Professional accounting sales is the process to track and manage the entire transaction arising from the sale of products/services. This is the basis to accurately reflect the revenues, liabilities customer and cost of goods sold. Accounting right under the accounting Standards in Vietnam (as VAS 14 and circular no. 200/2014/TT-BTC) helps enterprise transparent data, comply with tax obligations and provide reliable data for making strategic decisions about price, discount, and cash flow management.
Professional accounting sales is one of the core activities of the enterprise, plays a decisive role in accurately reflect the revenues, liabilities customer and cost of goods sold. This is not just a job bill note or warehouse that also is the process of controlling, cash flow, shape policy, sales and support strategic decisions about the discount, promotion, or inventory management.
In fact, many businesses still have difficulty when performing professional accounting sales due to the transaction types form different payment or lack of process standardization in accounting. Errors in revenue recognition, debt management, or handling customer returns can lead to financial reporting is not accurate, affect the tax settlement and governance.
Understand and implement the right accounting sales help businesses not only adhere to the law but also enhance transparency, reduce risk and optimize business efficiency. Let's Lac Viet Computing explore in more detail through the article below.
1. Accounting what is merchandising?
Sales accounting department is responsible to track, manage the transaction related to the sale of products or services of the business. This work does not just stop at the input bill, which also includes keeping track of the debt, customer management, discounts, promotions, discounts, and reporting revenue.
Professional accounting sales are the operations that accountants perform to record, check and processing of transactions arising from the sale. Include the steps from receiving the voucher, invoice, fixed account, to collate public debt and revenue reports.
The role of the professional accountant in business management:
- Ensure financial data is accurate: to Help businesses have accurate information about revenue, profits, debts and discount.
- Reduced risk of errors – loss: business Systems, it helps to avoid confusion, fraud, or loss of data.
- Support administrator sales strategy: Data from active sales accounting provides information to policy adjustments, price, promotion, or channel selection sell fit.
2. Legal regulation of accounting, sales – revenue
2.1. Principle recognize revenue in the accounting standards (VAS 14)
According to VAS14, sales revenue is recorded when satisfying the following conditions:
- Business has transferred the risks and ownership of the products to the customer.
- Revenue can be measured reliably
- Have the ability to recover the economic benefit from the transaction.
Practically, this means that revenue will only be recognized when products have been delivered to customers and valid invoice was issued. For example, a business selling computer for trading partners will not recognize revenue when the contract is signed, but only when the products are delivered then the buyer confirms receipt of goods.
Principles of accounting sales (VAS 14) this helps the organizations and enterprises are to find out information about accounting profession sales avoid recognition of revenue early, ensuring that financial statements accurately reflect the business situation.
2.2. Guide accounting under circular no. 200/2014/TT-BTC
Real business is accounting and professional sales according to the provisions of circular 200/2014/TT-BTCensure accurately reflect the revenue, public debt and the price of capital. The basic principles include:
- Sell goods: recognize revenue when goods have been delivered to customers and valid invoice was issued.
- Sales return: reduced revenue and public debt as the customer to return the goods purchased.
- Sales with trade discount or reduced price: Recorded revenue has been revised down according to the value of the discount or the discount is applied.
3. The accounting profession basic sales in Business
The sales professional below are specific analysis about the process and the way the account. The whole example accounting (debited/credited) are closely compliance with accounting business Vietnam is specified in circular no. 200/2014/TT-BTC ensure the accuracy and valid legally.
3.1. Professional accounting sales quotation/contract
Professional accounting sales quotation or contract, is the process of revenue recognition, the price of capital arises when businesses make sales transactions has been prior agreement about the price, quantity, and terms. Business sale contract is made through the main steps below:
- Salesperson/business send quotation to proceed to the signing of the contract of sale with the customer.
- When the time comes to delivery, the sales staff establishment requires export of goods from the warehouse under the order/contract.
- Inventory accounting set up warehouse – Votes are transferred chief accountant/ Chief approves.
- Based on warehouse approved, storekeeper made, cumshot, warehouse goods. The stock recorded testimony from book repository.
- Clerk/shipping receiving goods from the warehouse to proceed delivered to the customer. Accounting sales invoice for the customer according to the price stated in the contract/quotation. Staff deliver invoices and customer requirements payments.
