How to include VAT for pre-payment invoice amount?

(6) Share

Report

Posted on by Niki

435

Hi,

I need to include the VAT amount when I posting purchase pre-payment invoice. When I enter pre-payment percentage, the system calculates the prepayment amount using Line.Amount Excl.VAT. Can you guide me to do

Categories:

Dynamics 365 Business Central

I have the same question (0)

All responses (10)

Answers (2)

KP - Solution Archi... 658 on at

Like (4)

Report

Hello,

There are fields available for prepayment in business central

Was this reply helpful? Yes No
Niki 435 on at

Like (3)

Report

I need to enter the the pre-payment amount at the purchase order level. However, those fields are not editable. How can I make them editable?

Thank you so much for your consideration.

Was this reply helpful? Yes No
Suggested answer

Jainam M. Kothari 15,639 Super User 2025 Season 2 on at

Like (3)

Report

May this can help : https://learn.microsoft.com/en-us/dynamics365/business-central/finance-how-to-create-prepayment-invoices

https://yzhums.com/2056/

Was this reply helpful? Yes No
Verified answer

Jun Wang 8,202 Super User 2025 Season 2 on at

Like (3)

Report

on a PO, you could set the below flag to yes. In the example, the price is 350, tax 21. The prepayment % is 50%. So the prepayment is calculated as 185.5. From the statistics page the tax amount shows zero, but it has been included.

Was this reply helpful? Yes No
Niki 435 on at

Like (3)

Report

Hello @Jun Wang

Thank you for your consideration.

In my PO, I can see only the "Pricing Including VAT" flag. Is this the same as the flag you mentioned?

Was this reply helpful? Yes No
Suggested answer

Jun Wang 8,202 Super User 2025 Season 2 on at

Like (3)

Report

It's the same, just showing on different part of the header.

Was this reply helpful? Yes No
Verified answer

KasparsSemjonovs 4,782 Super User 2025 Season 2 on at

Like (3)

Report

VAT for prepayment invoices are calculated based on the Prepayment G/L account card VAT Prod. posting group. Main one is the VAT Prod Posting group in the GL account (as the VAT Bus. Posting group is taken from Vendor)

So check the General Bus. and Prod. posting groups in the PO lines, then open General Posting Setup and for this combination find the Prepayment GL account indicated in the setup.
Then add the values in this G/L account card for the VAT Prod. Posting group.
After that might be You need to re-enter the prepayment percentage in the Purchase Order so it gets recalculated, but now the Prepayment should be with VAT.

Was this reply helpful? Yes No
Niki 435 on at

Like (3)

Report

Hello,

Thank you for your assistance.

I have tested both methods recommended by Mr.@Jun Wang and Mr.@KasparsSemjonovs, and each allows us to post the pre‑payment invoice with VAT. I recognize that the optimal approach may vary depending on the specific circumstances. I would appreciate any guidance on which method is generally preferred.

Thank you again for your support.

Was this reply helpful? Yes No
Suggested answer

Khushbu Rajvi. 20,962 Super User 2025 Season 2 on at

Like (4)

Report

Adding more details:https://help.lscentral150.lsretail.com/Content/Dynamics%20NAV/finance-how-to-create-prepayment-invoices.html

https://bcdocs.staedean.com/md/en-US/finance-how-to-create-prepayment-invoices.md

Was this reply helpful? Yes No
Gerardo Rentería Ga... 25,390 Most Valuable Professional on at

Like (4)

Report

Hi, good day
I hope this can help you, and give you some hints.

Posting Groups #11 – Prepayments Posting | Totovic Dynamics 365 Blog

Best Regards
Gerardo

Was this reply helpful? Yes No