underlying operation. For me I have modified createAcctgTransForPurchaseInvoice to create a Credit Memo transaction separately of Purchase Invoice transaction. I still think the right solution would be new invoice type that help to memorize a vendor’s credit memo and decrease AP during the right period. But this require some way to apply one invoice to another. Not too difficult to implement but difficult to do comprehensive testing and make sure there are no side effects. And this is why I don’t consider it as a custom solution. > On Aug 18, 2016, at 17:31, Jacopo Cappellato > <[email protected]> wrote: > > Hi, > > an alternative approach (that would require some enhancements to the > system) is that of creating a special (non-cash) payment for the credit > memo amount that is applied to the outstanding invoice together with the > cash payment. > For example: > invoice from vendor: $100 > credit memo from vendor: $20 > > then the buyer could create two payment: > cash payment: $80 > non cash payment (from credit memo): $20 > > the two payments can be applied to the original invoice of $100 to fully > pay it. > The cash payment will Credit the Cash Account; the non cash payment will > Credit a special (Asset) account whose balance represents the total amount > of credit memos received from seller and not yet applied. > > Thanks for the interesting topic, > > Jacopo > > > On Wed, Aug 10, 2016 at 4:01 PM, Sharan Foga <[email protected]> wrote: > >> Hi Oleg >> >> I would use an invoice adjustment for the difference. The purchase invoice >> that is generated from the purchase order assumes that the invoice will be >> the same as the purchase order. When the real invoice appears it may be >> different so you need to be able to handle any variances and at the moment >> I think a invoice adjustment is an easy way to do it. >> >> Sometimes I struggle a little with how payments have been implemented >> because I think they are being used to for 2 slightly different things. One >> is the amount that needs to be paid, and the other is the application of an >> amount to an invoice. As OFBiz automatically generates the payment and the >> amount to be paid from the purchase order – it gives you the audit trail of >> the original transaction, so if you start adjusting the payment itself, you >> start to lose a bit of that visibility. >> >> It is your choice and depending on how you want to work, it's flexible >> enough to do both. >> >> I'd be interested to hear what other people have done in this situation >> too. >> >> Thanks >> Sharan >> >> On 2016-08-10 14:58 (+0200), Oleg Andreyev <[email protected]> >> wrote: >>> Hi All, >>> >>> I am working with project based on 13.07 and stuck trying to figure out >> how to apply vendor credit memo properly. I don’t mean accounting >> transactions. It’s clear. I mean how to get purchase invoice fully applied >> if it is issued for the full price but vendor issued a credit memo and >> buyer should apply payment with amount less than invoice because this memo. >> It seems this case does not have special solution in OFBiz. What’s come to >> mind is either negative invoice item adjustment or payment that equals to >> credit memo amount. However I think about credit memo as a kind of invoice >> rather than kind of payment. >>> >>> What do you folks think of this case? >>> >>> Thanks, >>> Oleg Andreyev >>> >>> >>