- Accounting sales recorded transactions in the sales revenue.
Guide accounting:
| Name service | How to plan, math |
| Revenue recognition sales | Debt: TK 111/131 (Total payment)
Have: TK 511/ 512 (sales revenue, and provide services, sale prices are not including VAT]), TK 3331 (VAT payable[if available], the value added tax, output) |
| Recorded cost of sales: | Debt: TK 632 (cost of goods sold)
Have: TK 152, 155, 156,... (inventory, reduced inventory value) |
| Collect money sales (applies when seller bears): | Debt: TK 111,112 (Money obtained from customers)
Have: TK 131 (Accounts receivable of clients) |
Example of professional accounting sales quotation/ contract: Business A sells 100 pcs for customer B under a contract worth $ 500 million, 10%. Goods in full.
Accounting accounting:
- Revenue recognition:
- Debt TK 131 – customer receivables: 550.000.000 USD
- Have TK 511 – sales revenue: 500.000.000 VNĐ
- Have TK 3331 – VAT payable to: 50.000.000 VNĐ
- Recorded the price of capital:
- Debt TK 632 – cost of goods sold: 350.000.000 USD
- Have TK 155 – inventory: 350.000.000 USD
- When customers payment:
- Debt TK 111 – Cash/TK 112 – Bank: 550.000.000 USD
- Have TK 131 – customer receivables: 550.000.000 USD
3.2. Accounting sales have trade discounts
Professional accounting sales have trade discounts (CKTM) arise when businesses adopt policies to reduce prices for customers who buy large quantity or meet the special conditions the other. The accounting needed to comply with the principle reduced revenue to ensure an accurate reflection of business performance. Discount this trade integration review and apply the discount on the chain professional sales typically:
- Sales staff/sales agreement/ specifies the eligibility CKTM in quotes or contracts.
- Sales staff establishment required to warehouse according to your order.
- Inventory accounting establishment votes, transfer chief accountant/ Chief approves.
- The warehouse shipment and recorded testimony from book repository.
- Delivery for customer. If eligible, employees, sales establishment recommended to apply the discount.
- Accounting sales recorded sales, public debt at the same time apply discounts.
- Accounting sales invoice as the price has minus the discount (or with bills/vouchers adjust the discount).
- Delivery of bills and ask the customer to sign to confirm receipt.
Guide accounting
The accounting trade Discount is treated as a deduction of revenue in the period.
| Name service | How accounting |
| Recorded a sales turnover: accounting entries record the total value of transactions (excludes discount): | Debt: TK 111, 112, 131 (Total value of KH pay/ paid [including VAT])
Have: TK 511/512 (sales revenue, and provide services [selling Price excluding VAT]), TK 3331 (VAT payable [output VAT) |
| Recorded Account trade discounts: Pen payments recorded a revenue deduction/ reduction of public debt/cash respectively. | Debt: TK 5211 (trade Discount), TK 33311 (output VAT is reduced)
Have: TK 111, 112, 131 (Total/ liabilities are discounted) |
| Recorded cost of sales: journal entries recorded cost of goods sold. | Debt: TK 632 (cost of goods sold)
Have: TK 152, 155, 156... (inventory [Reduced inventory value]) |
| Collect money sales (applies when seller bears): accounting recognized when customers pay the debt. | Debt: TK 111,112 (Money obtained from customers)
Have: TK 131 (Accounts receivable of clients) |
For example, accounting and sales have trade discounts: Customers buy 200 products, which are applied trade discount of 5% on selling price 1 billion, 10%.
Journal:
- Revenue recognition before discount:
- Debt TK 131 – customer receivables: 1.100.000.000 USD
- Have TK 511 – sales revenue: 1.000.000.000 VNĐ
- Have TK 3331 – VAT payable to: 100.000.000 VNĐ
- Recorded a trade discount:
- Debt TK 5211 – trade Discount: 50.000.000 VNĐ
- Have TK 131 – customer receivables: 50.000.000 VNĐ
- Recorded cost of goods sold:
- Debt TK 632 – cost of capital: 600.000.000 VNĐ
- Have TK 155 – inventory: 600.000.000 VNĐ
3.3 Sales promotion/ row donate
Professional accounting sales promotion/ restaurant donated this arises when the business implementation of the program, sales promotion gifts for customers. Depending on the form of promotion (with conditions of purchase or without associated conditions), the accounting will be different. In promotion/ restaurant donated is done as follows:
- Marketing department/business building, promotions, gifts and donations (forms, objects, duration).
