Internal Purchase Return Applet

1. Overview: Purchase Return Concept

The Internal Purchase Return Applet is used to record and manage the return of goods to a supplier. A purchase return typically results in a refund, credit note, or contra against an existing purchase invoice.

This applet ensures:

  • Accurate inventory adjustments
  • Proper supplier account reconciliation
  • Full audit trail and document traceability

Common Use Cases

  • Incorrect items received
  • Damaged or defective goods
  • Excess quantity received or ordered
  • Pricing or system errors in the original purchase transaction

2. Applet Navigation & Listing View

The listing screen provides a centralized view of all purchase return transactions.

2.1 Listing Capabilities

  • Advanced Search
    • Filter by:
      • Supplier
      • Branch
      • Transaction date
      • Purchaser
      • Posting status
      • GL dimension
  • Customizable Grid View
    • Drag, reorder, or hide columns
    • Save preferred views for daily operations
  • Line Item Listing
    • Switch to item-level view
    • Review returned quantities and values across multiple documents
  • Export Function
    • Export listings for reporting, reconciliation, or audit purposes

3. Creating a Purchase Return

There are two supported methods to create a purchase return document.

Method 1: Manual Creation

Use this method when the return is not linked to any existing purchase document.

Steps

  1. Click the ➕ (Add) button
  2. Main Details
    • Branch
    • Location
    • Delivery branch & location
    • Currency
    • Transaction date (auto-populated)
    • Purchaser (optional)
  3. Account
    • Select the supplier account
  4. Line Items
    • Search and add items
    • Enter return quantity and unit price
  5. Save Options
    • Save → Document remains in Draft status
    • Final → Document moves to Final status and may trigger a printable document

Notes

  • Draft documents do not affect inventory or accounting
  • Only finalized documents post financial and stock impact

Method 2: Create from Existing Document (Recommended)

This method improves accuracy and reduces manual input.

Steps

  1. Click ➕ (Add) and use Search Existing Document
  2. Search by:
    • Supplier
    • Purchase Invoice
    • Goods Received Note (GRN)
    • Serial number
  3. Item Selection
    • Add All → Return all items from the source document
    • Add Selected → Specify exact quantities per item
  4. Review auto-loaded information
  5. Click Final to complete the transaction

Advantages

  • Ensures correct pricing and item references
  • Maintains clear document linkage and traceability

4. Document Status Lifecycle

A purchase return document follows a standard lifecycle:

  • Draft
    • Editable
    • No accounting or inventory impact
  • Final
    • Inventory adjusted
    • Supplier account updated
    • Document locked for structural changes

5. Document Tabs & Functional Modules

Each purchase return document includes multiple functional tabs to support advanced operations.

5.1 e-Invoice

  • Used for:
    • Self-billed purchase returns
    • Credit note or debit note processing
  • Submit eligible documents for e-invoice validation and compliance

5.2 ARAP (Accounts Receivable / Accounts Payable)

  • Displays:
    • Outstanding balances
    • Impact on supplier payable accounts

5.3 Contra

  • Offset the purchase return against:
    • Existing purchase invoices
  • Commonly used when suppliers issue credits instead of cash refunds

5.4 Settlement

  • Used when the supplier provides a cash refund
  • Record payment method, amount, and settlement details

5.5 Trace Document & Link

  • View all related upstream and downstream documents
  • Supports audit review and transaction tracking

5.6 Attachment

  • Upload supporting documents such as:
    • Supplier emails
    • Photos of damaged goods
    • Credit note references

5.7 Export

  • Generate and print the official printable version of the purchase return document

6. Configuration & User Permissions

Users with appropriate administrative access can configure the applet via Settings.

6.1 Configurable Options

  • Show or hide specific tabs
  • Control visibility of action buttons (e.g., Contra, Settlement)
  • Restrict fields or functions based on user roles

6.2 Purpose

  • Simplify user workflows
  • Enforce internal controls
  • Align system behavior with company policies

7. Operational Best Practices

  • Always link to original purchase documents when possible
  • Review quantities carefully before finalizing
  • Attach supporting evidence for audit clarity
  • Use Contra or Settlement tabs appropriately based on supplier arrangement

8. Summary

The Internal Purchase Return Applet (PUR RTN) provides a structured and auditable process for handling supplier returns. Proper usage ensures accurate inventory records, compliant accounting entries, and clear transaction traceability across the ERP system.