Set these after the chart of accounts. A new workspace already maps them to starter accounts. Confirm they still point where you want before you finalize the first invoice or bill. Accounting General (accrual and auto-post) is in Accounting settings and chart of accounts.
These accounts are used when you finalize an invoice (accrual + auto-post). Track Inventory in Accounting is on this screen, not on Sales General.
How to open it
| Step | Click |
|---|---|
| 1 | Settings → Sales |
| 2 | Sales Journal |
Sales posting accounts
| UI label | When auto-post needs it |
|---|---|
| Customer Balances (Accounts Receivable) | Every accrual invoice |
| Sales Income (Revenue) | Product and non-inventory lines, unless the product overrides it |
| Service Income (Revenue) | Service lines |
| Sales Tax (Output VAT) | Any line with tax greater than zero |
| Cost of Products (COGS) and Inventory Value | Inventory lines, if Track Inventory is on |
| Price Reductions / Returned Items | Stored for later — not used by invoice auto-post today |
These accounts are used when you finalize a bill (accrual + auto-post).
How to open it
| Step | Click |
|---|---|
| 1 | Settings → Purchases |
| 2 | Purchase Journal |
Purchase posting accounts
| UI label | When auto-post needs it |
|---|---|
| Money Owed to Suppliers (Accounts Payable) | Every accrual bill |
| Inventory Purchases (Asset) | Inventory lines |
| Expense / Service Purchases | Non-inventory and service lines — this is the expense account |
| Purchase Tax (Input VAT) | Any line with tax greater than zero |
| Supplier Discounts / Returned Purchases | Stored for later — not used by bill auto-post today |
On Disbursements, set Payment Account (Bank/Cash). Auto-post uses it when you pay a supplier. Accrual credits that account and reduces AP. Cash credits it and records the expense on the payment.
On Collections, Main Bank / Cash, Undeposited Funds, tax credits, and bank fees are here. Customer payments update the invoice balance today; they do not create a journal from these accounts yet. Record a receipt journal yourself if you need the cash entry. See Record a customer payment.
How to open it
| Step | Click |
|---|---|
| 1 | Settings → Purchases → Disbursements |
| 2 | Settings → Sales → Collections |
Open Settings → Sales → General and Settings → Purchases → General. Each document type has a prefix, a last number, and digits. That only builds the document number you print and search — SI-00001, OR-00001, PI-00001. It does not pick a GL account and it does not change tax.
The next document uses last number + 1, padded to the digit count. Seeded last number is 0 and digits is 5, so the first invoice is SI-00001. If you are continuing a series from another system, set last number to the last one you already issued.
What each numbering field does
| Field | What it does | Example |
|---|---|---|
| Prefix | Text at the start of every number | SI-, OR-, PO-, PI-, PV- |
| Last number | Last issued. The next document uses this + 1 | 0 → next is 1 |
| Digits | How many numeric digits, with leading zeros | 5 → SI-00001 |
Where each series lives
| Document | Screen | Seeded prefix |
|---|---|---|
| Estimate | Settings → Sales → General | EST- |
| Sales order | Settings → Sales → General | SO- |
| Invoice | Settings → Sales → General | SI- |
| Receipt (customer payment number) | Settings → Sales → General | OR- |
| Purchase order | Settings → Purchases → General | PO- |
| Bill | Settings → Purchases → General | PI- |
| Payment voucher | Settings → Purchases → General | PV- |
Sales General also has default payment terms and days until overdue. Purchases General has default payment terms for suppliers. Those are due-date defaults, not numbering and not tax.
A tax type is a rate on a line — name, code, and percent. It calculates how much tax to add. It is not the Output VAT or Input VAT account. The same tax-type list opens from Settings → Products → Tax Types, Settings → Sales → Tax, and Settings → Purchases → Tax.
A new workspace already has VAT 12% (code VAT12, the default) and Zero-rated VAT (VAT0). Keep those unless your registration uses a different rate. You can still change the tax type on a product or a line.
Tax type vs default vs VAT account
| This | Where | What it does |
|---|---|---|
| Tax type | Products → Tax Types (same list on Sales Tax and Purchases Tax) | Name, code, rate %. Calculates tax on the line |
| Default tax type | Settings → Organization → Tax (VAT registered) | Which tax type new invoices start with — usually VAT 12% |
| Tax inclusive | Organization → Tax | On: tax is already in the price. Off: tax is added on top |
| Output VAT account | Settings → Sales → Sales Journal | Where invoice tax posts in the books |
| Input VAT account | Settings → Purchases → Purchase Journal | Where bill tax posts in the books |
If you change VAT 12% from 12 to another rate, documents calculate a different tax amount. The Output VAT account does not change. How the org Tax tab, a product, and a document feed that amount is in the next section. VAT vs Non-VAT is in Set up your organization.
Sales Tax (Output VAT) and Purchase Tax (Input VAT) are GL accounts. Auto-post credits Output VAT when an invoice line has tax greater than zero, and debits Input VAT when a bill line has tax greater than zero. They do not pick the rate. The rate starts on the organization Tax tab, then a product or a line can change it.
A product has two separate overrides. Use Organization Tax Config changes the rate (or VAT exempt). Use Organization Sales / Purchase Accounts changes which Output VAT or Input VAT account that tax posts to. Leave both on unless this product is truly different.
What each tax setting actually changes
| Where | What you set | What it changes |
|---|---|---|
| Settings → Organization → Tax | VAT or Non-VAT, default tax type, tax inclusive | The starting rate and whether prices include tax. Non-VAT: VAT types and product VAT overrides do not apply |
| Product → Use Organization Tax Config | On (default): org tax type. Off: this product’s tax type, or VAT Exempt | The rate copied onto a new invoice or bill line when you pick the product |
| Product accounting | On: Sales Journal / Purchase Journal VAT accounts. Off: this product’s Output VAT or Input VAT account | Which GL account receives the tax amount. Does not change the % |
| Document (invoice or bill) | Tax price basis — tax-inclusive or tax-exclusive | How tax is calculated on this document. Seeded from the org Tax tab; you can change it here |
| Line | Tax type on the line, or Override line tax (VAT exempt or another type) | This line only. Zero tax means no Output VAT or Input VAT journal line |
Inclusive vs exclusive is a document setting, not a tax type field. Product tax-type override still uses the org’s inclusive default until you change Tax price basis on that invoice or bill. See Products for the product switches and Create and send an invoice when you are on the document.
Other guides in Accounting and catalog