BOS - AP User Guide

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1. Overview

The Accounts Payable (AP) module is designed to manage supplier liabilities, including data entry for invoices, payment processing, and withholding tax calculation. It integrates with other financial modules such as GL (General Ledger) and PO (Purchase Order), ensuring consistency and efficiency in the company's procurement and financial processes.

2. Configuring Initial System Settings

Before recording payable transactions, users must define essential configurations including creditors, bank details, payment methods, and accounting formats. These configurations form the basis for accurate and consistent AP processing.

2.1 Payables Information

This menu stores creditor information used for managing debts, payments, and tax withholding. The information ensures seamless integration with payment transactions and accounting records.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Payables Information.
2. Click 'New' to add a new creditor.
3. Fill in details all tab including General, Address, Contact, Business, Product, Bank Account.
4. Define payment terms, credit limit, and applicable tax category.
5. Click 'Save' to complete the creditor registration.

Note: Ensure creditor details are accurate to prevent issues during payment and tax calculation processes.

2.2 Bank Information

This section allows users to register and manage bank names and branch information, which are required for payment processing in the AP system.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Bank
2. Click 'New' to create a new bank record.
3. Enter the bank name, short name, and optional code.
4. Define branch details, including address and code.
5. Save the information for later use in bank account setup.

Note: Bank and branch information must be set before linking to bank accounts and payment formats.

2.3 Bank Account

This menu is used to define bank accounts used in the payment process. It supports multiple payment channels including cheque, money transfer, or direct debit.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Bank Account.
2. Click 'New' to add a bank account.
3. Select the related bank and branch.
4. Enter account number, account name, and select usage type (e.g., Cheque, Transfer, Direct Debit).
5. Click 'Save' to register the account.

Note: Ensure bank accounts are created after setting up banks and branches.

2.4 Payment Information

This menu is used to define various payment methods that will be used in the AP system.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Payment Information.
2. Click 'New' to create a new payment method.
3. Enter payment method name and short code.
4. Specify if the method uses cheque, transfer, or cash.
5. Save the configuration.

Note: Payment methods must align with the actual disbursement processes used by the organization.

2.5 Income Type

Income types are used for classifying types of income, primarily for the purpose of withholding tax reporting.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Income Type.
2. Click 'New' to define a new type.
3. Input income type name, applicable withholding rate, and tax form category.
4. Save the income type.

Note: Ensure income types reflect current tax policies to comply with legal requirements.

2 .6 Check Type

Check types define different categories of cheques issued in the system, such as open cheques or crossed cheques.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Check Type.
2. Click 'New' to add a check type.
3. Input name, code, and characteristics of the cheque.
4. Save the entry.

Note: Use consistent naming conventions to avoid confusion in cheque issuance.

2.7 Bank Fees

This menu allows users to define fee structures related to banking transactions for use in payment processing.

To perform the task:

1. Go to SYS > Back Office Master > Account Payable > Bank Fees.
2. Click 'New' to define a bank fee.
3. Select bank account, fee name, and fee amount.
4. Specify if the fee is fixed or percentage-based.
5. Save the entry.

Note: Accurate setup of bank fees ensures proper accounting during payment processing.

2.8 Accounting Format

This menu sets the template for how transactions from AP are posted to the General Ledger. To perform the task:

1. Go to SYS > Back office Master > Account Payable > Journal Template.
2. Click 'New' to create a new format.
3. Define transaction type and link it to Chart of Accounts.
4. Specify debit/credit structure and any references.
5. Save and test the format configuration.

Note: Misconfiguration in accounting format can cause incorrect postings in the GL.

3. PAYABLE SYSTEM

The Payable System is used to manage all operational transactions related to accounts payable. It covers invoice creation, payment processing, withholding tax, deposit records, debt adjustments, and related financial activities. The system supports various payment methods and tax requirements, ensures proper documentation, and enables submission of finalized transactions to the General Ledger (GL). This module helps streamline financial workflows, ensures data accuracy, and maintains compliance with company policies and legal regulations.

3.1 Invoice

This menu allows users to create invoice documents, either manually or imported from other systems. Invoices are used to record accounts payable transactions and form the basis for future payments.

To perform the task:

1. Go to BOS > Accounts Payable > Operation > Invoice.
2. Click 'New' to create a manual invoice or select import option to retrieve from linked systems.
3. Fill in creditor name, invoice number, date, and amount.
4. Attach reference documents or PO as required.
5. Save the invoice for further processing or approval.

Note: Ensure invoice information matches the actual supplier invoice to prevent payment discrepancies.

3.2 Payment

The Payment menu is used to settle debts recorded from invoices. Users can issue payments via cash, cheque, bank transfer, or direct debit depending on setup.

To perform the task:

1. Go to BOS > Accounts Payable Operation > Create Payment.
2. Click 'Create' and select creditor to view outstanding invoices.
3. Choose invoices to pay and specify payment type and method.
4. Enter payment details such as cheque number, transfer ref, or bank account used.
5. Save and approve the payment.

Note: Only approved invoices can be paid. Confirm payment method is aligned with setup in the system.

3.3 Withholding Tax

This function calculates and records withholding tax based on invoice type and income category. It ensures compliance with tax law and enables generation of tax reports (e.g., PND 3/ 53 ).

To perform the task:

1. Go to BOS > Accounts Payable > Operation > Create Payment > Withholding Tax.
2. Select the invoice to apply withholding tax or click New.
3. Choose income type and verify tax rate.
4. Save the transaction for submission and reporting.

Note: Income type setup must be completed before processing withholding tax.

3.4 Deposit Documents

Used to record advance payments or deposits made to suppliers. These are tracked separately and can be applied to invoices later.

To perform the task:

1. Go to BOS > Accounts Payable >Operation > Deposit Payment
2. Click 'New' and enter deposit details including creditor, amount, and deposit date.
3. Attach supporting documents if any.
4. Save to record the deposit.

Note: Deposits can later be applied to offset against future invoices.

3.5 Submission of Debt Settlement Information

This step is used to finalize all payment and invoice documents before posting to the accounting system. It locks data for the specified period to ensure integrity.

To perform the task:

1. Go to BOS > Accounts Payable > Process Send Data
2. Select period and document types.
3. Click 'Submit' to send all completed transactions to the General Ledger.

Note: Only finalized and approved documents can be submitted to GL.

3.6 Export the Data File

Allows export of AP data into standard file format (e.g., XML, Excel) for submission to external agencies or internal analysis.

To perform the task:

1. Go to BOS > Accounts Payable > PND Export.
2. Choose export type and data range.
3. Click 'Export' and save file to designated location.

Note: Ensure file is reviewed before submitting to revenue authorities or auditors.

3.7 Manage Taxes

This section is used to manage tax reporting related to AP including preparation of monthly forms and summaries for withholding taxes.

To perform the task:

1. Go to BOS > Accounts Payable > Operation > Vat.
2. Select period and tax form type (e.g., PND3, PND53).
3. Review list of tax transactions and generate report.
4. Print or export tax form.

Note: Only transactions marked with income type and withholding setup will appear in tax reports.

3.8 Check Information

Provides functions for tracking, printing, voiding, and managing cheque transactions. Useful for cheque-based payments issued via the AP system.

To perform the task:

1. Go to BOS > Accounts Payable > Check Information.
2. Search for issued cheques by date, supplier, or bank account.
3. Print cheque, void or mark as cleared as necessary.
4. Export cheque list for review.

Note: Always cross-reference cheque status with bank statement before marking as cleared.