These are contracts with Financing Type = Instalment Sale. Invoicing on these contracts includes:
Generate and post an introductory sales invoice (tax document) for the total sales amount of the installment sale. A long-term receivable is posted
Posting Payment Calendar Payments
Generate a Posted Sales Invoice, posting a short-term receivable that will be paid by payment from the customer
generating a fictitious payment to settle a long-term receivable
Insurance for installment sales can be invoiced separately or can be included in the installment sale.
The specific settings for installment sales are described in the documents:
Contract Model
Contract Template
OneCore Posting Setup
settings for Table Type = Contract Header
setting for Table Type = Payment
A prerequisite for invoicing the sales price (tax document) is to fill in the documents for invoicing in the Financing Contract on the Instalment Sales tab.
A prerequisite for generating a partial invoice and a fictitious payment is the creation of a Payment Calendar.
Invoice for the total selling price of the installment sale. This invoice serves as a tax document. It cannot be generated manually, but is created and posted automatically by the system when the contract is activated. The basis for invoicing is the data on the Financing Contract on the Instalment Sale tab and is generated during the contract calculation. The Instalment Sale tab is described in Contract Without Services .
Note: If an installment sales contract contains insurance, it is not included in the invoicing and the subsequently generated invoice does not include insurance.
The invoicing process includes steps:
Controls
Generate an invoice header
Generate invoice lines
Posting an Invoice
Financing Contract Update
Controls:
Financing Type = Instalment Sale
The customer number on the contract is filled in
The detailed contract status must have posting from the payment calendar enabled,
Allow Down Payment Posting = Yes
Allow Posting from Payment Cal. = Yes
Allow Partial Credit Posting = Yes
Calculation Variant = No, Change Copy = No
The Gen. Bus. Posting Group, Gen. Prod. Posting Group, and VAT Bus. Posting Group on the contract are filled in
Handover Date Must Be Filled In
Sum of fields Principal (IS) + Interest (IS) + VAT Amount (IS) = Total to Pay (IS)
Document No. (SP) on the contract is blank
Error messages within checks:
Detailed contract status does not allow for posting
The sum of principal, interest, and VAT is not equal to the total amount to be paid
Handover Date Not Filled In
Contract Status Not Active
Posted (SP) is Yes
To generate an invoice header:
If the Cancellation Posting (SP) = No field is on the Financing Contract, it generates a sales invoice. The field is hidden, it's just in the background. To fill in the important fields in the invoice header:
Number
Generates a Payment Document based on the Contract Model > settings
Contract/Payment = Financing Contract No. is used
Number series = the number from the Part Payment Document Nos. is used
Customer
Financing Contract Customer
Posting Date
From Financing Contract, Posting Date (IS) field
If it is posted to a closed accounting period, the date may be shifted to the 1st day of the open accounting period
VAT Date
From Financing Contract, VAT Date (IS) field
if it is posted to a closed accounting period and the Posting Date is changed, then the VAT Date is updated and subsequently copied to the contract after posting
Document Date
Work Date
Maturity date
From the Contract Expected Termination Date (Expected Termination Date)
Dimensions (global and non-global)
From the contract
External Document No.
Contract No.
Reason Code
of Reason Code Setup in Financing for Accounting Operation Type = Sales Price Invoice
Currency Code
Currency Code from Financing Contract
Currency Factor
1/Contract exchange rate from the contract header
VAT Bus. Posting Group
from the Financing Contract
Customer Posting Group
if the field Use Customer Posting Group (SP) = Fixed Receivable is set in OneCore Posting Setup, then the Customer Posting Group of Sales Price (IS) is used from the contract
if the Use Customer Posting Group (SP) = blank field is set in OneCore Posting Setup, then the Customer Posting Group will be used from the contract
Payment Terms Code
From customer; if the Payment Terms Code on the contract is different from the one on the customer card, the code from the contract will be used
Payment Method Code
From customer; if the Payment Method Code on the contract is different from the one on the customer card, the code from the contract will be used
Finance Charge Terms Code
From customer; If it is different on the contract than on the customer card, the code from the contract will be used
Bank Account Code
Variable Symbol
Invoice Print Type
Installment
Sales Invoice Lines
Introductory texts
from the Standard Text Code according to Reason Code Setup in Financing,
or text lines from Recurring Sales Lines (= Standard Sales Codes)
Posted Lines with Object of Sales
they are created according to OneCore Posting Settings (for Table Type = Contract Header). In particular, the following will be used in the row from the settings:
General Posting Groups
Account number
Description
Invoicing Entry Code - the field is hidden and is only informative
VAT Prod. Posting Group
From the contract; if the total amount from the VAT Base (IS) field is invoiced, the VAT Interest posting group is used
Posting a Sales Invoice
The job automatically posts the generated sales invoice. The user can find the posted sales invoice in the list of posted invoices, or in the contract in the information box in the Contract Balance (LCY) field.
