---
title: "Purchase"
description: "How to record vendor purchases and debit notes in NICE HMS — hospital purchases, pharmacy purchases, indent orders, and vendor payments."
date: 2026-07-25
lastModified: 2026-07-25
category: "billing"
author: "Dr. Umesh Bilagi"
beta: false
---

## Overview

The Purchase module handles procurement from vendors and suppliers. NICE HMS splits purchases into two channels — **Hospital** (general supplies, equipment, services) and **Pharmacy** (medicines and pharmaceutical items) — each with their own voucher types.

## Purchase Voucher Types

| Type | Channel | Purpose |
|------|---------|---------|
| PURCHASE | Hospital | Buy supplies, equipment, services from a vendor |
| PURCHASE_P | Pharmacy | Buy medicines and pharmacy stock from a supplier |
| DEBIT_NOTE | Hospital | Return/reduction against a hospital purchase |
| DEBIT_NOTE_P | Pharmacy | Return/reduction against a pharmacy purchase |

## Creating a Purchase

1. Go to **Admin Dashboard > Accounts**.
2. Under **Hospital** or **Pharmacy**, click **Purchase**.
3. Fill in the purchase voucher:

| Field | Required | Description |
|-------|----------|-------------|
| **Date** | Yes | Date of purchase |
| **Vendor (Cr)** | Yes | Credit side — the supplier/vendor account |
| **Store/Expense (Dr)** | Yes | Debit side — STORE or HOSPITAL account receiving the goods |
| **Items** | Yes | Items being purchased (from Item Management) |
| **Quantity** | Yes | Number of units purchased |
| **Rate** | Yes | Purchase cost per unit |
| **Tax** | Auto | GST applied based on item configuration |
| **Amount** | Auto | Calculated total |

4. Click **Submit** to save the purchase voucher.

The purchase voucher debits the store/hospital account (goods received) and credits the vendor account (liability created).

## Pharmacy Purchase (PURCHASE_P)

Pharmacy purchases use the same form but route through the Pharmacy channel:
- Access from **Accounts > Pharmacy > Purchase**
- Links to pharmacy inventory — purchased medicines appear in stock after the voucher is saved
- Cost price from the purchase updates the item's purchase price for margin calculations

## Debit Notes (Purchase Returns)

When goods are returned to a vendor or a purchase needs correction:

1. Go to **Accounts > Hospital > Debit Note** or **Accounts > Pharmacy > Debit Note**.
2. Select the original purchase to reference.
3. Enter return quantities and reasons.
4. Submit. The debit note reduces the vendor liability and adjusts stock accordingly.

## Indent (Purchase Orders)

Before creating a purchase, you can raise an indent (purchase requisition):

1. Go to `/admin/accounts/indent/create/indent`.
2. List the items and quantities needed.
3. Submit the indent for approval.
4. Once approved, convert the indent into a purchase voucher.

Indents are internal requests — they don't create accounting entries until converted to a purchase.

## Vendor Payments

After a purchase is recorded, pay the vendor:

1. Go to `/admin/accounts/vendor-recive-pay/`.
2. Select the vendor account and the purchase invoices to settle.
3. Choose payment method (CASH, BANK, DIGITAL).
4. Enter the amount and reference.
5. Submit. This creates a PAYMENT voucher that debits the vendor and credits the payment account.

## Connection to Accounts Master

Purchase vouchers require these account types (configured in the Accounts Master):

| Role | Account Type | Side |
|------|-------------|------|
| Supplier/Vendor | VENDOR | Cr (credit — money owed) |
| Goods receipt | STORE or HOSPITAL | Dr (debit — goods received) |
| Payment | CASH, BANK, or DIGITAL | Cr (credit — money paid out) |

See [Accounts Master](/docs/accounts-master) for setting up vendor and store accounts.

## Connection to Item Management

Items purchased must exist in Item Management with their:
- **Cost Price** — purchase cost (updated when received)
- **Sale Price** — selling price to patients
- **Tax configuration** — GST rates
- **Unit** — dispensing unit

See [Item Management](/docs/item-management) for adding items.

## FAQ

**Q: What is the difference between PURCHASE and PURCHASE_P?**
A: PURCHASE is for hospital-level purchases (equipment, general supplies). PURCHASE_P is specifically for pharmacy medicine purchases and integrates with pharmacy inventory.

**Q: Can I edit a purchase voucher after submitting?**
A: Yes, until it is audited (Accepted). Once audited, contact support for corrections.

**Q: How do I handle partial returns to a vendor?**
A: Create a DEBIT_NOTE for the returned portion. Original purchase stays intact; the debit note offsets the return.

**Q: Does a purchase automatically update stock?**
A: Yes. Pharmacy purchases (PURCHASE_P) update medicine stock. Hospital purchases update store inventory if linked to a store account.

**Q: How do I track what a vendor is owed?**
A: Run a VENDOR account ledger from the Accounts Master or check the vendor's balance in the audit page by filtering to PURCHASE and PAYMENT vouchers for that vendor.