Bad Debt Management

 


 

Bad debts can be easily managed within Accounts Receivable, using the Enhanced Bad Debt Management functionality. The status of a trading account customer account and its remaining open items can be changed in a single step.

   
Doubtful Debt Codes
 
The option Doubtful Debt Codes allows you to create doubtful debt codes and their descriptions. There is no limit to the number of codes you can create.
 
   
Changing an Account's Status

 

The option Account Status Change allows you to manage the accounts of the trading account customers that have doubtful or bad debts. Transactions can be allocated Dispute Codes and/or Doubtful Debt Codes. You can optionally choose to move selected items to a different set of control accounts (controlled by the system key SLBADDEBT). The trading account customer can be allocated a new account type and be moved to credit stopped and/or despatch held status.

The system key SLCHGPOST is set to YES following an account status change. The value of this system key is used by the options Account Status Change Audit Trail and Period-end.

The option Acc. Status Change Audit Trail is a periodic audit trail detailing the changes made in the option Account Status Change.

The option Closed Items Cleardown will clear down the Account Status Change audit records.

The Accounts Receivable Transaction Enquiry option can now display and print the Control Account, Dispute Code and Doubtful Debt Code for each transaction.

 
   
Accounts Receivable Listing
 

The Accounts Receivable Listing can print the Dispute Code and Doubtful Debt Code for each transaction along with the relevant Comments and Date and Time details.

 
   
Writing-off Bad Debts & VAT Recovery

 

The option Bad Debt Write-off allows you select transactions that are to be written off. No partial allocation will be possible; transactions can only be written-off as they stand.

You can mark transactions as being eligible for the recovery of VAT.

If so, the original VAT General Ledger postings will be reversed and, if appropriate, any VAT Register postings will be reversed using the original VAT protocol number.

The Accounts Receivable Journal Audit Trail will now have the option of printing only the details of Write-off Journals and will include details of any VAT recovered.

The Sales VAT Register report and VAT Register Report will include any recovered VAT as negative values