VAT accounting entries in P2P Cycle-India Localization
Created a PO with VAT @10% of value 1000 (which is non-recoverable)
Material: 1000
VAT: 100
Created a receipt for total PO
Receipt Accounting
Receiving Inspection: 1100 Dr
AP Accrual 1100 Cr
When we go to Receipt( Localized) screen for the above receipt, at the time screen close, system is populating a message(this operation would cause accounting entries) to generate the accounting entries for this receipt. If click on Yes, system is calculating tax accounting entry again as below.
Receiving Inspection 100 Dr
AP Accrual 100 Cr
At the time of delivery,
Material 1100 Dr
Receiving inspection 1100 Cr
Query: Why system is calculating VAT accounting entries two times at the time of receipt (included in receiving inspection) and when we query in Receipt (Localized) screen.