How to Set Up Supplier Wise Calculation Configurations in Purchase?
In this tutorial, we will learn how to set up calculation configurations for Purchase vouchers in Logic ERP and understand how cash discount can be applied either before tax or after tax based on configuration.
Creating Calculation Configuration for Purchase
To begin, create a purchase calculation configuration.
Navigate to the Setup Module from the main menu
Go to Party-Wise Settings
Open Setup Calculation Configuration for Purchase
Define Configuration
Enter a Configuration Name
Click Save
The saved configuration will now appear in the dropdown list
Defining Calculation Mode
Once the configuration is saved:
Select the required Configuration Name from the dropdown
Click on Calculation Mode
Here, define how calculations should be applied for this configuration.
Example 1: Cash Discount After Tax
Select the configuration (e.g., Cash Discount After Tax)
Use the Move Down button to position Cash Discount (CD)below:
Tax 1
Tax 2
Ensure the correct calculation sequence is maintained
Important: If cash discount is calculated after tax, make sure the default account for Cash Discount is properly defined.
Example 2: Cash Discount Before Tax
Select another configuration (e.g., Cash Discount Before Tax)
Position Cash Discount (CD)above:
Tax 1
Tax 2
This ensures that the discount is applied before tax calculation
After defining the calculation order, click Save
Allocating Parties to Purchase Calculation Configuration
Next, allocate the calculation configuration to suppliers.
Go to the Menu Bar
Open Allocate Parties to Calculation Configuration
Select the Party Account
Click Refresh
Press the Space Bar and assign the required Purchase Calculation Configuration
Save the changes
Repeat this process for each supplier as required.
Verifying Calculation During Purchase Entry
Now let’s verify how the configuration works during actual purchase entries.
Scenario 1: Cash Discount Before Tax
Create a New Purchase Voucher
Select the supplier assigned with Cash Discount Before Tax
Enter purchase details
Click View Totals
Result: The cash discount is applied before tax calculation.
Scenario 2: Cash Discount After Tax
Click New Voucher
Select the supplier assigned with Cash Discount After Tax
Enter purchase details
Click View Totals
Result: The cash discount is applied after tax calculation.
Final Confirmation
Verify tax values and discount calculations
Ensure the correct configuration is applied as per the supplier setup
Conclusion
This completes the Purchase Calculation Configuration setup in Logic ERP, allowing you to control how cash discounts are calculated—either before tax or after tax—on a supplier-wise basis.
