Gift cards
You can use gift cards for paying and at the same time they are also products. Therefore, remember the following points:
- You need a separate bookkeeping account for gift cards.
- A gift card must be a separate product in ERPLY inventory. It shouldn’t be a stock product- then it’s easier to connect it with the right revenue account. Read here, how to set up the right revenue account.
- If customer pays with gift card, then it acts like a payment instrument. Therefore, you have to set it up like a payment instrument. Go to “Settings” > “ERPLY POS and inventory” > “Add rules to accounts”. Add the bookkeeping account to the gift card payment type.
- Gift cards are usually sold in its full price (e.g 100 EUR, not 100 EUR+VAT).
- If you want to calculate VAT for both of the transactions, then:
- In Books, Add “GIFTCARD” as extra information in gift card’s article. In this case, if you add 0% VAT in inventory, then ERPLY Books overwrites it with article’s VAT. Gift cards purchase looks like this (Invoice in amount Y and VAT):
- D:Accounts receivables Y * (1 + VAT)
- C: VAT Y*VAT
- C: revenue to account X in amount Y
- In Books, Add “GIFTCARD” as extra information in gift card’s article. In this case, if you add 0% VAT in inventory, then ERPLY Books overwrites it with article’s VAT. Gift cards purchase looks like this (Invoice in amount Y and VAT):
- D: Money Y * (1 + VAT)
- C: Accounts receivables Y * (1 + VAT)
- As a result of this transaction, you’ll have to pay the amount Y*VAT to the Tax Office.
- Go to “Accounting” > “Chart of Accounts” and add the needed VAT to the account X. In that case, when you use gift card for paying, gift card’s VAT will be calculated off. Using the gift card looks like this:
- D: Accounts receivables (usual sales)
- C: VAT (usual sales)
- C: revenue (usual sales)
- Go to “Accounting” > “Chart of Accounts” and add the needed VAT to the account X. In that case, when you use gift card for paying, gift card’s VAT will be calculated off. Using the gift card looks like this:
- D: gif card to account X
- D: VAT
- C: accounts receivables
- As a result of this transaction, customer should pay VAT (from sale) minus gift card’s VAT to the Tax Office. If you use gift card in 100% then you can ask back VAT originally paid for the gift card from the Tax Office.
If you want to use a collection account for gift card’s VAT, then use the gift card’s collection account for VAT.
NB: You must keep in mind, that if you determine VAT for gift card’s account, then if you use this account, the the same VAT will be used. For example you make a purchase invoice and you use this account then EPRLY Books ads the same VAT to this invoice.