For many organisations, much of their work is for external clients and as such will incur expense costs that will be chargeable to a client. By default, expenses pick up their chargeable or non-chargeable flag from the settings defined in the Project reference table. To override the default settings and to specify that an expense entry is chargeable:..
If the check box is selected, an additional set of Gross, VAT and Net fields require completion...
If you have already entered a cost amount, the Gross and Net fields are filled in automatically based on the assumption that you will invoice your client at only the net expense cost that has been incurred and no VAT will be charged. If you wish to alter either amount or specify a different VAT rate you can do so in the same way as we have just described. The amounts that you input in these fields are the ones that will be used when an invoice is generated for the client.