The Invoice Received document is used to record incoming invoices from subcontractors or service providers for work completed under a Subcontractor Agreement or Project Contract.
This document is primarily used for service-based invoices, such as subcontracted works, consulting, and professional services, excluding material inventory.

How to create

a) Purchasing→ Purchasing documents → Invoice received

b) The Invoice Received document may also be generated directly from an issued Payment Certificate using the Generate function. This automatically imports certified work quantities, amounts, and VAT details, ensuring full alignment with the certified progress.

Main Tab

This tab shows the basic details needed to identify and manage the invoice.

• Company - The company from whom the invoice was received.

• Contract - Refers to the contract related to the service.

• Recognize expenses in the Payment Application received - This field becomes enabled if it was activated at the start of the workflow, typically moving from Subcontractor Agreement → Payment Application Received → Payment Certificate Issued → Invoice Received.

• Apply Retention - Enables retention deduction based on the agreement settings.

• Ret. VAT at Retention Invoice - Indicates that VAT on retention will be accounted for when retention is invoiced.

• Subcontractor Agreement - References the subcontractor agreement under which this invoice was processed.

• Project - Links the invoice to a specific project for cost tracking.

• Transaction Type - Defines the nature of the transaction: Receipt from Vendor for subcontractor invoices.

• Basis - The document from which this invoice is generated is typically a Payment Certificate Issued.

• Warehouse - Optional, used only when materials are involved (not applicable for services).

• Regular / Progressive - Defines the invoicing method:

1. 1. Regular - Used for one-time or standard service invoices not linked to cumulative progress.
   2. Progressive - Used for ongoing subcontractor works where the invoice is based on certified progress or cumulative quantities.

• Comment - Free-text field for additional notes or internal references.

Note: The Inventory tab is not used for subcontractor service invoices received.

Expense Tab

The tab lists all service or subcontractor work items being invoiced.

• Item - Specific work or service line
• Subcontractor WBS - Optional code to identify work as defined by the subcontractor
• Content - Description of work or service performed; must align with the contract scope.
• Agreement

1. 1. Qty - Agreed quantity of work or service.
   2. Amount - Total contractual value = Agreement Quantity × Unit Price.
   3. Discount - Discount applied to the agreed amount, if any.

• Payment Certificate

1. 1. Qty - Quantity certified for the current payment period.
   2. Amount - Certified amount corresponding to the approved quantity.
   3. % - Percentage of the total agreement certified for payment.

• Invoiced

1. 1. Previous Qty - Quantity invoiced in previous payment periods.
   2. Previous Amount - Amount invoiced in previous payment periods.
   3. Previous % - Percentage invoiced up to the last period.
   4. Current % - Percentage invoiced in the current period.
   5. Cumulative % - Total invoiced percentage to date.

• Qty - Current claimed quantity of work or service.
• UOM - Unit of Measure (e.g., m², m³, pcs).
• Price - Unit rate applied for invoicing.
• Discount - Value of discount applied to the line item.
• Discount % - Percentage of discount applied to the line item.
• Amount - Net value after applying discounts.
• VAT% - The applicable VAT rate for the line item.
• Total (Before Retention) - Gross total before applying retention deduction.
• Retention % - Percentage of retention applied as per contract terms.
• Retention Period (Days) - Duration after which the retained amount can be released.
• Retention - Amount withheld from the total payable for quality or performance assurance.
• Retention VAT - VAT calculated on the retained amount.
• VAT Amount - Total VAT applied to the invoice value.

• Total - Final invoice total, including VAT and after applying retention.
• Customer Order - Reference to the corresponding customer order linked to the transaction. Not required for Subcontractor Invoice Received.
• Requisition - Linked requisition document initiating the purchase or service request.
• Project Task - Specific project or task code associated with the invoiced work or service.

• Project WBS - Work Breakdown Structure code for the project.

• Department - The department responsible.

• Expense Item - Categorization of the expense.

Summary 

• Subcontractor WBS - Work Breakdown Structure for subcontractor scope

• Item - Specific work/service line

• Content - Description of work/service performed

• UOM - Unit of Measure

• Agreement

1. 1. Quantity - Original contract quantity
   2. Amount - Contractual value
   3. Discount - Any discount applied to the contract amount

• Payment Application

1. 1. Qty - Quantity applied in Payment Application
   2. Amount - Value applied in Payment Application

• Payment Certificate

1. 1. Qty - Certified quantity for invoicing
   2. Amount - Certified amount for invoicing

• Invoiced

1. 1. Qty - Total invoiced quantity to date
   2. Amount - Total invoiced value to date

Deductions Tab

The Deduction tab is used to record amounts that reduce the invoice total.

• Item - The deducted service, work item, or reason for deduction.

• Content - Description of the deduction.

• Quantity - Quantity applicable for the deduction.

• UOM - Unit of Measure for the deduction
• Price - Unit rate for the deduction

• VAT % - Applicable VAT rate

• VAT Amount - VAT calculated on the deduction

• Amount - Net value of the deduction before VAT

• Total - Total deduction including VAT

Note: VAT % and VAT Amount in this tab are for calculation purposes only and will not be posted as output VAT. All deduction-related transactions, including VAT posting, must be processed by issuing Invoice document.

• Subcontractor WBS - Work Breakdown Structure code linked to the deduction

• GL Account - General Ledger account for posting the deduction

• Department - Department responsible for or related to the deduction.

• Business Activity - Type of business activity associated with the deduction

• Income Item - Income category linked to the deduction

• Comment - text field for notes or explanations about the deduction

Additional Information

• In Doc # - unique reference number assigned to a document received from an external party,

• From Date - Date when the invoice is issued.

• Department - Internal division responsible for processing or approving the invoice received.

• Responsible - Employee accountable for the transaction.

• Delivery Address - Location where the goods or services were delivered.

• Delivery Terms - Terms and conditions agreed upon for the delivery of goods or services.