Vendor Relations in Purchase Documents

If the Vendor Relations feature is enabled on the Enable/Disable Features (CS100000) form, the vendor relations functionality can be configured. The following sections describe how the vendor relations you configure may affect the AP bills and debit adjustments created based on a purchase order or purchase receipt.

Vendor Relations Overview

In some companies that consist of multiple branches, the branches can collectively make on order to a vendor on behalf of the company (that is, its head office) by sending purchase orders to that vendor. The supplier provides goods and issues a bill to the head office of the company. The head office pays it, and, in turn, issues bills to its branches. As a result, a branch receives goods from one vendor (specified in the purchase order), but pays for those goods to another vendor (specified in the bill). In MYOB Acumatica, you can set up vendor relations so that the system accurately handles those vendor relations in documents. On the Vendors (AP303000) form, for each vendor that supplies goods and services but does not receive payment (a supplied-by vendor), you specify its vendor for which an AP bill or debit adjustment should be created if this vendor is specified in a purchase order or receipt (the pay-to vendor). For details, see Vendor Relations Overview.

Vendor Relations in Purchase Orders and Purchase Receipts

For a purchase order or a purchase receipt, you can override the vendor in the Pay-to Vendor box, if needed.

With the vendor relations functionality set up, when you invoke Enter AP Bill on the form toolbar of the Purchase Orders or Purchase Receipts form, the system creates an AP bill (or, for example, a debit adjustment for a purchase receipt of the Return type) on the Bills and Adjustments (AP301000) form that has all the details copied from the initial document except the vendor in the Vendor box. In this box, the system inserts the vendor specified in the Pay-to Vendor box of the Purchase Orders or Purchase Receipts form. As a result, the bill will be paid to a different vendor than the vendor for which the purchase order was created.

Discount Calculation

In an Accounts Payable document (bill or debit adjustment) on the Bills and Adjustments (AP301000) form that is based on the purchase order, the system uses the discounts of the supplied-by vendor to calculate document discounts.

Tax Calculation

For a purchase order or purchase receipt on the Purchase Orders (PO301000) or Purchase Receipts (PO302000) form with vendor relations set up, the system calculates the tax and taxable amounts of the purchase order or purchase receipt by using the tax zones of the supplied-by vendors (that is, of the vendor specified in the Vendor box of the Summary area of the Purchase Orders or Purchase Receipts form). With vendor relations set up, the system calculates the tax and taxable amounts of the Accounts Payable documents similarly.

If integration with Avalara AvaTax is configured and used for calculating taxes for purchase documents, the vendor relations you configure may affect the way the system selects the From and To addresses in these purchase documents. For more information, see Calculating Use and Sales Taxes in Purchase Documents.