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Intercompany Bank Transfers

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Posted on by A.Prasanna

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Hi All,

we have requirement to record inter company bank transfer as per below scenario
there is 2 entities , let say A & B has different transaction currencies , let say USD and GBP.
Entity A Transfers 1000 USD (from USD bank Account ) to Entity B's GBP bank account
& there should not be any FX difference posted to gain /Loss Accounts.

any thoughts or ideas highly appreciated.

Thanks ,

AP

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Community member 10 on at

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Intercompany Bank Transfers

Hi Gaurangkumar Jani

To achieve your solution "Allow multiple subledger transactions per voucher" must be activated. Do we have an alternative to do so while keeping only one subledger transaction per voucher?
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Gaurangkumar Jani 4,511 User Group Leader on at

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RE: Intercompany Bank Transfers

Hi Amith,

Please follow the following steps: (Example in Demo)

> Create Inter-Company Journal: in USMF

> Check journal in Counter Company: (GBSI)

As it's not Customer or Vendor Transaction gain & loss won't appear on the posting journal.

If you facing a multi-currency error allow multi-currency in your Bank Account.

Let us know if this helps.

Thanks,
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Ludwig Reinhard Microsoft Employee on at

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RE: Intercompany Bank Transfers

Hi Amith,

Is this for a small penny difference only?

If so, try to increase the acceptable rounding differences to a cent or two to get this issue fixed.

Best regards,

Ludwig
A.Prasanna 8,175 on at

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RE: Intercompany Bank Transfers

Hi Ludwig,

its saying " The transactions on voucher xxxx do not balance as per 1/01/2021. (accounting currency: -xxx - reporting currency: -xxx)".

Regards,

AP
Ludwig Reinhard Microsoft Employee on at

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RE: Intercompany Bank Transfers

What's the error message that you get?
A.Prasanna 8,175 on at

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RE: Intercompany Bank Transfers

Hi Ludwig,

we tried via Suspense , but it didn't allow us to post due to Reporting currency (balance) error.

Regards,

AP
A.Prasanna 8,175 on at

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RE: Intercompany Bank Transfers

Hi Saurabh,

Thanks for your suggestion , but here there is limitation in this scenario ,that the Bank accounts are not accepting multi currencies. when I tried I've got an error massage saying same thing.

Regards,

AP
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Ludwig Reinhard Microsoft Employee on at

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RE: Intercompany Bank Transfers

Hi AP,

If you have setup the standard intercompany accounting configuration in GL you should be able to handle this transfer in an ordinary GL journal.

Have you tried doing that already?

Best regards,

Ludwig
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saurabh bharti 15,029 Super User 2024 Season 2 on at

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RE: Intercompany Bank Transfers

Hi Did you try posting intercompany entry?

Date, Account entity A , Account type Bank, USD bank account , Debit or credit , Offset entity B, Account type Bank, EUR bank account

Try selecting the Currency as USD

before this you need to setup intercompany accounting

GL > Setup > Intercompany