Computer invoicing: Procedures for testing EDI invoicing systems: Additional procedures
You will need to:
- Examine records and observe control procedures; confirm that the controls and the reports, etc. that are produced meet departmental requirements.
- Confirm audit trail - is it possible to re-assemble or analyse a transmitted file (for example, from the individual invoices) to test the accuracy of control totals on the summary file control report, and as transmitted to the recipient within the summary EDI file trailer?
- Confirm invoice archiving - are copies of the invoices kept for the prescribed period and in what form? If archived electronically, can they be reproduced on demand in a readable form?
- Consider the issue of references between the VAT offices for the sender and recipient, to check the completeness and accuracy of transmissions over a selected period.
- Review procedures used by the trader in the event of system failure, loss or corruption of files, to ensure that VAT accounting is not compromised.
If an intermediary network (VANS services - seeVATREC7080) is involved in the transmission process:
- What system messages (for example, acknowledgements, and status reports) are transmitted by the network to control the flow of transmissions?
- Does the network reformat the data or append additional information to it? If so, establish what processes take place and what control procedures are employed over the completeness and accuracy of processing.