How to Reverse a Vehicle Purchase Invoice

Reversing a purchase invoice may be necessary to correct an error or adjust the costs associated with a vehicle deal. This guide explains how to reverse a purchase invoice within Navigator using the Vehicle Administrator Toolkit.

Steps to Reverse a Purchase Invoice

1. Access the Stock Record

1. Navigate to:
   Vehicle Administrator Toolkit.
2. Locate the stock record associated with the purchase invoice you want to reverse.

2. Open the Purchase Status Tab

1. Once the stock record is loaded, go to the Purchase Status tab.
2. Click Post Purchase to view the invoice details.

3. Example Scenario

• The vehicle was purchased for £12,000 (including VAT of £2,000).
• Note: All purchase invoices are displayed excluding VAT.

4. Post a Negative Purchase Invoice

1. Enter a Negative Amount:

   • To reverse the example above, post a negative purchase invoice for the same amount.
   • This will reduce the "posted cost" back to £0 and generate a credit note on the supplier's purchase ledger account.

2. Add Required Details:

   • Enter the Supplier and the Invoice/Delivery Note details.

3. Post the Credit:

   • Click the Post button to complete the transaction.

5. Verify the Adjustment

• After posting, the running total on the account should be reduced to £0, confirming the reversal.
• Check the stock record to ensure the costs have been corrected.

Key Notes

• VAT Exclusion: Purchase invoices are shown excluding VAT, so calculate amounts accordingly.
• Supplier Information: Always include accurate supplier and invoice details when reversing a purchase invoice.
• Credit Note Generation: The negative invoice will automatically generate a credit note in the supplier's ledger.

Scenarios Where This Process is Useful

• Correcting errors in purchase invoices.
• Adjusting costs for cancelled or returned stock.
• Ensuring accurate financial records for vehicle deals.