Creating Payables invoice record

When creating the Payables invoice record, you must use the applicable country's entity tax code that has the VAT Reverse Indicator flag enabled.

  1. Sign in as Payables Manager and select Manage Invoices.
  2. Click Create Invoice.
  3. Select values for the required fields.
  4. Click Save.
  5. On the Distributions tab, specify the Distribution Amount and provide the distributions.
  6. Click View to see the linked tax distribution.
  7. Release the invoice.
  8. Select Run Processes > Journalize.
  9. On the Journalize Preview tab, select the specific invoice and click Search.
  10. When the process is completed, generate the report.
    1. Select Tax Setup > VAT Setup > VAT Return Report.
    2. Specify this information:
      Tax Entity
      VAT Reverse Indicator Select the Mexico tax entity code. This tax entity must have the field selected.
      Tax Year
      Select the tax year.
      Tax Period
      Select the tax period.
      Report Identification
      Update Option
      Select Yes.
      VAT Reverse Indicator
      Select this check box.
    3. Click OK.
      Select the Mexico tax entity code. This tax entity must haveA Value-Added Tax Report shows the vendee’s input tax and the vendor’s output tax.