Hi,

What is the current IFS version are you using?

In APP10, there is a new functionality to clear the tax account balances. You can clear the tax accounts and settle the tax payment via a Direct Cash payment.

Best Regards

Eranda

Thanks for responding.  We are using 9.  I assume that Direct Cash payments are only available in 10?

Hi,

Direct Cash payment is available in older versions too. You can go to Mixed Payment window and select the transaction type "Direct Cash Payment". You have to mention the manual posting (account) and your cash account will be credited if the sign of the amount is minus.

In APP9, you have to manually clear the tax account balance via a Q voucher and then, can make the payment via a direct cash transaction. If you don't use Tax Ledger, you might be able to directly use the direct cash payment.

Thanks.  I was considering the Q voucher clearing but was hoping there was a cleaner way.  This has been helpful.  Thank you.

The functionality has been improved in APP10 and there is a specific voucher type and there is an easy option to create tax clearance voucher. 

Hi @Eranda /all,

I am implementing r10 upd5 and, related to the tax clearance voucher (and its posting control TCP1) I see it only allows for one account but ususally you have both Payable VAT and Receivable VAT.

Do you know the best way to go with tax clearance functionality and having the right account hit depending on if the resulting VAT is payable or receivable?

On the other hand, I’m having some doubts on if tax accounts should be ledger accounts or not, I understand that the accounts used for clearance shouldn’t be ledger account because I got error when attempting to perform a non-supplier payment if the used account is a ledger account but pretty unsure how to configure the rest of VAT related accounts because, from my point of view they should be ledger accounts but I don’t want to end up with an issue in the future for clearance or other tax related processes which will requiere a manual voucher to be entered against these accounts.

Thanks in advance for your help!

@IccManueM - Did you get an answer? Is definitely a good question!  I’m also working on whether or not to use ledger accounts - which block the ability to do a direct payment.  Trying to find that “ideal” setup so I can use as a template going forward.