- Leader board approved program and budget.
- Inventory accounting set up warehouse promotional items/gifts and donations, based on the proposal was approved.
- Delivery promotion along with the sale (if any) or the private goods donated for guests.
- Accounting invoicing. For promotion/gift shop, bill must clearly is the gift, not to collect money.
- Accounting notes, business on the books.
Guide the account, accounting, sales
Case 1: promotional Goods (With conditions of purchase, VD: Buy 1 get 1 free)
Treat this as a sale transaction “package” products. Revenue is recorded for the total amount earned. The price of capital is recorded for all products sold, and gift products.
| Name service | How accounting |
| Recognition of revenue (the total money collected from customers): | Debt: TK 111, 112, 131 (Total proceeds)
Have: TK 511 (sales/ service provider), There is TK 3331 (VAT payable) |
| Recorded the Price of capital (for both sales/ promotions): | Debt: TK 632 (cost of sales)
Have: TK 155, 156 (Total value of stock of all goods sold/ offered) |
Case 2: Row donate, for (Not supplied conditions of purchase, E.G., development, prototype, gifts)
Value of goods donated are recorded in cost of sales (aim advertising, product introduction).
| Name service | How accounting |
| When warehouse donate: | Debt: TK 641 (Cost of sales – according to the price of capital)
Have: TK 155, 156 (value of stock) |
| Reflected output VAT (according to the law on VAT): | Debt: TK 641 (Cost of sales – share of VAT)
Have: TK 3331 (VAT payable) |
Example of business sales promotion / top donate: Business gifts 10 products (price of capital 30 million VND) for customers in the promotion “Buy 10 get 1 free”.
Journal:
- Revenue recognition:
- Debt TK 111/112/131 – Money customers payment: 330.000.000 VND
- Have TK 511 – sales revenue: 300.000.000 VNĐ
- Have TK 3331 – VAT payable to: 30.000.000 VNĐ
- Recorded cost of goods sold and goods:
Debt TK 632 – cost of capital: 180.000.000 USD- Have TK 155 – inventory: 180.000.000 USD
3.4. Professional accounting sales discounts
Discount sale (Sales Allowance) as deductions for buyer due to the goods of poor quality, wrong size or not exactly as agreed in the contract. Discounts are usually approved after the customer has purchased and received the goods. How to perform reduction in the price of sale:
- Receiving customers reflect on the quality/specification of goods.
- Engineering department/business check and confirm the bug.
- The agreement with the customer about discounts.
- Leaders browser discounts.
- Accounting invoicing adjusted up (or minutes) for discounts.
- Accounting record the decrease in revenue and public debt/money.
Guide the accounts service
Recorded as a deduction of revenue in the period incurred.
| Name service | How accounting |
| Recorded discounts for customers: | Debt: TK 511 (Sales revenue, sales, and service provider – reduced), TK 3331 (VAT payable – recording a corresponding decrease)
Have: TK 111, 112 (If returning the money to guests) Have TK 131 (If deducted from the debt) |
Note: Professional discount wholesale not affect or adjust the entry price of capital (TK 632) have noted earlier, because businesses do not re-enter the goods.
Example of professional discount wholesale: Customer reflects 5 substandard product, the business agreed to a discount of 20 million VND.
Journal:
- Reduced turnover:
Debt TK 511 – sales: 20,000,000 VND- Debt TK 3331 – VAT payable to: 2.000.000 VNĐ
- Have TK 131 – customer receivables: 22,000,000 VNĐ
Note: the Price of capital does not change because the goods sold do not enter the warehouse.
3.5. Accounting service sales return
Professional accounting sales return occurs when a customer pays the whole or a part of goods purchased by the defective item, damaged, or not the right deal. Business accepted back the goods or refund the public debt for the guests. How to perform sales return:
- Receive Customer requests a return.
- Parts business/Technical confirm the reason for return and approved.
- Storekeeper establishment receipt sales returns, confirming the status of the.
