Reclassifying transactions in Accounts Receivable

To correct information on an Accounts Receivable transaction that has a state of Selected, Partially paid, or Paid, you need to reclassify it. Not all information on a transaction can be reclassified, and not all transaction types are available for reclassification.

Reclassification requires some setup and might not be available in all regions.

What you can reclassify in Accounts Receivable

Information that can be reclassified in Accounts Receivable
Transaction type Information that you can change Information that you cannot change
AR sales invoices
  • Account number
  • Line item dimensions, such as Location or Department
  • Term, due date
  • Reference number, Description, Attachments, and Memo fields
  • Custom fields
  • AR sales invoice date and GL posting date
  • Customer, AP supplier invoice-to contact, or ship-to contact
  • AR sales invoice number and Message
  • Amounts, allocation, and currency information
  • Configuration of line items, which means that you cannot add, remove, or split lines
AR Adjustments
  • Account number
  • Line item dimensions, such as Location or Department
  • Reference AR sales invoice number, Description, Attachments, and Memo fields
  • Custom fields
  • Adjustment date and GL posting date
  • Customer, AP supplier invoice-to contact, or ship-to contact
  • Adjustment type and number
  • Amounts, allocation, and currency information
  • Configuration of line items, which means that you cannot add, remove, or split lines
You cannot reclassify advances.

Restrictions

To reclassify a transaction, the following must be true:

  • Transaction State: The transaction must be in the state of Selected, Partially Paid, or Paid.

    Unpaid transactions can typically be edited instead. Reversed and Reversal transactions cannot be edited or reclassified. Zero balance transactions cannot be selected or paid, so they’re also ineligible for reclassification.

  • Summary or Period: The summary or period must be open.

    The period must be open not just for the entity where the transaction was created, but also in all entities included in line items, and entities associated with the banks where the funds were deposited.

  • Reconciliation status: The transaction must not be included in a completed (closed) reconciliation. To reclassify, reopen the reconciliation.
  • Related to a project: If the transaction is marked as billable and has been included in an invoice for the project, you cannot reclassify it.
  • Applied credits: Any credits applied must be from a single entity.
  • Associated bank: The transaction must be deposited to a single bank.
  • Tax implications: The transaction cannot use a standard or custom tax solution.
  • Additional requirements: The transaction must not be associated with an undeposited funds account.
Order Entry transactions: Reclassifying AR sales invoices generated in Order Entry does not affect the original transaction.

For example, say you create an AR sales invoice in Order Entry with a location of California. Then, you reclassify the AR sales invoice in Accounts Receivable to change the location to New York. Only the location listed on the AR sales invoice changes to New York. In Order Entry, the location listed on the originating transaction does not change; it’s permanently set to California, not New York. You cannot re-open the original transaction to change the location manually.

Set up

To make reclassification available in your company, you need to enable reclassification in your Accounts Receivable configuration. Then, you need to grant reclassification permissions to the users authorized to correct these transactions.

After you complete this setup, authorized users can reclassify AP supplier invoices and adjustments by selecting Reclassify on the transaction edit page.