Controllers Group
Meeting
October 31, 2013
© 2008 Brigham Young University–Idaho
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© 2008 Brigham Young University–Idaho
Idaho Sales Tax Exemption
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ST-101 is the sales tax exemption form.
• Purchasing has worked with many vendors in the area and
supplied it for their records.
• If a copy is needed for a vendor for sales in Idaho we are happy to
provide that to you.
Purchase Orders – Purchasing will take care of exemption
Accounts Payable – If an invoice or other type of payment request to a
vendor is sent to Accounts Payable and sales tax is included on the
request an ST-101 will be included with payment to vendor. The
payment sent will be less the sales tax.
We can’t take the exemption or request a refund for sales tax paid in
any form by an individual. If an employee purchases something with
cash or a personal credit card and asks for reimbursement we aren’t
eligible for the exemption.
© 2008 Brigham Young University–Idaho
Idaho Sales Tax Exemption
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Idaho Sales Tax (Adjustment on Sales Tax Remittance)
• Purchase Card – If vendor has a sales tax exemption form (ST-101)
on file tell them you are with BYU-Idaho and you will be eligible
for the exemption. If they claim they don’t have it on file unless you
are carrying one with you they will collect sales tax.
• A report is created each month from purchase card transactions with
any Idaho sales tax and we will use that amount as a credit when we
submit our sales tax collected for the University.
© 2008 Brigham Young University–Idaho
Year End Items
© 2008 Brigham Young University–Idaho
Encumbrance
Only appropriated accounts (budgeted accounts which begin
with one, 1xxx-xx-xxxx).
• Encumbrance – The promise or setting aside of current budget
funds to pay for specific expenses in the future
• Travel
• Purchase Order
• Work Order
• Encumbrances are ran nightly so they are current each day
when you look at your general ledger statement
• Yearend encumbrances are important because budgeted funds
are set aside from the current year and added to the budget for
the next year for goods or services ordered before but not
received until after December 31
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© 2008 Brigham Young University–Idaho
Travel Encumbrances
All travel encumbrances for travel authorizations will be removed off of
the December 31st financial statement.
• Travel completed in 2013 will be posted to 2013 budget year.
• 2013 travel authorizations need to be reconciled as soon as possible.
• Travel expenses paid in 2013 on a TA for 2014 travel will post in 2014.
• Must have travel budget funds left from current year for
encumbrances
• Travel encumbrances to allow funds to be carried forward from 2013:
• should be related to specific travel
• needs to be requested from appropriate vice president.
• Academic area requests should go to Ric Page
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© 2008 Brigham Young University–Idaho
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Purchase and Work Order Encumbrances
In the Appropriated Fund goods and services ordered before but not
received until after December 31 will be encumbered. This means
the amount of the Purchase Orders will be charged to the old year
and carried as additional budget into the new year to pay for the
item(s) when received.
Appropriated Fund:
Ordered (timely) before
end of year but not
received.
Encumbered
Must have budget funds left from current year for
encumbrances
© 2008 Brigham Young University–Idaho
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Purchase and Work Orders
In all other funds, goods and services must be received by December 31 in
order to be charged to the old year. All goods and services received after
December 31 will be charged to the new year, even if the Purchase Order
was written in the old year.
Other Funds:
Items received/services
rendered by Dec. 31st
Charged to Old
Year
Other Funds:
Items received/services
rendered after Dec. 31st
Charged to New
Year
Orders after December 31st
All Purchase Orders and
Work Orders written after
December 31
© 2008 Brigham Young University–Idaho
Charged to New
Year
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2013 Year End Purchases
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Memorandum
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Date: 13 November 2013
To: All Campus Personnel
From: Darin Lee, Purchasing and Travel Director
Subject: 2013 Year End Purchases
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The end of the year is fast approaching and some departments/colleges are preparing to make purchases against the 2013
budget year. Typically, the number of purchase requisitions handled by our department increases significantly during this
time. Due to the end of year demands, we ask your cooperation in generating purchase requisitions as early as possible.
For those accounts which require delivery of items prior to December 31st, please submit requisitions as soon as possible.
For those requiring encumbrance before year end, but delivery can occur in 2014, please submit requisitions to our office
before 5:00 p.m. on Friday, December 6, 2013. Meeting this date should allow sufficient time for Purchasing personnel to
get clarification on requisitions prior to campus personnel leaving for Christmas break. We will do our best to process any
requisitions received after the date noted above and encumber funds in this current year. Please contact our offices at ext.
2312 if you have questions or concerns about your needs.
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Thank you for your consideration and it is our pleasure to work with you and serve you!
© 2008 Brigham Young University–Idaho
Other Yearend Expenses
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Check requests and hand checks need to be turned in the first
week of the new year to be charged to old year.
• Dated December 31 or before
• Goods or services received by Dec. 31st
Vendor Invoices not on purchase orders should be turned in
as soon as possible after year end but must be to the
Accounting Office by soft close deadline (Around January
20th)
• Goods or services must be received on or before Dec. 31st
Will not be encumbered, posted to appropriate year
© 2008 Brigham Young University–Idaho
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Financial Report Responsibilities
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The proper use of financial reports and the general ledger is
vital to account stewards in meeting their fiscal stewardship
responsibilities.
© 2008 Brigham Young University–Idaho
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Financial Report Responsibilities
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Ensure proper expenditures of funds
Keeping expenditures within the authorized budgetary limits
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Care should be taken to charge all expenses and revenues to
the appropriate category which identifies the transaction
rather than to an unrelated category where it appears that
budget money is available. One category can be overspent
while another is under spent. It is the bottom line that counts.
Generation of expected revenues, if applicable to your area.
Compliance with record keeping requirements of the University
© 2008 Brigham Young University–Idaho
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Financial Report Review
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The account steward should review financial reports each month.
• The verification of each transaction in the general ledger may be
assigned to another person. They should be communicating any
issues with the steward.
An electronic record will be kept of each time a report is accessed on the
internet and is subject to monitoring by Financial Services and Auditors.
If stewards are not reviewing in a timely manner the accounts they are
responsible for an email will be sent. It will list the accounts that haven’t
been reviewed recently.
This is also a good way to make sure we are up to date on any account
steward changes. Check the accounts listed in the email to make sure you
should be steward of the account(s). If not reply and we will resolve the
issue.
© 2008 Brigham Young University–Idaho
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Review Email
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Yearend Financial Report Review
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It is much easier to find a problem when you are looking
monthly rather than waiting until the end of the year. Also
look at bottom line.
Begin in December doing a comprehensive review that
continues through year end closing in January. We email
stewards and office assistants as we work through year end
processes with reminders to review reports and when the
closing will take place.
We have a number of calls in February and March asking about
issues in the prior year. Even if there is a problem discovered it
is too late to do anything about it in the prior year’s records.
© 2008 Brigham Young University–Idaho
Feeling Good
© 2008 Brigham Young University–Idaho
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