The difference between vendors and sellers

[Former Member]

I found this sentense in http://help.sap.com/saphelp_sbo882/helpdata/en/44/f8c628445241aae10000000a114a6b/content.htm   :

"A/P and A/R tax invoices are documents issued by vendors and sellers, respectively."

Now the question is: what is the difference between vendors and sellers ?

Regards.

Mona

[Former Member · Accepted solution]

Hi Mona,

Vendors means - the agency/person from which you are procuring the materials/services. Tax which are payable to vendors come under A/P taxes (input taxes)

Selles means - the agency/person which sells materials/services. Tax which are applicable while selling  come under A/R taxes (output taxes)

Hope, this is clear.

Regds,

Nilesh

[Former Member]

Hi,

First statement itself explains your question.

'A/P and A/R tax invoices are documents issued by vendors and sellers, respectively. For taxation purposes, you are legally obligated to issue tax invoices for sold goods or services.'

This means when you sell (seller), you need to issue tax invoice, when you purchase from vendor, he need to do the same (he need to issue you tax invoice)

[JL23]

A/P = accounts payable

A/R = acvcounts receivable

A/P, you have to pay, you pay to vendors

A/R, you get money, you are the seller.