Subledger Terms Tab of Intercompany Billing Setup

Use the Subledger Terms tab to set up invoice terms between two companies in your enterprise. You must establish invoice terms for each pair of companies in your enterprise in order to maintain the paper trail provided by intercompany invoices and Account Payable vouchers.

This tab displays when the Enable detailed subledgers for Intercompany Billing option is selected on the General tab of Settings > Advanced Accounting > System.

Contents

Field	Description
Company Running Intercompany Billing	Select from the drop-down list the company generating the intercompany invoice. If your enterprise has only two companies, click in this field and blank it out to enable the drop-down list.
Company Receiving Intercompany Voucher	From the drop-down list, select the company for which the intercompany voucher is generated to pay the corresponding intercompany invoice. If your enterprise has only two companies, click in this field and blank it out to enable the drop-down list.

Invoice

Field	Description
Project	Click , and select the intercompany invoice project, phase, and task.
Tax Codes	From the drop-down lists, select the tax codes for the intercompany invoice, if the company is charging tax on intercompany invoices. How Deltek determines tax amounts for intercompany invoices depends on how these tax codes are set up on the Tax Codes form, on the types of transactions (labor, expense, or balance sheet), and on the accounts involved in the transactions.
Template	To specify a default invoice template for intercompany billing involving this pair of companies, select the template in this field. Deltek uses this invoice template by default when the company in Company Running Intercompany Billing generates an invoice for the company in Company Receiving Intercompany Voucher. However, you can select a different template in the Intercompany Billing form. If you do not select a default invoice template for the companies and you do not specify an invoice template in Intercompany Billing, Deltek uses its default invoice format when you generate an intercompany invoice.
Labor Section	Select the options to include in the labor section of the intercompany invoice: Show Date — displays the date of the original labor transaction. Show Multiplier — displays the multiplier for the original labor transaction, and the markup amount, as a separate line on the invoice. Show Comments — displays the contents of the comment field from the original labor transaction.
Expense Section	Select the options to include in the expense section of the intercompany invoice: Show Date — displays the date of the original expense transaction. Show Multiplier — displays the multiplier for the original labor transaction, and the markup amount, as a separate line on the invoice. You establish the Intercompany Accounts Payable account on the Accounts tab of Accounting Company Settings. You map the account to the liability code on the Liability Codes tab of Accounting Company AP Setup.
Billing Currency	This field displays the billing currency of the intercompany invoice project specified above in this form.

Voucher

Field	Description
Project	Click each , and select the intercompany voucher project, phase, and task.
Tax Codes	If the Enable tax auditing feature option is selected for the company in Company Receiving Intercompany Voucher, you can select up to three tax codes to be used for intercompany vouchers for that company. Tax codes are optional, even if tax codes are specified in the Invoice group box. If both companies involved are in the same tax jurisdictions, you can specify the same tax codes for each. If they are not, you may prefer to not specify tax codes for intercompany vouchers, and let Deltek post all tax expense for those vouchers to a single tax expense account. If the intercompany invoice includes a tax for which there is no corresponding tax code specified for the intercompany voucher, the tax amount is posted to the account you specify in Tax Expense Account on the Subledger Terms tab rather than to a debit account associated with a tax code. You can also have different numbers of tax codes for invoices and vouchers. For example, if you specify tax codes A and B for invoices but only tax code A for vouchers, Deltek posts the tax expense amount for tax code A to the debit account for that tax code and posts the tax expense for tax code B to the account in Tax Expense Account.
Tax Expense Account	Click and select a tax expense account for intercompany vouchers. This account is only used if the intercompany invoice includes a tax for which there is no corresponding tax code specified for the intercompany voucher. In that case, the tax amount is posted to this account rather than to a debit account associated with a tax code. Entries for this account are not posted to the General Ledger. The account must be compatible with the project's Charge Type. For example, if the project is an overhead project, the account must be an indirect or overhead account.
Bank	From the drop-down list, select the bank on which the intercompany voucher accounts payable check is to be drawn.
AP Liability	From the drop-down list, select the accounts payable liability code to use for the intercompany voucher. You must select a liability code that is mapped to the Intercompany Accounts Payable account.
Payment Currency	If you use multiple currencies, this field displays the voucher's payment currency. The Bank's bank code determines the currency in which the intercompany voucher accounts payable check will be drawn. During bank code setup, you specify an account for which a currency has been specified. This is the payment currency.
Exchange Override Rate	If you use multiple currencies and the Payment Currency differs from the Billing Currency, you can enter the exchange override rate to be used to exchange amounts from the functional currency of the invoicing company to the payment amount.
Delete setup between these companies (button)	This button displays only if your security role has the Full access to all Companies option selected on the Access Rights tab of Settings > Security > Roles. Click this button to delete the current settings for the two companies specified.