Invoices - Prevent sales invoice lines being posted to Overhead or Direct Costs nominal account codes
A number of users mistakenly post lines on their sales invoices to expense nominal codes, for example when recharging their mileage to a customer they credit this to Motor Vehicle Expenses instead of using their correct Sales account code.
Most other accounts/bookkeeping packages prevent this by default by only allowing sales invoices to be posted to sales nominal codes. Xero however allows sales to go to virtually any nominal account of the user's choosing, leading to this error cropping up quite often.
Could we have a way to restrict sales invoices only being posted to sales nominal account codes?
Nick Read
shared this idea
Hi Nick, thanks for sharing your idea on preventing sales invoice lines from being posted to Overhead or Direct Cost codes. We're grateful for your engagement and for letting us know the changes that matter to you.
We've reviewed your suggestion, and it's now ready to gain support from other community members.
Along with votes, others can now comment to share additional detail about how restricting sales invoices to specific nominal codes could improve their experience and help prevent errors in Xero.
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Brendan Hofer
commented
Strongly support this idea.
In my experience, the real issue is not just overhead and direct cost accounts. The problem is that when entering a sales invoice, users are often presented with accounts that should never realistically be exposed as an option on any invoice.
My preferred solution would be a checkbox on each chart of account, for example:
Available on Sales Invoices
Available on Purchase BillsThis would allow organisations to decide exactly which accounts appear during invoice entry, regardless of account type.
As an alternative, Xero could provide an organisation-wide setting to restrict sales invoices to selected account types, such as Revenue, Sales and Other Income accounts only.
Preventing incorrect account selection at the point of entry is far better than discovering and correcting errors during reconciliation, month-end reporting, or during accountant review.
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Holly Moore
commented
Agreed. This is so frustrating and has led to our VAT returns being incorrect. I don't know why the VAT coding isn't led from the document type e.g. sales invoice = input tax. Surely we should be able to use whatever nominal code we choose!