geek84 wrote:

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Good Morning Folks

I have just taken on a new client who dropped off a bag full o receipts over the weekend !

I have a few questions regarding those receipts, and would be most grateful if you kind folks out there would provide me with feedback:

 

1. How would I record the details of the receipt on (say) an Excel spreadsheet? i.e. would I have a column for Date, Description, Net Amount, Vat, Total Amount?  How much 'description' do I need to record?

2.  If the receipt states 'Card Holder Copy', then  can I include that as a receipt?

3.  If the receipt states 'Card Voucher',  then can I include that as a receipt?

4.  How would  treat a  'cash back' amount on the receipt?  What figure would I record as an expense?

5. If the receipt states ' Today your discount card saved you ...',  then how do I treat that figure?  What figure would I record as expenses?

6.  If it states ' This is not a VAT receipt'.  Can I insist that the client showing me the VAT receipt?

7.  If the receipt says 'Customer Copy'.  Can I insist on seeing the original receipt?

8.  This client goes abroad on a few occasions and has receipts in Euros and other currencies.  How would I deal with that?

9.  If the receipt has a Total Amount and VAT amount stated on it, should I work out the Net value?

10.  If the receipt says 'Visa Debit - PIN verified' should I insist seeing the original receipt?

11.  Finally, how can I work out that the receipt is a business and not a personal expense?

 

Thanks in advance for your responses.

 

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Hi

I would treat the small receipts just as you would ordinary invoices ie if you are missing one - ask the client for it/replacement, if it says it isnt a valid VAT receipt then you cant use it to claim VAT so if you need to get a valid VAT receipt.  It sounds like you may have received a few that have the card transaction information (ie just the amount/where spent and which card used) - what I call the top copy, WITHOUT the actual receipt part that shows what has been purchased (what I call the bottom copy).  You need to go back to the client and remind them that you really need both parts - the top copy so you can see which card has been used, therefore to know which Bank account to locate the transaction for when you complete the Bank check and reconciliation/the bottom copy (more important) to see what expenditure has been incurred so you know (1) where to apportion it in the expenses and (2) whether its a valid business expenses and (3) whether you can use it to claim the VAT back - remember some of these small receipts have the VAT number on the reverse.

For cashback - apportion that the drawings/DLA.   Then if they provide a receipt you can process that the other way via drawing/DLA.

Cardholder copy is valid (subject to the above) - the retailer copy is needed by the retailer for their records.

Business v personal - most of that will be decided by your initial discussions with the customer in getting to understand their business so you can ask yourself as your work through all the bits of paper - would this item be purchased for such a business, just as you would with normal invoices.   Just because a client puts an invoice through doesnt always mean its a business invoice and generally this is more so with small receipts as most people just tend to empty their pockets so you get all their private purchases too.  Anything you are unsure about you need to ask about but bear in mind there are quite a few clients out there (not all) who will try to put things through and justify them as business expenses when they clearly arent.   You have to use your judgement sometimes.  EG I get one client who buys toilet roll (thats ok as he has business premises) but the same receipt also includes chewing gum (not ok as clearly personal).

For the excel spreadsheet - include as much or as little information as you see fit or more importantly depending on what the client wants back from you.....he if needs any kind of anlaysed information them thats what you need to include.