posting FA aquisition from General Journal

Dear All,

I am posting fixed asset aquisition transaction directly from the general journal without making use of vendor and purchase invoice. I created the fixed asset card and my fixed asset is worth say $107, consider it is inclusive of $7 VAT. Now i want to creat journal in such a way that it debits asset for $100, VAT $7 and Credits Bank for $107.

I have all posting groups and VAT posting groups set up. Please tell me how do i complete this trasaction.

I would appreciate your response

Thanks

That for is FA G/L Journal in Fin.Management / Fixed Assets.

You need to split posting to 3 lines:

1 Type=FA, Acc=FA number, FA Posting Type=Aquisition, DB 100
2 Type-G/L Acc, Acc=VAT liable, FA Post.type=blank, DB 7
3 Type=Bank, Acc=Bank No, FA Posting type=blank, CR 107

DocNo must be the same in all lines to keep balance. See that BalAcc is left blank in all lines.

So it will hit G/L, Bank and FA Ledgers.

Hi Modris

Thank you very much for the response.

I do not allow direct posting in my Purchase VAT account so i cannot create VAT account debit. I thought there is someway by which we can automate VAT transaction even in GL. Do you have any idea?

As VAT is not a part of FA value, you have no other way to post using Journals. If you had Purc.Invoice, this would be handled by Navision logics.

You may tick “Direct posting allowed” for VAT Account just for seconds needed to post the Journal, and immediately remove it afterwards - I understand this one FA “non-standart” purchase is a rare exception, normally you still use PO/PI, not workaround through Journal.

Thanks Modris.

Here i accept your suggestion.

Hi Modris,

Can I maintain the exchange rate of my fixed asset from the date of acquisition? At the same time depreciation expense records using the exchange rate also from the date of acquisition? If yes, then how? Since this is on\e of the requirement of my client.

Your reply is highly appreciated.

Thank you!

Acquisition cost in FCY is recalculated to LCY upon posting PO/PI. Later on LCY is used to calculate depreciation, so FOREX rates are not involved in this process.

Hi,

Thank you so much! I guess this information can help a lot!

Till my next queries…

Hi Modris,

Why is it when i use purchase invoice to purchase fised assets there’s no Vat included in the entries? FA Posting type is Acquisition, Vat Posting group is Vatable 12%, but still there’s no VAT. Is there other set up for VAT that i missed? Thanks.