Expense Claims with GST Tax Invoice - A Broken Workflow?

[zuron7]

If you happen to have a GST Tax Invoice (India), then you would most probably like to create a Purchase Invoice to keep track and make use of the India Compliance Frappe App.

In the HR Module, the Expense Claim has the ability to put in taxes, but we lose the ability to track GST. It gets even more complicated if we are using Employee Advance DocType. Need to create multiple jugaad entries to handle this kind of event.

How are you all handling this? Are you using a separate expense claim form outside of ERPNext? Is that the only way?

Currrently, we have created a custom doctype for Expense Claims with GST, and we ask folks to fill that out to track whether payments are being made or not. The default expense claims is only used for non-GST Invoices. A Ledger called Employees is created to track the amount and a Journal Entry is made everytime payment to an employee is created. This works well in a small organizaiton, but will be chaotic if it’s anything more than 20-30 folks.

What is your solution for this? Is this an India only problem because of how GST is structured?

Found these old threads if they help:

How the tax amount reimbursement work in expense claim

Hi @rmehta Can you please help in this subject i have posted above. Below screenshot in Manual Doc. [image] i understand the case displayed here in manual is for employee met the expense bill of 1000 with addition of tax 270. So he should get claim amount of 1270 as tax is already paid. and chart of account tax is 270 and expense head is 1000. Or if the tax is inclusive of the expense amount, then the employee to get 1000 fully, and in the chart of account 131 for Tax and 869 to expense …

Expense Claim - Payment Issue

Hello All, I am facing the below issue. Create an expense claim with any expense type and add taxes and charges in the Expense Taxes and Charges >> Approve it >> Submit it. Change Accounts Setting >> Make Payment via Journal Entry =1 (True) Create Payment Observed result Case -1. Payment through Journal Entry (Bank Entry) Total Sanctioned Amount is the sum of total expenses. Grand Total is the sum of Expenses Sanctioned amount + Expense Taxes and Charges Payment is made for Sanctioned Amoun…

Linking purchase invoice to expense claim

I am encountering the same issue. There are expense claims created by employees who pay for things with their personal credit card, and those expenses are signifiant enough to warrant a purchase invoice (e.g., our operations person pays on their personal card all of our sales team’s cellular bills). I like the workaround solution you provided SecA. It would be wonderful to be able to relate specific expense claim items to a purchase invoice. Even if it’s not on the roadmap, I still have nothi…

[Pawan]

We preferred to build a custom solution with ledger entries for this. This article may give you some insight.

[aa_prashant]

Hello @Pawan

I have gone through your solution.

Is it suitable for this case? Here it is-

We give advances to our employees to maintain expenses at the warehouse. They also pay the transporter for freight expenses.
Now we want to book RCM on these freight expenses as it is mandatory to do so in GST Rules.

Can you think of a solution for this issue?

Looking forward to hearing from you.

Thanks and Regards,

[Pawan]

It’s possible using a similar approach to the one mentioned in the article.