I purchased an asset together with some other accessories.
Lets say the items are:
- Printer (asset) USD 1000
- Cartridge (non-asset) USD 50
The purchase is from overseas company in USD, my currency is SGD.
So I created an asset, PO, PI and purchase invoice.
The problem comes when the item are delivered, we have to pay additional tax in SGD and some service fee to the courer. Normally I will record this using LCV. But for this purchase, because the printer is an asset, it doesn’t show up in the item list in LCV. It only shows the cartridge. And it will add on the taxes to the valuation of the cartridge only. Which is not right. Now I have a overvalued cartridge and undervalued printer asset.
How to import both item in LCV? Or is there any other way to do this?
Thank you in advance
I think LCV is used for “product” item that you are selling to your customer as LCV will add the amount of all the fees inside the COGS for your product.
if your printer is an asset that you use yourself then it wont go to the cogs section and i think you better use the asset category in the account.
The problem here is I was purchasing asset together with normal irem is the same purchase invoice. Even if I put the tax in tax & charges section, the result is the same.
- Printer (asset) $1000
- cartridge (non asset) $100
- tax (actual) $80
In the stock valuation will become cartridge=$180 and the printer remain $1000
Is this normal?
Yes I checked at the problem and try to simulate it on my system
- create asset item “printer laser” with amount 2000 usd
- create normal item “toner catridge” with ammount 200 usd.
- tax 10 percent based on “total & valuation” with charge by “on net total”
journal is showing like this…
Yes it seemed that the toner somewhat become 420 because of value 200 + tax 220 as you can see…
I think its because ERPNext views “asset” item as non stock item and therefore if you choose “valuation & total” in the tax section it will only update the “inventory” item value.
If you try to update the value of non-stock item with “valuation & total” option in the tax section you will get this warning:
So my idea is:
you can make “catridge” as non-stock item and select the tax as “total” and “actual”. which will give you correct journal but no stock valuation
you can still set the catridge as stock item but select the tax as “total” and “actual”. selecting this will not add taxes and charges to the catridge value. so the catridge will keep its buying value of 200 usd.
You can add its value later using the journal or other method to reflect the correct balance.
Keep in mind that the accounting for office equipment are for fixed asset and the cartridge are still regarded as “inventory” to be sold by the system.
- you can add tax inside the fixed asset valuation by specifying the “gross purchase amount” in the fixed asset section of the Asset doctype.
How to import both item in LCV?
What does LCV refer to here? I am familiar with CSV, for eg
bench --site your-site-name import-csv
Maybe LCV is landed cost voucher in this context
Thank you Pawan - that helps in my case!