How can we improve WHMCS?

Add Funds don't need an invoice, this isn't "legal" in The Netherlands.

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Well, in combination with proforma invoices (EU VAT ADDON)

- There have to be invoice for credit as any other service (Credit Service), including VAT on invoice.
-When service is ordered, client should have option to apply credit on it or not.
- When credit was applied, then just simple message should be sent - there was amount XXX substracted from your credit for followig services.., as credit has been taxed allready, there should not be invoice again. Or another PDF template "Credited" maybe with its own sequencing number
- When new order is added with bigger amount then credit is, credit should simply not be applied
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In system without EU VAT Addon, credit should be applied and Invoice with amount left created as it works now

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I don't understand, whenWHMCS in developed in Europe why functions as credit cannot be legally used in EU... I think not just here, but in whole EU the rule is simple - When you get money from client, you have to make invoice same day, which includes VAT

You are spot on here.

Good you bring up the refunds as well. A separate document should be created, as a credit note, when refunds are done.

Just to elaborate on what I was saying above...
If you create a new column in the invoices table for example credit_receipt and then set out the logic as follows...
If the "product" being purchased is account credits then update the row for that invoice in the table so that credit_receipt=1
Then you can do lots of things when credit_receipt=1 - for example, you could make those invoices use a different web and PDF template, so that the customer sees it as a receipt rather than an invoice, even though the receipt number is actually still just the invoice number.
You could then exclude those invoices from selected admin invoice functions such as the invoices list.
In the Billing > Invoices admin menu you could have a new option to display credit receipts.
You could easily make sure that any invoices with that field set, are not counted towards income - or can be ignored in VAT reporting etc etc
Strictly speaking they would still be invoices, but they would look different when displayed and could easily be excluded or included in any functions, purely because of one single mysql field. I can't think of a simpler way of doing it.
Do you think that would work?

Well that is good for a start, but in most EU countries that document also must have a separate sequential numbering scheme, that can not be in the same sequence as regular invoices, and can not interfere with regular invoice numbers.

The same problem is also with refunds. Refunds should also be a separate documents with a separate numbering scheme and sequence, and WHMCS currently just alter already paid invoice, and change it's status, which is wrong. It should keep the paid invoice and create one a separate document for refund also with unique number and separate sequence.

I agree. When funds are added, a receipt with a unique number should be generated - however, it makes no difference if this is in sequence with the invoice ID's - it is at least a unique reference.
There should be an additional unique field identifying it as a transaction receipt, rather than an invoice. This would allow these receipts to be excluded from VAT reporting (very important).
The existing invoice system could be used - but simply utilize a slightly different template. All you really need is one additional field to indicate that the "invoice" is not considered an invoice - and some template modifications.

+1

The most important thing that is apparently the same in every part of the world, and implemented wrong in WHMCS is that credit addition should never create the "invoice". That should be some different document called "credit/deposit note" or someting similar, and should have a different numbering scheme than all other invoices when it's paid, because that is not an "invoice" and should not use the same sequential numbering and naming scheme, and should instead have a separate sequential numbering.

Adding founds is not enough to generate an invoice. At least, according to some legal systems. Adding founds should only increase client balance.

Hi tusker

Maybe have the system create a receipt or payment remittance. Either one will do the job.

When customers add funds it becomes a liability in our tax account and it's perfectly acceptable.

Thanks

What else do you want to send out? What would your account (and the tax authorities ;)) say, when there is a payment without record?

I totally agree the proposal.

I have also proposed such a feature at http://forum.whmcs.com/showthread.php?32578-Apply-tax-when-adding-funds

It became a pretty hot topic at that time, but with no results.

Here we have to pay VAT from every received payment including credit / advance payment which client deposits onto his client account as credit. There is no other legal way unfortunately. This is not possible to solve using WHMCS now - unfortunately. So I am afraid we have to look around for some WHMCS alternatives like HostBill.

1) Should be treated as a deposit, no VAT should be mentioned at all. There should be no invoice number on the "invoice", only some uniqe order number. From accounting perspective it should be treated as a debt.

2) The VAT for the full amount should be on the invioce, regardless whether the invoice has been paid via credit or not.

1) is possible to fix with the current whmcs. Via template the "invoice" can be formed as a deposit instead. Via hook, the serial invoice number can be reset. Shoulde however be nice if there would be inherent support for this.

2) Already supported by WHMCS

WHMCS shoud however provide a report for the debt part, caused by the credit system.