How to set up creditor groups

It is possible to specify per creditor group on which general ledger account payment discounts should be booked. For creditors, there might be a need for a split in the outstanding debts on the balance sheet into material suppliers and subcontractors. Additionally, multiple groups could be created in connection with intercompany deliveries and/or purchases.

The following settings affect how MKG will handle debtors and/or creditors when invoicing and updating payment transactions:

• VAT number. To ensure that no VAT is charged on an invoice to foreign customers, a VAT number must be entered in MKG on the debtor's master data. The tax authorities require the VAT number to be mentioned on the invoice.
• VAT code. By default, the administration setting indicates which VAT code (high, low, or 0%) should be used in MKG. At the creditor level, a different standard can be set for this creditor. This overrides the default, even when using purchase orders with items that are normally subject to high VAT.

• Payment condition. The payment condition indicated on the debtor's or creditor's master data determines the due date. The due date is calculated from the invoice date entered in MKG and the entered payment condition. The manually entered payment date is not used in the analysis of the age of outstanding items, but the invoice date (or the due date based on the payment condition) is.
• Bank details. To update payment transactions in MKG using the Internet Banking module, the account number must be entered on a creditor.