Intercompany Development Ledger Accounts Payable Invoice with Tax Held at Parent Company

•      Debits - General Ledger A/c as per Debit of cost centre property

•      Debits - GST Paid

•      Credits - Trade Creditor

Using the following General Ledger accounts as

Cost Centre Properties

•      CC1 - Debit General Ledger A/c (A)

•      CC2 - Debit General Ledger A/c (B)

•      Interco A/c (both companies)

Other General Ledger Accounts

•      Trade Creditors - from supplier account group

•      Retentions Payable - from GJC defaults for retention

•      GST Paid - tax code setting as per system maintenance

•      Deferred WIP - from GJC Defaults for retention (only for retentions before tax)

•      Retentions Recoupment - from GJC Defaults for retention (only for Development Ledger linked Accounts Payable invoices)

Sample One - Development Ledger Accounts Payable Invoice

Accounts Payable (before tax retention) retention (15% retention example) with tax held at parent company

Journals as follows –

Now we go into the inquiry screen and we RELEASE which will create the invoice.

Retentions to be held

Accounts Payable (after tax) retention (15% retention example) tax at parent

Journals as follows –