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The Intercompany Module for Microsoft Dynamics GP

November 26, 2013 9:34 am Published by

The Intercompany module for Microsoft Dynamics GP enables you to set up, enter, and maintain relationships between companies so that revenues and expenses attributable to one company (the originating company) and be tracked as “due to” or “due from” accounts in other companies (destination companies).

You use the Intercompany Setup window to define relationships between companies that you want to have intercompany transaction interaction. Setting up an intercompany relationship enables you to record transactions in General Ledger or Payables Management for the originating company that will create transactions in the General Ledger for the destination company.

In the Intercompany Setup window, you select the originating company, the destination company, and the due to/due from accounts for each. You can print the Intercompany Setup List of all the intercompany relationships for an originating company by selecting that company and clicking File > Print.

Intercompany transactions are like any other transactions in Microsoft Dynamics GP, with the following exceptions:

  • They contain distributions to more than one company.
  • If you are not using Multicurrency Management, all companies must use the same functional currency.
  • Multicurrency intercompany transactions must be saved to a batch. Standard intercompany transactions are entered in single-use batches or recurring batches, but multicurrency intercompany transactions must be entered in single-use batches.
  • You cannot enter multidimensional analysis codes for destination company distributions, but you can distribute amounts to destination company accounts that have multidimensional codes set up.

You use the Transaction Entry window in General Ledger to enter intercompany transactions. Select a journal entry number, mark the Intercompany option, and select a batch. Use any batch-level posting method to post intercompany batches. Similarly, you use the Payables Transaction Entry window and the Payables Transaction Entry Distribution window to enter and distribute intercompany transactions in Payables Management.

Posting transfers intercompany transactions to permanent records. Before that, they can be changed or deleted. In General Ledger, posting also updates balances in the chart of accounts for the originating company. Posting reports are printed when you post transactions. You can analyze intercompany data and activity with inquiries and reports.

About MIG & Co.

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