Create an AR sales invoice with inter-entity bill back

With inter-entity bill back, you can handle the following situation:

  • One entity provides goods or services to another entity.

  • You must generate an AR sales invoice and corresponding AP supplier invoice.

When you create an AR sales invoice for bill back, select the following:

  • A customer that's associated with an entity (in the entity record)

  • The Generate matching AP supplier invoice for AR sales invoice checkbox

  • A Bill back template from the dropdown menu

Subscription

Accounts Receivable

Accounts Payable
User type Business
Permissions AR sales invoices: View, Edit, Add
Configuration Multi-entity shared company
Prerequisites Make sure you've set up the necessary permissions to create AP supplier invoices directly in the second entity.
Restrictions

  • Account labels not supported.

  • Avalara and Advanced Tax not supported.

  • OE/PO AR sales invoices do not support inter-entity bill back functionality.
Previous step Set up inter-entity bill back
  1. Go to Accounts Receivable > All and select Add (circle) beside AR sales invoices.
  2. In the Customer field, select the customer associated with a bill back entity.
  3. Verify that Generate matching AP supplier invoice for AR sales invoice is selected.

    This option only appears when the customer is associated with a bill back entity.

  4. Select the template from the Bill back template dropdown.

    Some information is automatically entered in the line item detail of the AR sales invoice:

    • AR sales invoice GL account
    • Department (if you specified one)
    • Memo entered in the template
  5. Enter any required information, such as due date, transaction and base currencies, and the amount.

    In some cases, you might create an AR sales invoice in an entity with one base currency but need to bill for that AR sales invoice in another entity using a different base currency. In this case, when you create the AR sales invoice, you need to set the base and transaction currency.

    The transaction currency can be different from the base currencies of your transacting entities.

  6. Select a Location for each line item.

    Intacct uses this dimension to determine the associated supplier for the bill back AP supplier invoice. The location for all line items must be either the same entity or share the same parent entity.

    If you select a child location or sublocation, Intacct refers to the parent entity of the location to find the associated supplier. The AP supplier invoice created in Accounts Payable shows the entity as the location, rather than the child location or sublocation.
  7. Select Post or Post & new.

    What happens next depends on the option you selected in your Accounts Receivable configuration.

    How AP supplier invoices are posted based on bill back configuration
    Inter-entity bill back configurationDescription
    Post bills directlyPosting the AR sales invoice automatically creates the AP supplier invoice in Accounts Payable for the invoiced entity, based on the inter-entity mapping from the template.
    Save bills as draftPosting the AR sales invoice creates a draft of the in Accounts Payable for the invoiced entity, based on the inter-entity mapping from the template.

Next: If your company uses Taxes, add the tax solution to the bill back AP supplier invoice.