Settings For The Payments Ahead Module

Sales & Receivables Setup

There is a new tab in the Sales & Receivables Setup window Prepayment (Payment Ahead):

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• Field Allow Payments Ahead

  • Enables/disables the Payments in advance module, including related adjustments

    • Yes

      • When applying in the Payment Journal, it allows to select customer items "for the future", i.e. items with a Posting date higher than the payment date.

      • In the Payment Journal, it is possible to use flags and functionalities related to the Payments Ahead module (e.g. manual or automatic flag setting, automatic changes to the customer's posting group intended for Payments Ahead)

      • An advance payment can also be generated retrospectively based on a settlement on the balance or by a batch job 

      • Customer Ledger Entries can only be applied in the same currencies. It is already checked at the setting level – in the Currency Settlement field on the General tab, the value must be set to "None" 

    • No (No)

      • When applying in the Payment Journal, customer entries are searched only "to the past", i.e. items with a Posting date equal to or lower than the payment date. Entries with a Posting date higher than the payment date cannot be applied to payment

      • flags and functionalities associated with the Payments Ahead module cannot be used in the Payment Journal (e.g. manual or automatic flag setting, automatic changes to the customer's posting group intended for Payments Ahead)

      • An upfront payment cannot be generated or additionally (based on a settlement on the balance or by a batch job)

• Field Create Payment Ahead by Period

  • The setting determines when a payment is received When Leveling with Invoice evaluated as "prepayment" - test for VAT period:

    • Yes

      • Being tested moon – when it is moon Payments Lower Than moon VAT paired invoice, then it is a payment in advance 

    • No (No)

      • Being tested day – when it is date Payments Lower Than Date If the invoice is VAT-matched, then it is a payment in advance.

  • The setting is used when the payment is applied to customer ledger entries of the Invoice type, and there must be header Posted sales invoices. If it doesn't exist, VAT Date isn't tested and this setting isn't applied.

  • If a mass payment is matched in the journal using the Apply entries function, the condition must be met for at least one paired invoice to identify the payment ahead by VAT date. 

• Field Generate Prepayment Invoice Immediately

  • Specifies whether the pre-generated tax invoice for payment will be when posting the Payment Journal or a batch job afterwards

    • Yes

      • Based on this setting, if the payment in the Payment Journal meets the conditions for generating a payment prepayment, the system will select the Generate tax invoice for prepayment immediately field on the payment line

    • No (No) 

      • If the payment in the Payment Journal meets the conditions for generating a payment ahead, the system does not immediately check the Generate Prepayment Invoice field based on this setting, the tax invoice for the generated Payment Ahead will not be created when the journal is posted, but will be generated additionally by the Generate Tax Documents and Credit Memos for Payments Ahead batch job.

• Field Generate Prepayment Credit Memo immediately

  • Specifies whether the prepaid tax credit memo will be generated immediately When you settle a payment (either in the Payment Journal or manually on the balance) or subsequently by batch job

    • Yes

      • If a Payment Ahead has been generated for the received payment and a tax document has already been posted, then a tax credit note will be generated when posting the settlement of the payment (either in the Payment Journal or additionally on the customer balance).

    • No (No)

      • A tax credit memo is not generated when you post a settlement of a payment, but it will be generated additionally by the Generate Tax Documents and Credit Memos for Payments Ahead batch job.

• Field Payment Posting Method

  • The settings determine what Customer Posting Group (i.e. the accounts receivable account) will be used in the Payment Journal – either the default posting group copied from the Customer Card or the substitute posting group specified for posting payments received in advance.

  • The setup is especially important for posting journal payments that are not paired with an invoice (they will only be placed on the customer's balance) and do not have the Generate prepayment box checked.  

    • Common Payment

      • This option is intended for unpaired Payments to be posted to the current receivables account (e.g., 311AU). 

      • When inserting Account Type = Customer and Customer Numbers in the Payment Journal, the system copies the default Customer Posting Group from the Customer Cards

      • It is not possible to generate an additional Advance Payment for these payments

    • Payment Ahead (Payment Ahead)

      • This option is intended for unpaired Payments to be posted to the advance payment account (e.g. 324AU) 

      • On the payment line, the system copies the default Customer Posting Group from the Customer Card and then automatically replaces it with spare Posting group for Payments Ahead that is mapped to the default posting group (see Setting up Customer Posting Group).

