When entering an invoice to record the credit card purchase for your credit card vendor, you can transfer the purchase amount from the credit card vendor to the purchase vendor (the vendor from whom you purchased the items) to track 1099 and payment history for the purchase vendor. Payment history is recorded for both the purchase vendor and the credit card vendor. For more information, see Credit Card Transfers FAQs.
You can record the credit card purchase when entering the invoice in Accounts Payable Invoice Data Entry or when creating the invoice on the fly in Manual Check and Payment Entry.
Before You Begin
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This procedure assumes that an invoice was not entered for the purchase vendor. You can perform this procedure throughout the period and when processing the monthly credit card statement.
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Job detail cannot be entered using this procedure. An invoice that references jobs must first be entered for the purchase vendor and then transferred to the credit card vendor. For more information, see Record the Payment of an Outstanding Invoice by Credit Card.
Use one of the following procedures to record and transfer credit card purchases:
To record a credit card purchase using Invoice Data Entry
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Select Accounts Payable Main menu > Invoice Data Entry.
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In the Vendor No. field, enter the credit card vendor number. For more information, see A/P Invoice Data Entry - Fields.
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In the Invoice No. field, enter a new invoice number.
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On the Header tab, enter the invoice information.
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Click the Lines tab, and click the Transfer Information button.
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In the Purchase Vendor Transfer window:
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In the Vendor Number field, enter the purchase vendor number. Do not enter the invoice number. For more information, see Purchase Vendor Transfer - Fields.
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In the G/L Account field, enter the purchase vendor’s general ledger account number. This field defaults to the general ledger account number entered for the purchase vendor in Vendor Maintenance.
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In the Transfer Amount field, type the purchase amount to apply to the purchase vendor.
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In the 1099 Form and 1099 Box fields, select the appropriate options for your 1099 form, and click OK.
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In Invoice Data Entry, click Accept.
The credit card purchase is recorded.
To record a credit card purchase using Manual Check and Payment Entry
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Select Accounts Payable Main menu > Manual Check and Payment Entry.
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Enter the bank code and check number. For more information, see Manual Check and Payment Entry - Fields.
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In the Vendor No. field, enter the credit card vendor number.
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In the Check Date, Check Amount, and Comment fields, enter the check information for the credit card vendor.
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Click the Lines tab, and then click the Create G/L Distribution button.
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In the General Ledger Distribution window, click the Transfer Information button.
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In the Purchase Vendor Transfer window:
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In the Vendor Number field, enter the purchase vendor number. Do not enter the invoice number. For more information, see Purchase Vendor Transfer - Fields.
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In the G/L Account field, enter the purchase vendor's general ledger account. This field defaults to the general ledger account number entered for the purchase vendor in Vendor Maintenance.
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In the Transfer Amount field, type the purchase amount to apply to the purchase vendor.
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In the 1099 Form and 1099 Box fields, select the appropriate options for your 1099 form, and click OK.
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In the General Ledger Distribution window, click Accept.
The credit card purchase is recorded.
Example - Recording a Purchase Paid by Credit Card
You use your company’s Citibank Visa card to purchase $100 worth of office supplies at Office Depot. You return to your office and enter an invoice to the credit card vendor (01-Citbank) to record the $100 purchase. You also want to track the payment and 1099 history for the purchase to vendor Office Depot (01-OfDepot), because it is a regular vendor that you have a purchase contract with. To do this, when you enter the invoice for the credit card vendor, you can transfer the invoice amount from the credit card vendor to the Office Depot vendor. During this transfer process, the system generates an invoice for the Office Depot vendor to record this transfer purchase amount and 1099 information for Office Depot’s purchase history and 1099 history.
