Process:

There are two types of receipts which are recorded within a business - receipts from customers/trade debtors and other receipts. Other receipts are receipts using the payer option within the receipt’s entry screen.

For any receipts on which VAT has not been previously captured and for any receipts which are not customer-related (i.e. grants received, bank interest earned etc) then a payer should be selected by typing the desired name in the Customer/ Payer box.

After this, when you tab past the Customer/ Payer you will be prompted to select if this is a new customer or select other (i.e. payer). This will add the payer to the payer listing for future use. Select the nominal account relevant to the receipt e.g. Interest earned.

Navigate to Bank > Receipts

Received Into        

Select the bank account from the drop-down list into which the funds are being lodged (bottom right-hand corner of the entry screen). You must ensure you are working from the correct bank account at the start.

Reference

This is the lodgement slip number or the bank statement reference

Date

Date of lodgement as recorded on the lodgement slip or in the case of credit transfers the date of lodgement into the bank account.                               

Customer/ Payer

Select a Payer from the existing list (F2) or type the first letter of the Payer name, use the arrow down key to scroll through the existing Payer names.

To setup a new Payer simply type the new Payer name. The program will recognise the new name does not already exist and prompt you to specify if it is a new Customer or Other, and select to add the new name to the Payer list.

Nominal Account              

Select the appropriate nominal account, F2 will give a full list of the available accounts which you have flagged for view within the Receipts screen. Alternatively, type the first letter of the account name and use the arrow keys to scroll through the nominal accounts.

For income items which are not Sales/ Turnover related you can set up user-defined income accounts to group income types together and give further information, see Income Accounts.

Amount                                          

Enter the amount per the lodgement or cheque received or per bank statement in the case of Credit Transfers.  This will always be the GROSS amount when VAT is involved in the transaction.

VAT                                                       

If applicable a VAT rate can be attached to the amount entered which will record the VAT payable to the Revenue through to the VAT account and VAT report.

While within the amount box use the arrow keys to scroll through the VAT rates available to capture the VAT on any receipts for which you may owe VAT to the Revenue and for which the VAT was not previously captured. The VAT element will flow through to the VAT report to be included within the Normal VAT Report for the period.

An Example of a Non-Customer, i.e. PAYER, related receipt is:

OR

The Payer set up to identify might be FAS Grants Quarter 1.

The Income Account used is renamed using the User Defined Income Account option.

The posting to the Trade Debtors account is omitted as the amount was received straight away so did not need to be treated as a receivable.

Note: It is not obligatory to set up a payer or to enter anything into the Customer/ Payer field.  If you leave the field blank, then the entry is recorded in the same manner as a payer receipt but without attaching the extra narrative of a payer's name to the transaction. The advantage of using the payer option is that the payer gives an additional narrative to the transaction to identify the purpose of the transaction.

Additionally, once a Payer is set up, the payer is added to the payer listing and can be selected against future transactions where appropriate. The last nominal account used for the payer will also link to subsequent transactions automatically but is always available to change at the user's discretion.