Vendor Clearance

Implementation Updated by Implementation

What is Vendor Clearance?

Vendor Clearance refers to settlement of accounts.


User can settle accounts bill to receipt. It will give a number to settlement that is called clearing number.

Use Case

Suppose there is firm “XYZ” Ltd. They do lots of transactions with Vendors and due to that they face lots of difficulty to identify which payment belongs to which bill.

With this option, user can clear bill with payment. User can settle multiple documents at one time.

Steps to be performed for clearance of documents.

1.Go to Account Payable

1.1.Go to Transaction-> Click on vendor clearance

2.Select here Vendor and all transaction for that Vendor will reflect there.

2.1.Full clearance case->i)Select equal debit and credit ii)Pending Bill Amount should be zero. iii)Save & continue button will appear on screen.  iv) Click on save and bill will be cleared.

Check Vendor Ledger-> Both Debit note & credit note are marked as cleared.

2.2.Partial Clearance-> i)Selected partial and fill amount ii)Click on save & continue.

Check Vendor Ledger-> The partial cleared document will appear Yellow colored.

3.If user has wrongly cleared the document then user can revert or cancel the clearing. Select vendor and click on revert button marked in below screen shot.

3.1.Select settlement number and click on revert.

4.If user clears the documents fully then it does not appear in clearance again. But if user wants to see all entries on clearance page then click on “All Records” marked in below screen shot.

How did we do?

Vendor Aging

Vendor Foreign Clearance