Dear all, we would like to update you regarding a change in the way we calculate invoice due dates, which is effective starting 21-Jan-17.
This change is important so that we avoid giving additional credit dates to our customers once services have been rendered from our end or after a dispute has been resolved.
Below is a snapshot of the current process and the new guidance to be followed starting 21st Jan’17.
|Current Process||New Process|
|Freight Invoices||The due date calculation is based on billing date; or on ETD (for export invoices) or ETA (for import invoices) in cases where invoicing date is before ETD/ETA.The ERD/EDD is the baseline dates for SD transport modes for export and import invoices respectively for invoices is generated before these dates else billing date is considered as baseline date for due date calculation||The due date will now be calculated based on ETD for export invoices and ETA for import invoices for CY-CY/SD-CY transport modes irrespective of when the invoice is generated. Similarly, for CY-SD/SD-SD shipments ETD would be baseline date for export invoices and EDD would be baseline date for import invoices for due date calculation irrespective of when the invoice is generated.|
|D&D Invoices||The due date is calculated based on the billing date.||The due date will still be calculated based on the billing date. However, the due date calculated on the original invoice will be carried over to any subsequent invoices in the event of cancellation and re-billing for D&D invoices.|
As an additional reference, please find below the new due date calculation based on the different transport mode possibilities:
Possible scenarios for freight invoices
|Transport Mode||Prepaid Payment (Due Date)||Collect Payment (Due Date)|
|CY-CY||ETD + Credit Period||ETA + Credit Period|
|SD-SD||ETD + Credit Period||EDD + Credit Period|
|CY-SD||ETD + Credit Period||EDD + Credit Period|
|SD-CY||ETD + Credit Period||ETA + Credit Period|
Possible scenarios for D&D, Damaged Equipment Recovery & Manual invoices
- Due date calculation for the first Invoice and or any subsequent invoices = Billing date + Payment terms
- Cancellation and re-billing of existing D&D Invoices, Due date = Original billing date + Payment terms
- Cancellation and re-billing of existing Manual & Damaged Equipment Recovery Invoices, Due date = Billing date + Payment terms