Is it acceptable to match the amount on the Purchase Confirmation with the tax invoice amount when purchasing in foreign currency?

Question

Our company purchases domestic food products and exports them overseas. Recently, a supplier we purchase from in foreign currency requested that we match the amount listed in the raw materials/details section of the Purchase Confirmation with the amount on the tax invoice. In this case, when preparing the Purchase Confirmation, would there be any issues if the amount entered is the same as the tax invoice amount rather than being in USD?

tflow_expert · Accepted Answer

Even if payment is made in foreign currency at the time of purchase, the tax invoice must be issued in Korean Won (KRW). In this case, the applicable exchange rate should be either the rate agreed upon between the companies or the standard exchange rate at the time of supply. For KRW transactions, it is natural for the purchase amount on the Purchase Confirmation to match the amount on the tax invoice; therefore, it is acceptable to prepare the document in the same KRW amount as the tax invoice, converted using the standard exchange rate of the supply date rather than using USD.

Is it acceptable to match the amount on the Purchase Confirmation with the tax invoice amount when purchasing in foreign currency?

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