Expense Types
Expense Types is a fiscal catalog that classifies your expenses and purchases according to the code your country's tax authority requires. It's used when entering Vendor Bills, Receptions, Vendor Credit and Debit Notes and Expense Reports, and it feeds the purchase-related fiscal reports you must file (for example, Form 606 in the Dominican Republic).
What is it and what is it for?
Each record in this catalog has a Fiscal Code (for example "01"), a Name (for example "Personnel expenses") and optional internal notes. When entering a line on a Vendor Bill, Reception, Vendor Credit or Debit Note, or an Expense Report, you can indicate which Expense Type that line belongs to; AdmCloud uses that data to classify the transaction in your purchase-related fiscal reports.
In the Dominican Republic, AdmCloud automatically seeds, the first time you open this catalog, the 11 official codes required by the DGII for Form 606 (Personnel expenses, Work/supplies/services expenses, Leases, Fixed assets expenses, Representation expenses, Other deductions, Financial expenses, Extraordinary expenses, Purchases and expenses that will be part of the cost of sale, Asset acquisitions, and Insurance expenses); you don't need to create them by hand. In Ecuador, the Expense Type field is required when entering Vendor Bills and Expense Reports, although the catalog isn't seeded automatically. In every other country, the field exists but is optional.
Screens in this area
| Screen | What it does |
|---|---|
| List | All the registered expense types, sorted by fiscal code and name. From here you open each one to view or edit it, or create a new one. |
| Create / Edit | A simple form with the expense type's fiscal code, name and internal notes. |
| Details | A read-only view of the expense type's data with a shortcut to edit it if you have the corresponding permission. |
How to create an expense type step by step
- Open the list and click New. You need the "add" level of the system configuration permission.
- Enter the Fiscal Code. It's required and cannot repeat with another expense type already registered (10 characters maximum). If your country requires a specific code for your purchase reports, this is the one to use.
- Enter the Name. It's required and also cannot repeat with another expense type already registered (200 characters maximum).
- Add notes (optional) if you want to clarify for your team when this expense type should be used.
- Save. The expense type is immediately available for selection on the lines of your purchase and expense documents.
Where it's used
- In the Expense Type field of Vendor Bills, Receptions, Vendor Credit and Debit Notes and Expense Reports.
- As a classification criterion in purchase-related fiscal reports, such as the Dominican Republic's Form 606.
- Optionally on the Chart of Accounts, to link an account to a default expense type.
Key fields
| Field | What it's for |
|---|---|
| Fiscal Code | The code your tax authority requires to identify this expense type on your purchase reports. It's required and unique. |
| Name | A descriptive name for the expense type (for example, "Personnel expenses"). It's required and unique. |
| Notes | Free text to clarify the internal use of this expense type, visible only within this screen. |
Validations when saving
- Fiscal Code is required and must be unique.
- Name is required and must be unique.
- You cannot delete an expense type if it's already assigned to an account in the Chart of Accounts; the system shows you the list of affected accounts.
- You cannot delete an expense type if it's already used on a transaction; the system shows you the document type and number of the affected transactions.
Availability, plan and modules
- No plan or Enterprise-module restriction was found for this screen; it's available on every AdmCloud plan.
- Access is controlled by the system configuration permission of your user group.
- In the Dominican Republic, the 11 official Form 606 codes are created automatically the first time you open the catalog.
- In Ecuador, the Expense Type field is required when entering Vendor Bills and Expense Reports. In every other country it's optional.
Tips and common pitfalls
If you operate in the Dominican Republic, don't create the expense types by hand. AdmCloud automatically seeds the 11 official DGII codes the first time you open the catalog; only add extra types if your accountant tells you to.
Don't confuse this with Expense Categories. Expense Types is a fiscal catalog, meant to classify your purchases according to the code your tax authority requires on purchase reports. Expense Categories is a separate accounting catalog that links each category to a single expense ledger account to speed up data entry. They're independent of each other, and you can use one, the other, or both.
Can't delete an expense type? That's because it's already assigned to an account in the Chart of Accounts or already used on a transaction. Reassign those references before trying to delete it again.