Australian question re: GST and purchase orders

StormCStormC Member Posts: 1

If you're a business in Australia, I hope you can help me!

Hi. I'm new and still learning. I've moved from MYOB Retail Manager, where, when I received goods on an invoice from a supplier, I used to enter the items in Goods Received, and entered the cost ex GST. Then Retail Manager would automatically add GST, and the total of the Goods Received order would match the total of the invoice to pay. In Lightspeed, when I receive items in on an invoice, I have to create a purchase order first (I think, please correct me if I'm wrong), then check them in. When I enter an item in a purchase order ex GST, Lightspeed doesn't automatically add the GST, therefore my invoice total for the purchase order is not the same as the invoice total from the supplier. I need these two figures to be the same for my back-end accounting. What can I do to fix this, or get it correct? Is the GST added at the time of "check-in" ??

If you're a business in Australia, I hope you can help!

Post edited by GenevieveFL on

Answers

  • aimzaimz Member Posts: 7

    Hi Storm,

    We came from RM too a few years ago and had the same issue. We have the "Other" section (found under shipping) in the PO set up in our Accounting integration to feed to through to our GST account. So you enter the items ex GST, and put the total GST from the invoice in "Other".

    Hope that helps

  • timfarrelltimfarrell Member Posts: 1

    Hi there,

    It gets a lot more complicated when you have products that attract GST as well as ones that are GST free. There is no way of double-checking that you have the products set up in the system properly. It should auto-populate the GST total on the PO. LSR has the total tax summary everywhere else.

    We have learnt to balance the PO's subtotal and then add the shipping and GST figures (supplied from the Vendors Tax Invoice) into the PO to make the total figure match, just as Storm has suggested.

  • TrolleyMuseumTrolleyMuseum Member Posts: 30
    edited July 2

    We have the same issue (kind of) here in the US. I have to add shipping cost to my item's actual COG. So my work around is I if I have $100 shipping, I divide that by the dollar amount of my PO. (eg. $100 shipping on a $3,000 order equals $.03) I then take the base cost of the item and multiply by the $.03. So a $50.00 item x .03 = $1.50. So my new Cost of Goods for the item is $51.50.

    It is a TEDIOUS process to say the least, but it distributes the cost of shipping into all products evenly. Usually I only have to do it the first time I order an item as the next PO will have that calculation done and it is usually pretty close, unless the cost has gone up in between orders. It always takes tweaking and I am not gonna lie, sometimes this can take me an hour or so to fix the PO to match the invoice as LS is just not capable (at this point) of allowing you to add in the Shipping on the PO and have it disburse evenly throughout the PO.

    Perhaps this would work for you as you can do the calculation on ONLY those items with GST.

    Again...sadly, it seems that LS is created by "computer" people with no retail experience, whatsoever. Anyone in retail knows there are additional costs associated with a PO or that cause fluctuation in an items cost vs. just what the vendor says it costs.

    Many of these issues we struggle with and spend hours "working around" would not exist otherwise.

    It's a decent POS system for sure, but so many issues could have been avoided with retail consultation, BEFOREHAND!! 😕

    If anyone has a better, quicker way...I am all ears. 🙂

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