  • If a payment is marked with the Generate prepayment flag in the Payment Journal, the setting is not applied and the system always uses the substitute posting group specified for payments ahead.

  • Other changes to the customer's posting group in the journal can occur when a payment is settled, but the system does not follow this setting.

  • Note: if the Payment Posting Method is set as Common Payment, Record as Payment Ahead must be set = Only Leveled. If All is set to Customer, the unpaired payment will be marked as "Payment in advance" in the journal, for such a payment the system requires the Customer Posting Group designated for Payments Ahead

• Field Mark as Payment Ahead

  • Specifies under what conditions Settlement Conditions In the Payment Journal, the system sets the "Generate prepayment" flag on the payment:

    • Only Applied

      • The payment must be settled and at least one of the invoiced documents will be of the Invoice type, there will be a Posted Sales Invoice header and at the same time the Posting Date of Payment will be lower than the VAT Date of this invoice (from the Posted Sales Invoice header), where:

        • The VAT date of the invoice can also be in the same month as the payment (see the settings Create Payment Ahead by Period = No),

        • or The VAT date of the invoice must be in a month lower than the month of payment (see the setting Create Payment Ahead by Period = Yes) 

    • All for Customer

      • Payments defined in the previous option "Only Applied"

      • And then payments that will only be placed on the customer's balance without settlement (the Customer No. is filled in on the payment, but it is not settled with any Customer Item)

      • Furthermore, payments are only partially settled and none of the items to be applied meet the condition of payment in advance.

Payments made when matching the system never Do not mark as "Prepayments" (regardless of the setting):

• Payments applied to another document type (Refund or "blank") regardless of date   

• Payments applied to an invoice that doesn't meet the following conditions:

  • Either the payment date is the same or higher than the invoice date.

  • or if you set Create Payment Ahead by Period = Yes, the payment date is in the same month or one of the following months than the invoice date

  • Or, the posted sales invoice header doesn't exist, so you can't find the VAT date.

This setting is used only as the default for setting the Generate prepayment flag in the Payment journal. If the user manually changes the flag on the payment, the system no longer checks the settings when posting.

When re-matching in the Payment Journal, the Generate prepayment flag is updated.

When you cancel an application, the flag is deleted depending on the setting of the All to customer flag (that is, if the All to customer flag is not set).

Example of how to use the settings in the Payment Journal:

*) Customer Posting Group:

• TUZ = Default Posting Group on Customer Card

• TUZ_P = Posting group specified for Payments Ahead mapped to the default posting group.

• Field Prepayment Invoice Nos.

  • The number sequence will be used for numbering tax documents generated for a forward payment. Only one number series can be set.

• Field Prepayment Credit Memo No.

  • The number sequence is used to number tax credit memos that are generated for a forward payment. Only one number series can be set.

• Field Prepayment Nos.

  • The number sequence will be used for Payment Ahead numbering. Only one number series can be set.

• Field Prepayment VAT Prod. Posting Group

  • Setup for VAT calculation. The payment will be taxed according to the set VAT product posting group in combination with the VAT business posting group.

  • Note: The VAT business posting group is copied from the Customer Card. Only if Global Dimension 2 (Contract) is filled in on the payment and a Financing Contract is found according to the contract number, the VAT Bus. Posting Group from the header of the found contract will be used.

• Field Generate Tax Documents for Payments Ahead without Financing Contract

  • The setup is used by the batch job Generate Tax Documents and Credit Memos for Payments Ahead, in subtask No. 2 for retrospective checking of symptoms on Payment in advance. This setting resolves cases where a Financing Contract is not found for Prepayment according to Global Dimension 2 and a tax invoice for Prepayment has not yet been generated. Election:

    • NO (NO)

      • if a Financing Contract is not found according to Global Dimension 2, a tax document for payment in advance will not be generated (flags for generating documents in Payment in advance will be deleted) 

    • YES (Yes)

      • if a Financing Contract is not found according to Global Dimension 2, a tax document for payment in advance will be generated (flags for generating documents remain on the Payment in advance).

