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Create a new Purchase Receipt: Goods Receipt Notes and how it works?

What is Purchase receipt? What is Goods Receipt Notes (GRN)?

What is Purchase Receipt? How a Purchase Receipt document helps a manufacturing companies? In few business scenarios, where businesses would call the Suppler / Vendor to supply the materials immediately. In these cases, the company will not send a Purchase Orders to requesting the supply of materials. We create a new Purchase Receipt document without any Purchase Order reference (Direct POR) as we need to bring in the stock into Inventory with this process. This is a common process in many companies and its easy too.

This is an important process where a Purchase Receipt is made without a PO. However the screen layout is same as that of Purchase Order inventory module and no changes.

Important on Purchase Receipt – When you receive the materials, following process completes. So be careful.

  1. Inventory / Stock comes into ERP / Company. So your stock is available for any next process.
  2. Average cost of the Inventory changes due to NEW STOCK and its UNIT Purchase Price. We follow weighted average costing of Inventory based on old stock and new stock thats received.
  3. Supplier Payments amount is updated
  4. Taxes are shown with how much you paid to Supplier. (Actual Supplier Payments happens at later date). Here the liability is created.
  5. POR Document can be used for the next payments or Purchase Returns, if the received quantity is wrong.

Basic Data settings to complete before you begin this operations.

Please complete the basic data settings to before start the operations. Few of these data are shown on the screen based on the settings done in Purchase Settings

Direct Purchase Receipt / Goods Receipt Notes (GRN)- Master data entry Screen

Please enter the POR No, Supplier ID and his details. Transaction date is important for these transactions to show in BS or PL reports.

Direct POR – Master screen fields are as below.

Field IDField NameMandatory?Field Description and how it helps?
Site IDBranch NameNoIf 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.
POR NumberPurchase Receipt No / GRN No.YesThis is the Purchase Receipt / GRN number, a unique number to recognize the document. This is either auto generatedManually you can create.
Credit termsCredit PeriodNoSelect the Credit terms from the Dropdown.
POR DatePOR creation DateYesEffective Date of transaction
POR CurrencyCurrency of DocumentYesIt is the currency used for POR / for Transactions. This is also called “Document Currency”.
Due DatePayment due dateYesThis is the date by which the payment has to be made.  
Supplier IDSupplier IDYesIt is a unique identification number given to each Supplier in ACTouch ERP
Supplier NameSupplier / Party NameYesSupplier Name / Business name.
Ship ToShipping AddressYesThis is the address of Company, where the particular product has to be delivered to.
GST Number / TAX IDSupplier Tax IDNoThis gives Supplier TAX NO. It’s a unique ID necessary for businesses.
PAN NumberPermanent Account NumberNoThis is the Permanent Account Number of the individual / Business.
Receive material nowMaterial to be ReceivedOptional Default Value = NThis tells us whether these Products to be Received immediately or later on some date. This creates GRN immediately.
Reverse TaxTaxDefault value = NIf the taxes are withheld and is NOT paid to the SUPPLIER, then set this value to “YES”.
TCS TaxTax Collected at Source AmountDefault value = NEnable 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.
Order referenceOrder numberNoThis is Order Number (for reference)
Order AmountOrder amountNoThis is the total amount of the Order (for reference)  
Order DateOrder dateNoThis is the Order Date (for reference)
Add Line Tax Amount to Product CostTax Amount is added to product costsDefault value = NoAdd Line Tax Amount to Product Cost This is part of the Product Landing cost where we can add the TAX Amount Back to Product cost.
Add Shipping Charges to Product CostShipping Charges to Product cost.Default value = NoAdd Shipping Charges to Product Cost This is part of the Product Landing cost where we add Shipping Charges to Product cost.

Direct Purchase Receipt / POR / GRN – Consignee Details. Use if, you need them.

Field IDField NameMandatory?Field Description and how it helps?
ConsigneeConsigneeBy Default = NOThis is the Recipient of the Goods that are shipped. It tells whether we have a Consignee or not?
Consignee IdConsignee IDYesThis is mandatory, if you enable “Consignee = Yes” This is the identification number given to a consignee.
Consignee NameName of the ConsigneeYesConsignee Name / Business Name.
Consignee StateConsignee StateYesConsignee State and its important for Indian GST purpose.
Consignee Shipping AddressShipping address of ConsigneeYesAddress of the shipment receiver (Consignee).
Calculate Tax based on ConsigneeTax on ConsigneeBy Default = NOThis tells whether to apply the tax on the Consignee or not.

Direct POR / GRN- Enter the Product Line details like Product Descriptions, Quantities, Unit Price etc.

