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Consignment – commission invoice

KDG
2024-04-08

Question

Dear Sir/Madam,

We have our products on consignment in two shops. At the end of the quarter, one shop provides a summary of what we need to invoice. The second shop has sent us a commission invoice. Suppose we sold €30 worth of products and we pay 35% commission, then we would received on our account from them €19.5. The commission invoice states that we have to pay them €10.50. I don’t have an invoice stating what we have just sold, only the amount we have to pay in commission. How should I enter this? We don’t have a summary of what was sold and when (so it doesn’t fit in the journal receipt). Do we need to issue a counter-invoice or can the commission invoice be processed in other way? Thank you in advance. Kind regards, KDG

Hmm, yes, you will have to enter something for that income, of course.Create an invoice yourself, if necessary purely to have one in your accounts? Who will the actual customers receive a document from? Are they private individuals who may not want a sales invoice?

You then record that commission invoice as an expense, as usual, I think :)

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