subsequent dr/cr

[Former Member]

hi,

i would like to know subsequent debit/credit can do after a or b or both also possible.

1) vendor approaches with additional amount invoice or correction in Invoice after the invoice is posted.

may i know subsequent debit or credit only can do when

a) the payment of the invoice is made or

b) the invoice is created/posted but no payment made yet

2) any difference to carry out subsequent dr/cr for a and b?

thanks

[Former Member]

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[Former Member]

HI,

1.Sub sequent credit means, if we paid extra money to Vendor , so we can sub sequent credit we can balance.

2.Sub sequent debit means, if we nwamt tp pay exrea money to the vendor , we can adjust by subsequent debit.

Regards,

Andra

[Former Member]

Hi,

I think got my question incorrect. the meaning of subsequent dr/cr i know.

i need to know in A and B below. when i do subsequent dr/cr, i should do it when payment made or payment not yet made or both situation also can. and also for payment already made and payment not yet made, what would be the different impact or no impact.

1) vendor approaches with additional amount invoice or correction in Invoice after the invoice is posted.

may i know subsequent debit or credit only can do when

A) the payment of the invoice is made or

B) the invoice is created/posted but no payment made yet

2) any difference to carry out subsequent dr/cr for A and B?

thanks

rgds

[Former Member]

Hi Eliana,

If the payment has not been done yet :

1) if the invoice value is more or less and if the material is maintained in standard cost, the difference value will be posted to price difference account. There is no need to create subsequent debit for this. You can do in MIRO itself as you have not done payment yet.

2) If the material is maintained in moving average price, the difference will be posted to stock account.

If the payment has been done :

1) if the invoice value is more, you can raise subsequent debit. If it is low, you can raise subsequent credit. In both case the accounting hits are vendor account and price difference account and tax account.

Hope this helps you

Regards,

Prasath

[Former Member]

hi,

now i am confused.

i read other post and the explanation is after the invoice is posted, if the vendor come back with correction then need to use subsequent dr/cr BUT does not say payment made or not.

any clarification.

thanks

[former_member581212]

hi,

NOTE: The subsequent debit/credit can be posted only when the single invoice is posted before it...Its just an MM document which is independent of the payment made or not...In case, if the payments are made, then you can posted subsequent debit /credit for the amount which is req. to be deducted ie. credited to you from the vendor and later you get the amount from the vendor back...But if the payments are not made, then the total payment made to vendor will be the amount added/deducted by the subsequent debit/credit amount...

Hope it solves your query...

Regards

Priyanka.P

[Former Member]

Hi Ileana,

1) vendor approaches with additional amount invoice or correction in Invoice after the invoice is posted.

may i know subsequent debit or credit only can do when

a) the payment of the invoice is made or

b) the invoice is created/posted but no payment made yet

Ans: For both you can do subsequent debit / credit if the value is more or less.

2) any difference to carry out subsequent dr/cr for a and b?

Ans : If the invoice value is more, then you should do Subsequent Debit. If the invoice is less, then you should to Subsequent Credit.

Regards,

Jana