- Accounting invoicing adjust (or alternative bill) for every bounce.
- Accounting recorded a decrease in sales, reduce public debt and re-enter the inventory, record the decrease in the price of capital.
Guidelines for account sales accounting
To reduced revenue, reduced the price of capital corresponding to the amount of goods being returned.
| Name service | How accounting |
| Recorded a decrease in revenue (sales return): | Debt: TK 511 (sales/ service delivery – reduced), TK 3331 (VAT payable – recording a corresponding decrease)
Have: TK 111, 112 (If refund for guests) Have TK 131 (If deducted from the debt) |
| Record the receipt of goods enter the warehouse (at the same time reduced the price of capital): | Debt: TK 155, 156 (value of goods, finished products and re-enter)
Have: TK 632 (reduced cost of goods sold) |
For example, accounting, sales return: Customers buy 50 products, each product sale price 2 million VND, VAT 10%. After you received the goods, return 5 products due to a technical error. The cost of each product is 1.2 million VND.
Accounting accounting:
- Reduced revenue and public debt customers:
- Debt TK 511 – sales revenue: 10.000.000 VNĐ (5 products × 2 m)
- Debt TK 3331 – VAT payable to: VND 1,000,000 (10%)
- Have TK 131 – customer receivables: 11.000.000 USD
- Re-enter the warehouse and reduced the price of capital:
- Debt TK 155 – inventory: 6.000.000 VNĐ (5 products × 1.2 million)
- Have TK 632 – cost of goods sold: 6.000.000 VNĐ
- If paying clients:
- Debt TK 131 – customer receivables: 11.000.000 USD
- Have TK 111/112 – Cash/Bank: 11.000.000 USD
Note: Professional sales return moderate decrease in revenue just entered the warehouse, which helps accurately reflects the business situation and data inventory.
3.6. Accounting installment sales
Installment sales are sales for which the buyer is allowed to pay money into many times in a certain time limit. Price installment sale is often higher than the selling price paid immediately (including original/deferred interest).How to make sales test input:
- Business consulting and latch with the customer about the sale price, interest rate, number of payments.
- Independent/contracted credit/installments.
- Export warehouse, deliveries to customers.
- Accounting invoice VAT.
- Sale price paid immediately, deferred Interest and Total payment amount. VAT is only charged on the selling price paid immediately.
- Accounting recognize revenue according to the price paid and accounted for the deferred interest.
- Accounting track, collect the principal amount + interest on the bank under the contract.
- Periodically, accounting allocation of deferred interest on the fiscal revenue.
Guide the account, accounting, sales
Sales revenue (TK 511) only recorded according to the selling price paid immediately. The difference (deferred interest) is recorded in TK 3387 (unearned revenue). Periodically, deferred interest is the transition from TK 3387 to TK 515 (revenue financing activities).
| Name service | How accounting |
| Revenue recognition at point of sale (Delivery) | Debt: TK 131 (the Total amount receivable under the contract installment)
Have: TK 511 (revenue – According to the selling price paid immediately, not BLACK), TK 3387 (unrealized revenue – The deferred interest), TK 3331 (VAT – Charged on the selling price paid right) |
| Recorded cost of goods sold (As usual) | Debt: TK 632 (cost of sales)
Have: TK 155, 156 (value of stock) |
| When the amount of periodic payments | Debt: TK 111, 112 (actual amount collected)
Have: TK 131 (Reduce the debt to income) |
| Revenue recognition deferred interest (allocated periodically – monthly/quarterly) | Debt: TK 3387 (unearned revenue)
Have: TK 515 (revenue financial activities) |
Examples are installment sales: Businesses for sale machinery 200 million under the contract, installment 4 states, deferred interest 10 million VND.
Pen payments when sales:
- Debt TK 131 – customer receivables: 210.000.000 VND
- Have TK 511 – sales revenue: USD 200,000,000
- Have TK 3387 – unearned revenue (deferred interest): 10.000.000 VNĐ
When customer payment first:
- Debt TK 111/112 – proceeds: 52.500.000 VND
- Have TK 131 – customer receivables: 52.500.000 VND
- Recorded deferred interest periodically:
- Debt TK 3387 – unrealized revenue: 2.500.000 VNĐ
- Have TK 515 – Doanh thu financial activities: 2.500.000 VNĐ
4. Implementation process accounting sales-standard Business
For any business, service sales accounting is the backbone of financial management, assurance, cash flow, revenue, and public debt to be precisely controlled. Implementation process of this profession consists of 4 basic steps to help businesses ensure both accuracy medium optimal governance.
