Invoice (accountancy)

Definition and stakes

Definition

In Accounts Department, a invoice is the document by which a Fournisseur establishes a Créance, resulting from the supply from a good or service of a service, with respect to its Client, recipient of this good or this service. accountancy distinguishes the invoice must of the invoice have.

Stakes

The invoice represents the account par excellence. It implies with its reception the obligation to pay in the term and must thus be entered to date. If it relates to a immobilization, there are acquisition or transfer. If it relates to a purchase or a sale, there is load or produced. To be able to enter correctly, it is also necessary to hold account with the reception of the invoice of the date of payment (for the cash or not) and of the tax on added-value (VAT).

Accounting according to the French standards

Accounting of a current invoice

The current invoices (simple) relate to the purchases or sales of goods and are subjected to a VAT rate of 19.6%. The expiry is delayed, for this reason a receivable (customer) or a liability (supplier) is also noted and not directly the bank or the case of the company.

The mathematical calculation of a current invoice

Purchase price or of vente
- assembling handing-over (% of the price)

Net Except taxe

+ Net net of tax * % of TVA

Net to pay (any inclusive of tax including all taxes)

The diagram of accounting

The traditional diagram of accounting of an invoice (example 100 euros + 19.60 euros of VAT) is in France:

In the supplier F:
flow 411 Customer C: 119.60€
credit 70 Sales (or another produced account of ): 100.00€
credit 44571 State - collected VAT: 19.60€

At the customer C:
flow 60 Purchases (or another account of loads): 100.00€
flow 44566 State - VAT to be recovered: 19.60€
credit 401 Supplier F: 119.60

Accounting of a made up invoice

The invoice can support flows which are not automatically those relative to the simple fact of buying or to sell. The invoice can become more and more complex:
Of a discount: reduction of the price for reduced term of payment (it should be noted that in case of immobilization the discount is directly deduced from the price of acquisition). The discount can also be noted with the paiement.
Carriage costs: if transport is paid by the client.
Packing: if packing is regarded as recoverable. Recoverable packing must be noted of accountancy at the supplier and the client.

The mathematical calculation of a made up invoice

Purchase price or of vente
- assembling handing-over (% of the price)

Net Except taxe

- Discount (% of the Net net of tax if reduction of the term of payment)
+ Frais of port (if paid by customer)
+ Packing (so recoverable)

Net

+ Net * % of TVA

Net to pay (any inclusive of tax including all taxes)

The diagram of accounting

List account numbers in the event of purchase:
6 accounts of achat
765 Discounts obtenus
6241 transport on achat
4096 Suppliers. Credits for packing and material with rendre
401 Fournisseurs
44566 deductible VAT on good and service

List account numbers in the event of sale:
7 accounts of vente
665 Discounts accordés
7085 Ports and fresh additional facturés
4196 Customers. Debts for packing and material consignés
411 Clients
44571 VAT collectée

For the fixed assets the discounts are deduced from the price of acquisition.

accounting of the stocks

It should be noted, if it is about a good intended to be resold in the state or after transformation, that this diagram describes well the birth of a receivable at F and a liability at C but not exactly the enrichment of F or the impoverishment of C, this owing to the fact that traditionally stocks are managed in manner extra-accountant to be regularized only at the end of the exercise.

Obligatory mentions on the invoice

In France, an invoice is of form free, but must include/understand a certain number of obligatory information. In any event, it indicates the nature of the good or the service provided, the quantity and the price like, if necessary, VAT.

The mentions to be related to an invoice are fixed into large leaves in articles 289 II the general Code the taxes and 242 nonies has appendix II with the same code.

Each invoice must imperatively be marked following:

the complete name of the salesman and that of the customer with respective addresses,
the individual number of identification to VAT of the salesman and the customer (the number of VAT of the customer remains optional for the operations carried out in France),
a single number of invoice based on a chronological sequence and continues,
the date of delivery or emission of the invoice,

On each line of the invoice, must also appear:

the date of realization of the vente/du service or the payment on the account (...),
for each delivered good or services rendered: quantity, precise denomination, unit price H.T., rate of VAT or, if necessary, benefit of an exemption,
all reductions, handing-over, rebates or discounts acquired and calculable at the time of the operation and directly related to this operation.

Lastly, must always appear:

the amount of the tax to be paid and, by tax rate, total H.T and the corresponding tax (If the taxable person is brought to invoice a VAT other than French VAT, the taxable person must specify very clearly that it is about the tax of such or such foreign country),
if necessary, the reference to the relevant provision of cgi or to the relevant provision of the sixth directive of VAT of May 17th, 1977 or to any other mention indicating that the operation profits from a measurement of exemption, a mode of car liquidation or mode of the profit margin,
the date on which the payment must intervene,
conditions of discount,
the rate of the penalties exigible the day following the date from payment mentioned on the invoice.
if the taxpayer is adherent of an approved accounts center, the mention " Accepting the payment of the sums which had by accounts - made out checks with its name in its membership of an accounts center approved by the administration fiscale".

sanctions with the failures

Each missing or inaccurate mention can be the fine object of fifteen euros, being specified that the latter cannot exceed the quarter of the amount of the litigious invoice (article 1737 II of cgi).

Accounting according to the standards Anglo-Saxon

In Anglo-Saxon accountancy, to suppose that the product cost 60 euros F, the writing at his place is supplemented by " flow Cost of the sales 60.00" /" credit stock 60.00" , thus releasing a Gross margin of 40.00. At the customer C, " flow 100.00" Purchases; is replaced by " flow Stocks 100.00" and the operation thus notes neither enrichment nor impoverishment, the active increasing of 100.00 (stock) + 19.60 (credit on the State) and the passive increasing by 119.60 (debt with respect to F).

The expiries of payment are variable in Europe according to the commercial practices, between 32 days in Scandinavia and 78 days in Europe of the south. The delays of payment are prejudicial to the economic actors, because often whom had with an unfavourable financial position of the debtor and involving a risk of insolvency. In order to fight against this situation, the creditors have the possibility of asking for post maturity interest, either freely fixed by contract, or in the absence of precise details of the rate of the ECB more seven points, or 3,75+7=10,75% in May 2007.

Random links: