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[Richard Malouin]

Hi,

I would like to know if some of you use “Reverse billing” with D365FO.

By “Reverse billing” i mean, as an example, we would like to pay our IT Consultant Firm without any invoice, because we already have a contract with necessary information.

Could you please provide any information?

Thanks

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Richard Malouin CPA, CGA
Senior analyst
PSP Investments
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[Zvika Rimalt]

There all kinds of situations where users want to record a payment (or remittance) without recording an invoice – recurring fixed payments such as some utilities, subscriptions or rent.
I have not seen the term “reverse billing” used in that context.

In a very simple way,, you can record a journal (by using the Vendor Payment Journal form or the General Journal form) where you credit the bank account and debit the expense account
The disadvantage of recording a remittance without invoice is that you do not have record on the vendor ledger about what vendor(s) you spent that money with.

In addition, there is some functionality that allows you to print a cheque even through you are not using a vendor on the transaction.

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Zvika Rimalt
Functional Consultant
Vancouver BC
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[Leonardus Smits]

Hi Richard,

I think what you mean is normally referred to as self-billing. Maybe following link could be helpful: https://docs.microsoft.com/en-us/dynamics365/unified-operations/financials/localizations/tasks/my-00007-self-billed-invoices

Best regards,

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Leonardus Smits
Global Head of IT
SIGVARIS
Winterthur
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[Mark Bailey]

Hi Richard,

Leonardus is correct this is reffered to as “Self-Billing” however the link specified is actually a Malaysian localisation so unless you have that turned on the functionality won’t be available.

However, Self-billing in general terms in D365 just means raising the vendor invoice and paying it without receiving one from the actual vendor. 

Here in the UK there a specific rules around self-billing that have to be adhered to for tax reasons for example the raised invoice you send to the vendor must state that it is a self billing invoice and there must be an agreement in place for self -billing with that vendor before you can begin. This is specified by our HMRC office so it would be a good idea if there are any rules to follow for your local tax authority before beginning a self-billing process.

The process itself is simply to raise the vendor invoice using the vendor invoice journal or by generating the invoice from the respective PO send that to your supplier and then pay it when due on a payment run/proposal/journal.

Hope that helps

Mark

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Mark Bailey
Application Consultant
Annata
Portsmouth
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[Richard Malouin]

Hi all,

Thank you for your answer,
Our company is in Canada, but i saw that the “How to” for Self-Billing is describe in Malaysia section.

Other question, do we absolutely need to make it via “Purchase Order” section? Because it’s not really a purchase order.
And i will see with our Legal Department if we need to validate specific rules.

Thanks

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Richard Malouin CPA, CGA
Senior analyst
PSP Investments
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