In a group, all internal transactions between group companies should be eliminated (excluded). This view gives you an overview of your group table, eliminations, automatic eliminations, goodwill and extra values, and internal transactions.
Manual Elimination
It is also possible to perform manual elimination through the group table. Right-click on an amount and create your elimination. See below.
Automatic eliminations
In the "Automatic eliminations" tab, there is the option to create an automatic elimination between two or more companies that occur periodically.
Boardeaser has created rules for the most common eliminations, such as:
- Internal sales
- Group contributions
- Intercompany loans
- Accounts receivable
- Accounts payable
- Interest income
- Interest expenses
- Dividends Impairments
These rules are based on the companies using the BAS Chart of Accounts for intercompany transactions to leverage these standard rules. If a different Chart of Accounts is used for intercompany transactions within the group, it is possible to create custom rules based on the specific Chart of Accounts used. To create an automatic elimination, the following information needs to be filled in:
- Name
- Category
- Trigger
- Action
- From org
- To org
- From account
- To account
Name:
Name the elimination with a custom name.
Elimination category:
AD-HOC
IC (Intercompany Elimination)
Period
Trigger: Period Change
The most common elimination is when there is a change in an account during a period that needs to be matched against another account in a different company.
Trigger: OB, not zero
If there is no change during the period, you can create a rule to eliminate if the Opening Balance (OB) is not zero.
Action – Move
Action – Match
Internal transactions between these specified companies and accounts will be matched when selecting companies and accounts.
Transactions from an account or range of accounts in one company will be matched to corresponding accounts or ranges of accounts in the selected company.
Action – One-sided elimination
An elimination is created based on the account and amount on the specified side, regardless of whether they match on the other side.
From Org
In this selection, select which organization should fetch data. You can choose an individual company in the group, such as the "parent company" or one of the "subsidiary companies." You can also select the parent company and all subsidiary companies in the search.
To Org
In this selection, choose which organization Boardeaser should receive data from. You can choose an individual company in the group, such as the "parent company" or one of the "subsidiary companies." You can also select the parent company and all subsidiary companies in the search.
From account
In this box, select the account(s) from which data should be fetched. You can choose a single account, such as 3001, or a range of accounts, such as 3001-3999.
To account
In this box, select the account(s) to which data should be fetched. You can choose a single account, such as 4001, or a range of accounts, such as 4001-4999.