We have set up a DD for a supplier who provides IT service for my company. we have 30 to 40 invoices which varies from £ 25.00 to £16000.00 received every year.
But sometimes I have not seen an invoice but the payment already taken out of on our account. it is hard for me to reconcile the supplier's account.
The supplier's account has not been reconciled for nearly 3 years.
what statement should I ask from my supplier? I think It is not normal supplier statement showing only outstanding invoices but we have paid all as DD set up.
A statement only shows what is outstanding. You need to ask for something showing ALL activity for whatever period you wish to review. Care, though.....do not enter invoices for prior years where the year end has either been finalised, or your Accountant has been give the figures. You need to look at these in a different way, depending on amount etc....re post on here if you find any And do not know how to deal with them.
Under the rules of the Direct debit scheme you should know the amount being taken from your Bank account before the direct debit has been claimed, this would most likely be via an invoice in this case, so you need to find out how they send them/ if you can get them electronically.
You will not be able to set up a DD for ALL of your invoices as not all suppliers will be DD originators.
-- Edited by Cheshire on Saturday 26th of December 2015 09:01:52 AM
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