Step 1 – receive and check stock from original
The first step the most important is to receive the original documents from the sales department or warehouse. The original documents include:
- Bill of sale: proof of the transaction with the customer, can be bill electronic or paper.
- Economic contract: agreement in number, price, payment terms, discount and promotion.
- Warehouse: confirm the goods have been delivered to the customer.
- Vouchers related to promotion, discount, goods donated.
In this step, the professional accountant should perform two important tasks:
- Check the legality full of testimony from: the Bill must have full information about the buyer, seller, quantity, unit price, date of invoice. Contract must be signed as well as sealed legitimate. This ensures vouchers are valid when accounting, avoid legal risks or errors in financial statements.
- Collated data: Comparing quantities, unit price and total value of the contract/invoice with the warehouse.
Step 2 – Recorded sales professional on accounting software
After the vouchers were examined, accounting will be recorded accounting sales accounting software digitize. This helps automate, standardize data storage correctly. The main task of this work include:
- Establishment stock from sales on software: Enter invoices, contracts, warehouse. The software will store, create voucher code, data link with other parts.
- The account automatically: the System determines the account-related, including:
- Sales revenue
- Cost of goods sold
- Trade discount
- Promotion/ row donate
Step 3 – Check, compare the debt/revenue
After recorded, the next step is to collate the debt and revenue to ensure accurate data before reporting. Work should be performed:
- Collated liabilities with customers: compare the balance of the debt in the books with the balance that the customer confirm.
- Collated revenue with sales department: Ensure revenue recorded correctly, do not miss or write the appendix.
Step 4 – Prepare revenue reports/ periodic tax
The final step is to aggregate the data and report the states, including:
Revenue report:
- Revenue statistics by month, quarter, year
- Classification according to customers, items, sales channel
Tax report:
- Prepare records for declaration of value added tax (VAT)
- Report business income tax
- Additional reports according to requirements management agency
In summary, the full compliance with this process is the backbone that helps businesses manage cash flow/ revenue in a transparent way effective.
5. Risks commonly encountered in professional accounting sales – solution
5.1. Risks commonly encountered in business
In business operations, accounting, sales is one of the areas to errors due to the volume of evidence from large, diverse transactions and multiple form of payment different. The common risks include:
- Errors in recorded revenues, or public debt: Enter the wrong data, missed bills, confused customers, revenue recognition too soon or slow.
- Bills, vouchers incomplete or wrong information: Invoice lack of information, contracts not yet signed, warehouse wrong quantity or the unit price.
- Debt management has not closely: Not monitor the proper payment term, for regular screenings with customers.
5.2. Solution
- Check for regular screenings between invoices, warehouse, and customer debt.
- Establishment process control, internal clear, decentralized control to reduce errors.
- Use the checklist certification from origin before accounting.
- Staff training department, sales department, warehouse of standardized information.
- Apply accounting software digitized to control the validity full of evidence from before recorded.
- Schedule for debt comparison recurring weekly or monthly.
- Use the report warns the overdue debt from accounting software to timely reminder and recall.
6. Solution digitized support, accounting, sales – LV-DX Accounting
To reduce risks and optimize business accounting sales, LV-DX Accounting solution is digitized comprehensive support of business processing, sales by standard 200/2014/TT-BTC.
- Automatically the account, service sales, revenue as well as the price of capital.
- Track debts and customers, reporting instant.
- Integrated electronic invoices, support, sales management, e-commerce.
- Accelerate processing, reduce errors, optimize cash flow management.
Product details at: https://lacviet.vn/lv-dx-accounting/
Professional accounting sales plays a pivotal role in ensuring transparency, the exact efficiency of the entire operation corporate finance. When deployed in the right process, service, this not only helps to control revenue, public debt, but also provide important data for the strategic planning and business. Therefore, businesses need to invest in the accounting system of chemical training specialized personnel and strict compliance with legal regulations to improve capacity management.
