Service documents, with the right expense account

Service-type documents are mirrored as well as item documents, and the sender can pick the receiver's G/L account.

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What it does

When the sender creates a service-type document, it can choose a G/L account of the receiving company. The receiving company's draft uses that account instead of its default expense account.

When you need it: Head office invoices IT services to a subsidiary, posted to the subsidiary's IT cost account at once.

How it works

A user creates a service-type document for a sister company, for example a purchase order.
On each line, the "Receiver Account Code" field offers the G/L accounts of the receiving company. Press Tab, pick one from the list that opens, and "Receiver Account Name" shows its name.
Intercompany creates the receiving company's draft with that account on the line. There, "Sender Account Code" and "Sender Account Name" show which account the sender used.
If no receiver account was chosen, Intercompany looks at the sender's G/L account. When that account carries the "Balance Sheet" or "Profit and Loss" classification and the receiver has an account for the same class, the receiver's account is used.
If neither applies, the line gets the receiver's default expense account.

Set it up

The list of receiver accounts is refreshed on a schedule: in the Administration Console choose Preferences › Allocation Acct Scheduling and let it run daily or weekly at a set time. To refresh at once from SAP Business One, open Administration › System Initialization › Company Details, go to the "Accounting Data" tab and choose "Sync" in the "Allocation Accounts Synchronization" field. The fallback account comes from the receiver's own default accounts set-up, and the classes from "Define Account Classification".

Good to know

An account chosen in "Receiver Account Code" always wins over the classification and the default account.
Item documents and service documents are both exchanged; the choice of receiver account exists only on service-type documents.
A service-type document has the same "Intercompany" tab, status and links as an item document.