Accounting date reversals when changing Accounts Payable invoices

Solution Properties

Solution ID:

222924250017506

Last Modified Date:

Thu Jun 24 20:37:13 UTC 2021

Taxonomy Path:

Category//Transactions

Author:

sageadmin

Accounting date reversals when changing Accounts Payable invoices

Description

Cause

Resolution

CAUTION:

Changing a date can affect reporting and balances. Using the wrong date can cause out of balance situations and lead to longer correction processes. Review the existing transactions carefully to determine the dates affected before entering corrections. If you can't determine which date you need to use, contact your Sage Consultant for assistance.

Reversal dates when deleting or changing an invoice

When you delete an invoice or change the accounting date of an invoice in the Change Invoices task, Accounts Payable prompts you to select the reversal accounting date. The reversal defaults to the Original or Old accounting date and can be changed. The difference between the options are as follows:

Selection	Results	Examples
Original accounting date	Choosing this option sends the reversing entry to the original invoice accounting date. This option appears when you delete an invoice.	If the original invoice has an accounting date of 07/15/2023 and is deleted on 08/10/2023, then Accounts Payable creates a reversing entry to 07/15/2023. Both the reversing entry and the current invoice entry have the same accounting date so the transactions net to zero. This is usually the best option for error correction.
Specified accounting date	Choosing this option sends the reversing entry to the accounting date you enter. This option appears instead of New accounting date or Revised accounting date when you delete an invoice.	If the original invoice has a 07/15/2023 accounting date and you delete the invoice on 08/10/2023, Accounts Payable creates a reversing entry to the date you specify. This option is usually used when you must delete an invoice, but the original invoice accounting date is in a closed period (that does not allow entries to post). Tip: The Specified accounting date defaults to the current system date on your workstation.

NOTE:

This information applies to you when you use the accrual accounting method. When you use the cash accounting method, the accounting date for the reversing entry is the date you paid the invoice.

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