Feature Reaquest / Paid Development: Log transection into a libility account insted of income account until delivery is compleated for service based organization #4006
If I create a sales invoice for an sales order, system log the invoice amount immediately to income account . But as a service based organization it take me time to provide/deliver that service/group of service to customer . Maybe I can fail too . So Until I deliver it I don't want to log the sales amount to my income head because sales is not realized until I deliver it , instead of that I want it to log under a liability account until I deliver it , and after successful delivery I can adjust liability and income account.
Here is the current process
If I sale a service package of 50,000 to a customer which will took me 1 month to deliver and rise invoice of 50,000 to the customer:
but according to this business until we deliver it to client sale is not realized and transaction will not log under Income head , rather than that it will be logged under a liability account called unrealized sales.
I want my transactions to be like this
Accounting treatment – e.g. package @ Tk 50000 with booking money paid of Tk 5000
Step 3: Final Accounting treatment for the package sale
Cash/Bank Debit 25000
Accounts receivable Credit 25000
Unrealised sale Debit 50000
Income Credit 50000
I have already posted this to forum , and If its not possible with current process you can take it as a feature request . And if it not takes too much I can sponsor this also for a paid development .
nabinhait
commented
9 years ago
If I create a sales invoice for an sales order, system log the invoice amount immediately to income account . But as a service based organization it take me time to provide/deliver that service/group of service to customer . Maybe I can fail too . So Until I deliver it I don't want to log the sales amount to my income head because sales is not realized until I deliver it , instead of that I want it to log under a liability account until I deliver it , and after successful delivery I can adjust liability and income account.
Here is the current process
If I sale a service package of 50,000 to a customer which will took me 1 month to deliver and rise invoice of 50,000 to the customer:
but according to this business until we deliver it to client sale is not realized and transaction will not log under Income head , rather than that it will be logged under a liability account called unrealized sales.
I want my transactions to be like this
Accounting treatment – e.g. package @ Tk 50000 with booking money paid of Tk 5000
Step 2: Partial payment received from client
Step 3: Final Accounting treatment for the package sale
I have already posted this to forum , and If its not possible with current process you can take it as a feature request . And if it not takes too much I can sponsor this also for a paid development .
Forum post : https://discuss.erpnext.com/t/revenue-recognition-principle-terms-for-erpnext/7325 Realization: http://accounting-simplified.com/financial/concepts-and-principles/realization.html