Direct POR – Enter the Product line Details

Field IDField NameMandatory?Field Description and how it helps?
Product Group, Subgroup1, Subgroup2, Subgroup3.Product Group, Subgroup1, Subgroup2, Subgroup3 drop down values.NOThese 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 “Purchase Settings”.
Product IDProduct IDYesSelect Product ID for Purchase.
Product DescriptionProduct DescriptionYesIt is the description about the product.
UOMUnit Of MeasureYesUnit of Measurement of the Product. If you have an Alternate UOM, then select the same here for the Product that you are selling.
QuantityPurchase QuantityYesThis is the Purchase quantity
Unit PriceUnit PriceYesIt is the Unit price of the product.
DiscountDiscount on LINE levelNoApply the PRODUCT level DISCOUNT for the Supplier, if any.
Tax incl.Inclusive of TaxDefault = NoTax 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 amountTax AmountNoPlease 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.
TotalTotal AmountYesThis is the Total amount of the line item excluding TAX AMOUNT
HSN CodeHSN CodesNoHSN Codes for the Product that are provided by Government.
Bar CodesBar code NoNoBar codes helps to pick the items from master.
Receipt Due dateDate when the materials to be recd.NoThis is LINE specific DUE Date for the item to be RECD.

Other Master data and it’s parameters

Enter the parameters based on your needs

Field IDField NameMandatory?Field Description and how it helps?
Payment TypePayment (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.
Terms And ConditionsBusiness Terms And conditionsNoIt’s the General Terms and Conditions for the Delivery etc. If you can also make templates and use it.
Ship ModeTransport modeNoThis describes us about the type of transport for delivery. It may be by Air, Cargo, etc.
eWay Bill NoeWay Bill NoNoIf you are shipping the items, then you can enter the eWay Bill no that’s generated by Indian Govt Portal.
eWay Bill DateeWay bill DateNoDate of the eWay Bill specific to Indian Govt
MemoAdditional informationNoYou can add more Information about the Purchase Order.  
Payment termsPayment termsNoThese 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 DescriptionPayment TermsNoThis is description of Payment terms.
Sub TotalTotal priceYesSubtotal of the Order.
GROSS / Cash DiscountDiscount on the total PaymentNoIt’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 taxAmount before taxYesIt’s the Total amount without Tax amount
Total taxTax amountYesIt’s the total Tax on the line items.
Round offRounded off amountNoEnter the Amount, if you want to change it. Its small amount that can be added or removed from the TOTAL AMOUNT to round-off.
  TotalTotal Amount of the Order  YesThis is the total Order amount after rounding off.

The below Charges data are shown based on the “Purchase Settings” and enable the charges that you need.

Field IDField NameMandatory?Field Description and how it helps?
Field IDField Name
Postage ChargesPostage Amount, if anyNoEnter 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 CODESAC CodeNoEnter the SAC Code, if you need it.
Postage TaxPostage TaxNoSelect 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 ChargesPacking Charges, if anyNoEnter 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 CODESAC CODENoEnter the SAC Code, if you need it.
Packing TaxTax for the ChargesNoSelect the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Shipping ChargesShipping Charges, if anyNoEnter 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 CODEShipping SAC CODENoEnter the SAC Code, if you need it.
Shipping TaxTax for the ChargesNoSelect the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Insurance ChargesInsurance Amount, if anyNoEnter the Amount, if you need it. (Other charges for Order) Enter the Insurance amount for the product to be delivered, if any
Insurance SAC CODEInsurance SAC CODENoEnter the SAC Code, if you need it.
Insurance TaxTax for the ChargesNoSelect the Taxes, if you need it. This gives the total TAX on the freight insurance amount.

Enter Vehicle / Courier Details = Yes.

Enter vehicles details to manage the Purchase Receipt with a record to identify the vehicle against which the materials are sent.

Most of these data are entered for recording purpose.

Field IDField NameMandatory?Field Description and how it helps?
Field Description and how it helps?
Vehicle / Courier detailsVehicle /courier detailsNoEnter Vehicle / Courier details like Transporter Name / Courier name, vehicle number, etc.
Gate pass IdGate Pass Voucher IDNoThis 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 DateGate Pass DateNoDate of Gate Pass entry in ERP
Transporter NameTransporter NameNoTransporter Name / person Name
Transporter GSTNTransporter Tax IDNoTAX NO. It’s a unique ID necessary for businesses.
Vehicle No.Transporter Vehicle NumberNoEnter Transporter Vehicle Number.
Courier NameCourier Agency NameNoCourier Agency Name responsible for delivering the product to the Supplier or businesses.
Courier BranchCourier Branch NameNoCourier Agencies Branch
Courier DateDate of product dispatchNoDispatch Date.
Docket NumberDoc NoNoDocket Number
GC / LR Date / Ship Bill DateReceipt of the lorry  NoIt is the Date of Receipt LR No etc that’s received from the transporter.
GC / LR Number / Ship Bill NumberLorry receipt numberNoThis gives the lorry receipt from the transporting company.
Packing DateDate of packageNoDate the product was packaged.
Packing NumberPackage numberNoPackage no for reference.
Number of PackagesTotal number of packageNoTotal number of packages that’s delivered
Weight of PackagesTotal weight of the packagesNoTotal weight of the packages.

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