When you pay a vendor, record the payment on their purchase invoice. SmartLedger reduces the bill's balance, updates its status, posts the payment to your books and lists it under Accounting → Payments.
Record the payment
Go to Purchases → Purchase Invoices and open the bill.
Click Edit Invoice.
From the list you can also open the row's actions menu and choose Edit, or Edit Payments on a bill that is already part-paid or paid.
In the Payment Details card on the right, click Record Payment.
Choose the Mode of Payment: Cash, Bank Transfer, Cheque, UPI, Card or Other.
Pick the Payment Date. It can't be earlier than the invoice date.
Leave Payment Number blank to get the next voucher number automatically, or type your own.
Enter the Payment Reference Number, such as the UTR, cheque or transaction number.
In Select Account (Payment Made From), choose the bank, cash, credit card or clearing account the money left from.
Check the Currency and enter the Amount Paid.
Hover over the info icon next to the amount to see what is still due. You can pay part of the bill now and the rest later.
Click Record Payment.
SmartLedger saves the payment straight away. If you had unsaved changes to the bill, it saves those first.
Bank charges on a payment
If your bank deducted fees, tick Add additional charges before you click Record Payment. For each charge, choose the expense account in Select Charge Type/ Chart of Account, then enter the Amount (₹) and any GST (₹). Click Add another charge for more rows.
Under GST on Bank Charges, choose Treat as expense or Claim ITC. Only claim ITC when an Indian GST-registered bank charged the GST and you have its GST invoice or debit advice.
What happens next
- The payment appears in the Payment Timeline with its date, mode, reference, account and the Balance Due after it.
- The bill's status changes to Partially Paid, or to Paid once nothing is left to pay.
- Click Record Another Payment for the next instalment.
- Once a bill has payments, its line items, discount, TDS and reverse charge setting are locked.
Changing or removing a payment
To change a payment, click the pencil icon on it, edit the details, click Update Payment and then Confirm Update. To remove one, click its bin icon.
Either way, SmartLedger asks for a Reason for reversion, such as Duplicate payment entry or Incorrect payment amount, and keeps it for audit. Click Confirm & Revert to finish. Any additional charges recorded with the payment are reversed too.
Tips
- To record a payment while you create a bill, set Status to Partially Paid. The Payment Details card appears. If your payment covers the whole bill, the status switches to Paid on its own.
- On a bill with TDS, the amount due is the Net Payable after TDS. When you deposit the TDS with the government, record it on the same card with Payment Type set to TDS Payment.
- To settle several bills from one vendor with a single payment, go to Accounting → Payments, click Record Payment, choose the vendor and tick the bills under Unpaid Bills.
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