Microsoft Dynamics GP (Archived)

Never Closing the Calendar Year

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Posted on by Community Member Microsoft Employee

Hello:

Our company does not administer either finance charges or 1099s, out of GP 2013 R2.

Are there any issues, then, with not closing the Calendar Year in the A/R and A/P subledgers?

John

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Victoria Yudin 22,766 on at

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RE: Never Closing the Calendar Year

This is a very common misconception out there.

Just to make it clear to anyone reading this, the 1099 functionality in Dynamics GP does not rely on whether or not you closed they year in the AP subledger. Ever. :-)
Community Member Microsoft Employee on at

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RE: Never Closing the Calendar Year

Ah, that's true!

Thanks, Victoria!!!

John
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Victoria Yudin 22,766 on at

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RE: Never Closing the Calendar Year

John,

Even if you were to use the 1099 and Finance Charge features, you do not ever have to close the year in the AP and AR subledgers. No harm done. Both are optional.

You just have to calculate the YTD and Last Year numbers yourself if you want them for reporting purposes. Which is easy enough with code from my blog. And most likely, if you were closing the year those numbers would not be 100% accurate anyway.
Community Member Microsoft Employee on at

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RE: Never Closing the Calendar Year

I will do that, Bill! Thank you!

I just figure that since we don't have finance charges or 1099s, that it does not have to be done.

Again, thanks! I'm glad to draw from your experience!

John
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Bill Campbell 22,647 on at

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RE: Never Closing the Calendar Year

If you are closing the Fiscal Year then I do not think you need to do both - I think if you did you would find that when you did the Fiscal close the Last Year data would show the amount in the stub periods between the calendar and fiscal periods.

I make sure I close 1 or the other - I have made that a rule for the past 20 years - 1 for sure - and 99% of the time it is Fiscal that we close for our clients.

Let us know what you decide and if there were any side effects.
Community Member Microsoft Employee on at

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RE: Never Closing the Calendar Year

Hi Bill:

Actually, what I've been noticing is that my predecessor did not close the Calendar Year in A/R and A/P for 2015. Apparently, it had been done in prior years.

And, we are not on a calendar-based fiscal year.

Fiscal years have been consistently closed in all companies, though.

I took a look at one of the customers in the Customer Summary window and, indeed, this customer does have a Sales figure showing for "Last Year" when I choose "Calendar Year", choose "2015", choose Periods 1 - 12, and click "Calculate".

Since the Calendar-Year closing only has to do with A/R Finance Charges and A/P 1099 amounts, anyway, I'm wondering if it's worth "going to the trouble" of closing the Calendar Year.

Thanks!

John
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Bill Campbell 22,647 on at

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RE: Never Closing the Calendar Year

From what I know of the AR / AP Calendar or Fiscal close is that it moves the values from the Current Year in the Last Year columns.

So, right now if you have never closed the years, and you look at Sales Last Year, it may be blank.

After you run the calendar close, that field should be populated.

That is how I recall the function - I do know that it does not send any transactional data to the GL so there is no concern from that side of the system.

Hope this helps. Remember, to TEST and make backups before trying anything new in your production system.