Sales Taxes on Service Invoice Requisitions
6.2 Sales Taxes on Service Invoice Requisitions
In the procurement of Services, sometimes services have some incidental Goods as part of the purchase. The Goods are only incidental, but must be itemized on the Invoice Requisition, so that the District Accounts Payable Staff is able to correctly document the taxes paid in connection with this service. For example: A vendor who comes in to service a copier may invoice the District for a part associated with the service call. That part is taxable and must be itemized on the requisition, and coded as taxable it the PROMT system.
The District’s Accounts Payable Department reports all Sales and Use Taxes to the State Board of Equalization, so it is imperative that the District tracks all taxes on Invoice Requisitions. When generating an Invoice Requisition, the end-user must correctly identify what items are taxable, and must correctly mark those items as taxable in the PROMT system.
7. PURCHASING OF GOOD Goods Purchases Are Not Allowed Under (Payto) Invoices Requisitions, (with the exception
of some incidental goods purchased under Service Invoice Requisitions). All goods must be purchased through the District Purchasing Department with an approved Purchase Order. Any employee/end-user who purchases Goods and submits an invoice expecting to be reimbursed is violating the District’s Purchasing Policies and may be liable for the purchase. To purchase Goods, submit an approved requisition for the items, and the District Purchasing Department will issue a Purchase Order to the Vendor (see SOP09 — Requesting a Purchase Order for Goods).
The District understands that in some instances there is a need for last minute purchases, and can set up Open Accounts with selected vendors for these last minute emergency purchases. These Open Accounts must be set up prior to the purchase, and are on case-by-case basis, and require coordination with the budget responsible department. Please contact the Purchasing Department if you are interested in setting up a specific Open Account Purchase Order.
8. ATTACHMENTS None.
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FLOW DIAGRAM--PROCUREMENT OF GOODS
COST CENTER
PURCHASING
PURCHASING
MANAGER/VICE END-USER
BUSINESS OFFICER
ASSISTANT
BUYER
CHANELLOR VENDOR
Identifies items and
Contacts
general cost to
requisitioner
determine
requesting item(s) to
procurement
be purcahsed
process
a) Identifies vendor(s) selling item(s)
Completes
b) If vendor is new,
w-9 and
sends w-9 and
profile
vendor profile
application
application to
and returns
vendor to
Reviews completed forms and sends to
Inputs Vendor
Purchasing Staff
information into
c) Obtains quotes,
item
pricing and eta
information,
from vendor(s).
pricing and
Reviews quotes.
eta
d) Obtains accurate funding codes for requisition and inputs all item, pricing, quotation
1) Requisiton is
and delivery
Approves requisition
sourced to a PO
information into
upon review of item(s)
# and queued.
PROMT as a
for purchase and
Obtains PO from
requisition
budget/fund coding
queue.
2) If PO is under $2,500.00, the PO is reviewed,
Vendor
PO is faxed to
dispatched and
3) PO Between $2,500.00 and $9,999.99
e) Forwards
requires a review
quotes, bid recap
of the quote(s),
and any pertinent
PO and quote
then is
Vendor
information to
are faxed to
dispatched and
Processes
FLOW DIAGRAM --ACCOUNTS PAYABLE PROCESSES FOR PURCHASES OF GOODS
VENDOR ACCOUNTS PAYABLE
a) Receives invoice, finds PO, checks PO document status and verifies items have Sends Invoice to District via Mail
been received via receipt in PROMT
b) Compares invoice prices to PO prices
c) Creates a voucher in PROMT, budget Checks, matches items on invoice with receipt and prices
d) Voucher is then sent through PROMT processing to become approved, valid and postable. Then it posted.
e) Pay-cycle process creates a payment and then a manual check is generated and Vendor receives check per invoice and
mailed to the vendor. (Checks printed on processes the deposit
Wednesday and mailed on Friday.)
FLOW DIAGRAM--RECEIVING OF GOODS
COLLEGE STOREROOM
VENDOR
WAREHOUSE/RECEIVING
KEEPER
REQUISTIONER/END-USER
a) Signs for packages, retrieves
Vendor sends good
packing slips, prints PO in PROMT
to district warehouse
and prints it out
b) Checks packages for items on PO, cross-references with packing slips
c) After verifying what has been physically receieved, a receipt is created in PROMT
d) Writes reciept # & destination on packages, prints out receipt and files them with destination clipboards (sorted by college)
e) PO is filed away f) Contact storeroom keeper to
Sets up appointment for
arrange delivery time and date
delivery of goods to college
g) Matches destination receipts with packages and confirms delivery appointment
Appointment confirmed
Packages received with signs
h) Packages go out for delivery
confirmation of delivery
i) Matches receipt(s) to PO(s), then
Package(s) delivered to end-
End-user(s) receives
receipt(s) and PO(s) are filed away
user(s)
package(s)
Flow Diagram — Measure A Process
Requestor
Business Office
Measure A Cord.
V.C. Gen'l Svcs.
V.C. Finance
Receives form and
Logs form, date
Measure A
reviews for approval.
stamps and
Form
------------------------
assigns a
Forwards approved
number to form.
form to Measure A
-------------------
Coordinator.
Reviews form for completeness, logs President's
signature date.
pp
If form is
complete,
forwards to VC
General Services
for approval, logs
sent date.
-------------------
Reviews form and
If form is
approves/denies
Receives
incomplete
form (w/in 24
email notice
Receives email notice
that Measure A form is
emails Business
hours).
ocess
that Measure
Office and
-------------------
A form is
incomplete.
Requestor.
Forwards all
incomplete.
forms to Measure
A Coordinator. Approved forms are logged and
Reviews form and
Meas
forwarded to VC
approves/denies
of Finance.
form (w/in 24
------------------
hours).
For rejected
-------------------
Receives email
forms an email is
Forwards
notification that the form
sent to Business
approved forms
e Receives
has be rejected, along
Office and
to Chancellor.
copy of
with instructions of who
Requestor
-------------------
Reviews form and
A rejection
to contact to get the
indicating reason
Rejected forms
approves/denies
for rejection and
are returned to
form (w/in 24 hours).
notification
form approved.
email.
notifying how to
Measure A
correct problem.
Coordinator.
------------------- All forms are returned to VC
Rejected forms
All forms are forwarded to
Finance.
------------------- Approved forms
Measure A
are logged,
Coordinator.
Receives advance of approval
Receives copy
Receives email
scanned and
copy of Measure A notification,
notification that the
emailed to
form. Buyer keeps then generates
form has been
Business Office,
copy to attach to PO. a Purchase
approved.
Requestor, and
copy sent to
Requistion.
Buyer.
Business Process Document Enterprise Purchasing 8.8: Dispatching POs