Recording the Supplier Invoice 1. Recording the Supplier Invoice Alpha SARL receives an invoice from Beta SA for the purchase of computer equipment totaling €2,000 (including VAT). The accounting entry is as follows: 606 - Purchases of computer equipment €1680 44566 - Deductible VAT on other goods €320 401 - Supplier Beta SA €2000 2. Recording the customer invoice Alpha SARL issues an invoice for €1500 including VAT to Beta SA for the sale of software. The corresponding accounting entry is: 411 - Customer Beta SA €1500 706 - Services rendered €1250 44571 - VAT collected €250 3. Partial offsetting entry Alpha decides to partially offset the amounts due. Beta still owes Alpha €500 net after offsetting. The offsetting entry is: 401 - Supplier Beta SA €1500 411 - Customer Beta SA €1500 This entry cancels both partial balances, and the remaining balance of €500 is held in the supplier account, to be settled later.