Tags: Summary Sync Split summary invoice
Splitting of a summary invoice into 2 different invoices of 2 different months
This article provides the details and reason why and when our app splits a single summary invoice into 2 different invoices of 2 different months.
Shopify deposits the payout amount a few days later than the sales. Our app creates the summary of the Shopify payment method orders on the basis of payout received from Shopify. The frequency of Shopify payout depends on the payout frequency selected with Shopify.
Our app will split the summary invoice that includes orders from 2 different months. The purpose behind splitting the single invoice into 2 different invoices is to maintain your accounts by splitting the sales/expenses into different months for both salex tax/VAT/GST purposes as well as other financial reporting & tax purposes. We also split the invoices into two months and carry forward the amount of previous month so that the reconciliation of the next month will not be affected.
For example, you have received the payout with payout id 85963524885 on 3rd November with an amount of $5000. This payout includes payment of 50 orders, 45 orders with an amount $4700 which were created in October and 5 orders with an amount of $300 from November.
In this case, our app will create one summary invoice dated 31st October with invoice number 85963524885-1. This summary will include the summary of the orders only from October. This summary will have all the line items as usual such as Sales, Shipping, Fees, Refund etc. which will sumup to amount 4700 and a 'Carry Forward To Next Month' line item with an amount -4700 (Negative amount) so this summary will be created with 0 amount.
The other summary invoice will be created dated 2nd November with invoice number 85963524885-2. This summary will include the orders only from November. This summary will have all the line items as usual such as Sales, Shipping, Fees, Refund etc. which will sumup to amount 300 and a 'Carry Forward From Previous Month' line amount with an amount 4700 so this summary will be created with an amount 5000 which will match with the payout amount.