VAT Bus. Posting Group

Setting on a VAT business posting group allows you to Suppress Tax Document Creation for selected VAT Posting Groups and possibly also for selected Financing Types:

• Field Block Tax Document Creation for Financing Types

  • Yes

    • If set to Yes, then a Payment Ahead will be generated for this VAT business posting group, but a tax document will not be created. Financing Type is no longer taken into account

  • No (No)

    • If the No, then the type of financing is further examined.

• Field Block Tax Document Creation for Financing Types

  • This is a setting of Contract Financing Types for which tax documents for prepaid payments will not be generated (e.g. loans and instalment sales). Sets only if the Block payment ahead tax document creation field is No. If the Financing Types filter is empty, tax documents are always generated.

  • The numeric values of Financing Types for filter settings are:

Example filter for Credit and Instalment sale: 2|3

The system determines the type of financing in the Financing Contract according to Global Dimension 2 (Contract), which is filled in the Prepayment type Payment, where it is copied from the payment in the Payment Journal.

The system uses the settings when generating the Payment Ahead header (when posting a journal or when generating payments ahead retrospectively) either according to the VAT business posting group from the customer card or according to Dimension 2 (from the payment or according to settlement)

VAT Posting Setup

On the VAT Posting Setup tab, the fields for setting up accounts for posting tax documents and Prepayment credit memos are:

• Field Sales VAT Account

  • VAT on the tax document and tax credit note (e.g. 343.AU)

• Field Payment Ahead VAT Bal. Account No.)

  • Offset account to VAT account on tax invoice and prepayment tax credit memo (e.g. 324.AU). This account will appear on the Payments Ahead line.

Customer Posting Group

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For Prepayments, you need to create a A new set Customer Posting Groups and Flag Them Use for Payments Ahead.

The Customer Posting Groups that are designated for current receivables (e.g. invoices, current payments) are mapped to the appropriate Substitute Posting Group for Payments Ahead from a new set. 

The system will then use the mapping for the Change Customer posting groups in the Payment Journal for payments received in advance. 

For prepayments, you need to set the following fields:

• Field Receivables Account

  • Account To Be Posted payments received in advance (e.g. 324.AU).

• Field Use for Payments Ahead

  • Yes

  • A customer posting group with this setting must be used:

    • for payments posted in the Payment Journal that are marked with the Generate prepayment flag

    • for payments for which the Prepayment may be generated additionally, only on the basis of the settlement of Customer Entries on the balance, if at least one settlement meets the conditions of the Payment Ahead according to the settings

    • in a batch job for payments placed on the balance without settlement (e.g. for additional taxation of payments that remained outstanding at the end of the month)  

  • No (No)

    • A customer posting group with this setting can be used for posting regular payments. It cannot be used for posting Payment Ahead and additional generation of Payment Ahead is not allowed for this posting group.

• Field Substitute Posting Group for Payments Head

  • The field is used to map the original Customer Posting Group used on the Customer Card or on the document to be applied to a special Customer Posting Group designated for posting a payment received in advance

• Field Generate Tax Documents for Payment Ahead

  • The setting is used by the system:

    • when generating the Payment Ahead header

    • in the batch job Generate Tax Documents and Credit Memos for Payments Ahead in subtask 2 - Check flag settings before generating documents

  • Options are available

    • Yes

      • To set the Generate Documents and Generate Tax Document for Payment Ahead flags on the generated Payment Ahead (type Payment)

    • No (No)

      • On Payment in advance, set flags Generate documents = Yes and Generate tax document = Yes

      • In the Subtask Check flag settings before generating documents for a given Customer Posting group in Prepayment, deletes flags for generating tax documents and possibly also tax credit memos (it is one of the three conditions of the task).

Note: The customer posting groups that are specified for payments ahead and the original posting groups must be set up against each other as Alternate Customer Posting Groups (Standard BC).

Set Up Printing Tax Documents and Tax Credit Memos

Printouts of Tax Invoice, Tax Credit Memo and Prepayment Tax Credit Memo are not part of the standard solution.

When you start printing from the Posted Sales Invoice or Posted Sales Credit Memo header, the standard settings for printing a posted regular sales invoice/credit note are used.