How to setup inter company accounts and do inter company postings

How to setup inter company accounts and do inter company postings

Objective

The objective of inter-company accounts in NEOSYS is to allow you to work (post journals) for a pair or group of companies (or divisions) with the same ease as if they were a single company while still keeping fully balancing and separately audit-able accounts per company or division. Once the inter-company accounts are set-up between a pair of companies, NEOSYS allows direct postings from one company into another company subject to authorisation. From one journal data entry session, NEOSYS will create separate balancing vouchers in each company just like one would do manually by entering the same transaction twice, once in each company.

Setup

Inter company transactions are handled in NEOSYS by first creating inter company accounts in the Inter company ledger and then linking this account in the Company file.

For example a company NEOSYS A wants to transfer an amount to company NEOSYS B

1. Create intercompany accounts for Company A and Company B in Chart of Accounts>Intercompany Accounts Ledger

2. Link the account NB in Company File of Company A and NA in Company File of Company B

Data Entry

3. Use an appropriate Journal Type to show the Transaction

Result in company A

Note how NEOSYS automatically creates a voucher under each company using the inter company accounts and auto-numbers these vouchers

Result in company B