Example AP Transfer Posting for Tenant Service Charge Settlement
Example
Settlement period 1.1. - 06/30/97, advance payments made:
Period |
Tenant |
Tax code |
AP w.tx |
Net |
Tax |
01/01-02/15/97 |
Miller |
A1 (20%) |
180.00 |
150.00 |
30.00 |
02/16-04/30/97 |
Vacancy |
0% |
250.00 |
250.00 |
0.00 |
05/01-12/31/98 |
Smith |
A2 (10%) |
220.00 |
200.00 |
20.00 |
650.00 |
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The service charge settlement is carried out in the second half of 1997, so Mr. Smith is the payer according to the tenant service charge settlement. If you now calculate the chargeable tax portion according to the tax code of the payer (Smith, 10 %), the following adjustments have to be made:
Period |
Tenant |
Tax code |
AP w.tx |
Tax |
Adjustment |
01/01-02/15/97 |
(Miller) |
A2 (10%) |
165.00 |
15.00 |
-15.00 |
02/16-04/30.97 |
Vacancy |
A2 (10%) |
275.00 |
25.00 |
+25.00 |
05.01/-12/31/98 |
Smith |
A2 (10%) |
220.00 |
20.00 |
0.00 |
10.00 (Tax adjustment) |
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Effect of tax adjustment (example):
Costs incurred on SU 1000.00
Advance payments made 650.00
Tax adjustment 10.00
Receivable 340.00