When the invoice is posted, a Customer Ledger Entry (Long-term Receivable) is created that is waiting to be settled with a fictitious payment. A fictitious payment is created by posting a payment of a payment schedule.
Notification:
Invoices for the SP sales price do not have a specific marking that can be used to block matching of the invoice with payments on bank statements or in the Apply Customer Ledger Entries batch job. This task is part of the OC module Payments Prepayments. In the job, you can use the filter on the Hold field to exclude the item from automatic matching. However, the user must manually enter the code for the On Hold field on the customer ledger entry that represents the installment sales invoice.
Contract Updates
The number of the posted sales invoice is written to the contract in the Document No. (IS) field. In Document Date (SP) writes the Working Date. The Posting Date (IS) may be changed during invoicing if it is posted to a closed accounting period. In this case, the Posting Date (IS) on the contract header is updated. At the same time (according to the Sales and Receivables Setup, if Default VAT Date = Posting Date) the VAT Date is also changed, which is written retrospectively on the contract header as VAT Date (IS). Next, it marks Posted (SP) = Yes, and the background field is Canceled (SP) = No
It is not possible to cancel an invoice for the sale price of an installment sale on the header of the contract. Adding the cancellation function to a contract can be added as a customer adjustment.
If necessary, it is possible to use the standard BC functions to create a credit note, but in this case the header of the Financing Agreement will not be updated.
Instalment instalments are accounted for in the same way as for contracts without services, i.e. individually from the payment calendar by the Post button or by the Post Financing Instalments batch task (without services).
Specifics of the billed instalment of instalment sale:
According to OneCore Posting Settings, two documents are posted - Sales Invoice and Internal Document for Fictitious Payment, both documents form Customer Ledger Entry
These are not tax documents. Principal and interest VAT calculated on the payment schedule lines is included in the total invoiced amount, but VAT is not charged.
Fictitious payment automatically settles the invoice to the sales price of the installment sale
An item of the Invoice type is a prescription for payment of an installment, it is open and waiting to be settled with the payment received from the customer. It is accounted for as a short-term receivable. The invoice does not contain VAT (see the Financial Setup document, chapter Installment Sales Posting Setup).
The item with type <prázdný> is fictitious remittance and is closed because it has been automatically applied to the invoice for the installment sales price.
If insurance is arranged for an installment sales contract, it can be included in the payments or invoiced separately (see document https://iao.atlassian.net/wiki/x/t4ZsB ).
Insurance invoiced separately
The invoice for the installment sale price does not contain insurance
A separate Insurance Calendar is generated for the insurance out of payment, from which the insurance payments are invoiced
Insurance Included in Installments
The total amount to be paid (IS) on the Financing Contract, and consequently also the invoice for the sale price of the instalment sale, does not include insurance:
The insurance is calculated on the lines of the payment calendar and (according to the settings) VAT can be calculated for the insurance.
In this case, both insurance and VAT insurance are invoiced and posted because they were not included in the invoice for the installment sale price.
For fictitious payment of instalment sale, it is then necessary to set up posting so that it does not include insurance (the settings will therefore be the same as for instalment sale with insurance outside the instalment).
A posted payment can be canceled either individually or by a batch job.
If the user has posted a line in the installment sales payment calendar and runs the cancel function, the system will report an error message after confirming the query "Really cancel = YES":
This is due to settlement on the customer ledger entry.
The user selects the line with the document that he wants to cancel and selects Navigate.
After clicking on Customer Ledger Items, related items will be displayed.
Mark the item that is matched with the invoice and run Unapply Entries by selecting Process - Unapply Entries.
The Unapply Customer Entries window opens, in which the Unapply Entries option evaporates the items.
Confirming the query by selecting YES cancels the settlement.
This unblocks the line and it is possible to start Cancel on the line of the payment calendar. After the cancellation is completed, the changed flags are Posted =NO, Canceled=YES.