Variance between PO tax rate and Invoice tax rate

Hi,

There is a change in tax percentage from 12% to 11% from 01/01/2015.

Further there are purchase orders which are created at 12% on December 2014.

However users have created payable invoices using 11% tax rate and matched to respective PO which are created at 12%.

User has validated the payable invoice and completed the create accounting.

System has taken the 11%. However there are no entry for the tax rate variance of 1%.

Later we checked the respective tax. It's 100% recoverable.

Then I made the tax to non recoverable.

Now when i followed the same steps there is a entry for the 'Invoice price Variance".

Can we recommend the client to change the tax rate at the invoice as all taxes in the live system are 100% recoverable?