What is Sales Invoice?

What is Sales Invoice? How to create an Invoice without a Sales Order? In the business world, most of the Invoices or Billing happens as the Customer purchases or buys items (A walk-in customer). It is a cash payment and Credit Receipt process. This is called Direct Invoice Inventory as it is for the items that are sold over the counter (OTC).

However in Business, it happens where the Buyer will call the Seller offering a price to buy items NOW and he will not send a Purchase Order. Seller will Create an Invoice and send materials directly. This Order is called “Over the Phone” and no Sales Orders are made for this as its a confirmed order to deliver.

In ACTouch ERP, we can also create an Invoice without any Sales Order references. This is called “Direct Invoice Inventory”. Here also you can make 2 types of Invoices.

1. Direct Invoice Inventory
2. Direct Invoice Services

Video – How to create a Direct Invoice – Inventory?

The Direct Invoice Inventory data entry is same as that of Sales Order Menu. However there are few points to note.

As per the statutory rules, Invoice is a Financial document thats considered for the Confirmation of Sales, Taxes to Collect and customer is liable to PAY the money. It also acts like Stocks or Services is Received by a CUSTOMER and he is agreed to pay the money as per this Invoice.

When you create a Sales Invoice – Inventory, the below activities happens and these are very important to understand.

1. Sold Items reduces from Inventory / Location where the stock is maintained.
2. It creates a Liability towards the Customer to PAY MONEY.
3. It creates an Entry towards TAXes and how much TAX to collect from customer and pay Govt.
4. It updates the company Balance Sheet, Profit and Loss Data automatically.

Note: ACTouch ERP doesn’t allow you to sell the Items, if the stock is ZERO. Means, we do not allow -ve stock sales. So you need to have stock / Inventory to complete the sales.

Direct Invoice Inventory – Home page has few data that we need enter.

The details are as below.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Site ID	Branch Name	No	If you are using Multiple Branches feature then this FIELD appears. Multi Branch / Sites is a feature that can help to make separate document for each SITE / Branches.
Invoice Number	Invoice No	Yes	This is the Invoice number, a unique number to recognise the document. This is either auto generatedManually you can create.
Credit terms	Credit Period	No	Select the Credit terms from the Dropdown.
INVOICE Date	INVOICE creation Date	Yes	Effective Date of transaction
INVOICE Currency	Currency of Document	Yes	It is the currency used for INVOICE Document / for Transaction. This is also called “Document Currency”.
Due Date	Payment due date	Yes	This is the date by which the payment has to be made.
Customer ID	Customer ID	Yes	It is a unique identification number given to each Customer in ACTouch ERP
Customer Name	Customer / Party Name	Yes	Customer Name / Business name.
Ship To	Shipping Address	Yes	This is the address of the customer where the particular product has to be delivered to.
GST Number / TAX ID	Customer Tax ID	No	This gives Customer TAX NO. It’s a unique ID necessary for businesses.
PAN Number	Permanent Account Number	No	This is the Permanent Account Number of the individual / Business.
TCS Tax	Tax Collected at Source Amount	Default value = N	Enable the feature, if you need it. This is the tax payable by a seller, which he collects from the buyer at the time of sale.
Purchase Order reference	Purchase/sales order number	No	This is Customer’s Order Number (for reference)
Purchase Order Amount	Purchase order amount	No	This is the total amount of the Customer Order (for reference)
Purchase Order Date	Purchase order date	No	This is the Customer Order Date (for reference)

Product / Items line details are entered as below. If you update the PRODUCT master with TAXES, HSN Code, Bar Code etc, the data would appear immediately as you CHOOSE a PRODUCT.

