Local invoices in a foreign currency

Requirement

Additional country-specific requirements may apply to invoices that include VAT and that are denominated in a foreign currency that differs from the accounting currency:

The printing of all amounts in both the foreign currency and the local currency
The printing of the VAT amount in the local currency

If a VAT invoice is issued in a foreign currency, then the amounts must be converted into Cayman Islands Dollar (KYD).

M3 solution

This requirement is supported by M3.

Configuration guidelines


Program ID	Program name	Description or comment
CRS630	Accounting Identity. Open	Define an account for currency gains and losses. Set the VAT account tp (VAT account type) field to 0-Not VAT A/C.
CRS395 CRS396	Accounting Rule. Set Accounting Exception. Open	To enable the selection of local invoices with a foreign currency, configure accounting rules for event AR30 and for these accounting types: 301 – realized exchange gains 302 – realized exchange losses 111 – VAT payable 1 In (CRS396), set accounting exceptions for the accounting rules, and set accounting dimension 6 to one of these values: For account types 301 and 302, specify T so that transactions are included in the base amount for income tax calculations. For account type 111, specify N so that transactions are excluded from the base amount for income tax calculations.
CRS405	FAM Function. Open	Configure function AR30. Specify this information: Split pmt trans (Split payment transactions) Specify 3-Split GL - sev pmt trans in AP/AR. Curr rate var (Managing currency variance rate) Specify 2-VAT calculation, no document printed.