Purchase Payment on Account
The Purchase Payment on Account is used to record any monies received from a supplier for which there is no invoice to allocate them against.
This might be for:
- a prepayment against a Pro Forma Invoice.
- a deposit as a new supplier.
- an unreconcilable payment for which it is not possible to determine which invoices it is paying.
Once a Purchase Payment has been created, it behaves just like a Purchase Credit Note and can be allocated against invoices or refunded in exactly the same way.
POSTING RULES
| Code | Name | Debit | Credit |
| PA | Purchase Payment on Account | Accounts Payable | [Bank Account] |
The Debit must be against Accounts Payable; the Credit is into a Bank Account Nominal Code which is flexible. There is only a single line entry for a Purchase Payment on Account.