Field Details are explained here.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Product Group, Subgroup1, Subgroup2, Subgroup3.	Product Group, Subgroup1, Subgroup2, Subgroup3 drop down values.	NO	These are the data helps to select the right PRODUCT for the line item.   These data appears on the screen, if you enable “Product Group = Yes” in the “Sales Settings”.
Product ID	Product ID	Yes	Select Product ID for Sales.
Product Description	Product Description	Yes	It is the description about the product.
UOM	Unit Of Measure	Yes	Unit of Measurement of the Product. If you have an Alternate UOM, then select the same here for the Product that you are selling.
Quantity	Quantity Measure	Yes	This is the Selling quantity
Unit Price	Unit Price	Yes	It is the Unit price of the product.
Discount	Discount on LINE level	No	Apply the PRODUCT level DISCOUNT for the Customer, if any.
Tax incl.	Inclusive of Tax	Default = No	Tax include – Yes or No. This feature is used for the MRP types of Products where the TAX is ADDED with UNIT price. So we should show the Basic Product Amount + Taxes Separately.
Tax amount	Tax Amount	No	Please select the TAX CODES that are RIGHT for the PRODUCT. If you have setup these data in Product Master, then ERP will pick from there directly.
Total	Total Amount	Yes	This is the Total amount of the line item excluding TAX AMOUNT
HSN Code	HSN Codes	No	HSN Codes for the Product that are provided by Government.
Bar Codes	Bar code No	No	Bar codes helps to pick the items from master.

Direct Invoice Inventory – This is the financial portion of the Invoice.

Direct Invoice Inventory – Financial details and its fields are explained below.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Payment Type	Payment (Now or later)	By default – “LATER”	It describes whether the payment will be made immediately or at a later stage. Based on the same, a Financial Voucher is made.
Any Advance?	For the Advance Payment	No	In few cases, when you make a INVOICE, you can also receive the Advance money from Customer. ERP helps you to make an Advance Voucher as part of this.
Terms And Conditions	Business Terms And conditions	No	It’s the General Terms and Conditions for the Delivery etc. If you can also make templates and use it.
Ship Mode	Transport mode	No	This describes us about the type of transport for delivery. It may be by Air, Cargo, etc.
eWay Bill No	eWay Bill No	No	If you are shipping the items, then you can enter the eWay Bill no that’s generated by Indian Govt Portal.
eWay Bill Date	eWay bill Date	No	Date of the eWay Bill specific to Indian Govt
Memo	Additional information	No	You can add more Information about the Sales Order.
Payment terms	Payment terms	No	These give us the details about payment terms between the two Parties that they have agreed on. You can define multiple “Payment Terms” in Master and use them.
Payment Terms Description	Payment Terms	No	This is description of Payment terms.
Sub Total	Total price	Yes	Subtotal of the Order.
GROSS / Cash Discount	Discount on the total Payment	No	It’s the Overall discount on the Order. Two types Cash Discount – You can give the Discount in “Amount” only.Trade Discount  – You can give either in “%age“ or in “AMOUNT”
Total before tax	Amount before tax	Yes	It’s the Total amount without Tax amount
Total tax	Tax amount	Yes	It’s the total Tax on the line items.
Round off	Rounded off amount	No	Enter the Amount, if you want to change it. Its small amount that can be added or removed from the TOTAL AMOUNT to round-off.
Total	Total Amount of the Order	Yes	This is the total Order amount after rounding off.

Additional Fields based on the “Sales Settings” on what additional charges to be booked.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Postage Charges	Postage Amount, if any	No	Enter the Amount, if you need it. (Other charges for Order). Enter the Postage charges that will be billed to the Buyer, if any.
Postage SAC CODE	SAC Code	No	Enter the SAC Code, if you need it.
Postage Tax	Postage Tax	No	Select the Taxes, if you need it. This gives the tax levied for postage.it comes under different GST slabs for the type of product.
Packing Charges	Packing Charges, if any	No	Enter the Amount, if you need it. (Other charges for Order). This is the Charges for the product that’s billed to the buyer, if any
Packing SAC CODE	SAC CODE	No	Enter the SAC Code, if you need it.
Packing Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Shipping Charges	Shipping Charges, if any	No	Enter the Amount, if you need it. (Other charges for Order). This is the Shipping Charges for the product that’s billed to the buyer, if any
Shipping SAC CODE	Shipping SAC CODE	No	Enter the SAC Code, if you need it.
Shipping Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Insurance Charges	Insurance Amount, if any	No	Enter the Amount, if you need it. (Other charges for Order) Enter the Insurance amount for the product to be delivered, if any
Insurance SAC CODE	Insurance SAC CODE	No	Enter the SAC Code, if you need it.
Insurance Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on the freight insurance amount.

If you set Consignee = “YES”, then the below screen OPENS and the details are explained below for Direct Invoice Inventory screen.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Consignee	Consignee	By Default = NO	This is the Recipient of the Goods that are shipped. It tells whether we have a Consignee or not?
Consignee Id	Consignee ID	Yes	This is mandatory, if you enable “Consignee = Yes” This is the identification number given to a consignee.
Consignee Name	Name of the Consignee	Yes	Consignee Name / Business Name.
Consignee State	Consignee State	Yes	Consignee State and its important for Indian GST purpose.
Consignee Shipping Address	Shipping address of Consignee	Yes	Address of the shipment receiver (Consignee).
Calculate Tax based on Consignee	Tax on Consignee	By Default = NO	This tells whether to apply the tax on the Consignee or not.

Enter Vehicle Details

Most of these data are entered for recording purpose. Few important parameters.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Vehicle / Courier details	Vehicle /courier details	No	Enter Vehicle / Courier details like Transporter Name / Courier name, vehicle number, etc.
Gate pass Id	Gate Pass Voucher ID	No	This is the GATE Pass no that’s created in GATEPASS Module in ACTouch ERP. This helps to connect the GATE PASS Entry to the Invoice / GRN data.
Gate pass Date	Gate Pass Date	No	Date of Gate Pass entry in ERP
Transporter Name	Transporter Name	No	Transporter Name / person Name
Transporter GSTN	Transporter Tax ID	No	TAX NO. It’s a unique ID necessary for businesses.
Vehicle No.	Transporter Vehicle Number	No	Enter Transporter Vehicle Number.
Courier Name	Courier Agency Name	No	Courier Agency Name responsible for delivering the product to the customer or businesses.
Courier Branch	Courier Branch Name	No	Courier Agencies Branch
Courier Date	Date of product dispatch	No	Dispatch Date.
Docket Number	Doc No	No	Docket Number
GC / LR Date / Ship Bill Date	Receipt of the lorry	No	It is the Date of Receipt LR No etc that’s received from the transporter.
GC / LR Number / Ship Bill Number	Lorry receipt number	No	This gives the lorry receipt from the transporting company.
Packing Date	Date of package	No	Date the product was packaged.
Packing Number	Package number	No	Package no for reference.
Number of Packages	Total number of package	No	Total number of packages that’s delivered
Weight of Packages	Total weight of the packages	No	Total weight of the packages.

Direct Invoice Inventory – Line level Product details Upload Feature.

As part of Create an Invoice, we also give an option to upload the product details at one go. We have customer, who use the same to upload around 500+ line items as part of Invoice Creation. This saves around 2 Hours to create an invoice with 500 lines at one go.

Few customers, who manage the Sales Orders with 100s of line items, it takes time to enter the data one by one.  In few cases, it may be easy to create these data in Excel and upload them into ERP.

We built an interface for the Data upload that’s similar to an excel screen interface.

1. You create the product line details with necessary fields.
2. Paste the data on the Excel Interface
3. Click on “Validate” and this process will ensure the Accuracy of Data.
4. If you find any errors, then fix them.
5. Once the data is OK, press “save”.
6. Now application will start loading the records on the INVOICE LINE Level.

Notes: Don’t upload more than 40 records at a time. This takes around 1 to 2 min to load the data on the screen. So you can upload the data in multiple tranches