Creating Payables companies

Select Financials > Payables > Payables Setup > Companies.

Click Create.

Specify this information:

Company: Select a code for the company. The code must be the same as your global ledger company.
Name: Specify a name for the company. The company name is displayed together with the company code.
Vendor Group: Assign a valid vendor group to the company. You can assign the same vendor group to multiple companies.
Pay Group: Assign the company to a valid pay group. A pay group is used to process payments. The company must have the same base currency as the posting company that is assigned to the pay group. The pay group is used for all process levels that are defined for the company unless you override it. A pay group must be defined at the process level.

On the Main tab, specify this information:

Voucher Prefix: Specify a voucher prefix.
Allow Concurrent Load Of Interface Invoices: Select this check box to enable interface invoices to load concurrently.
Invoice Accrual Code: Select an invoice accrual code for the company. This field represents the default global ledger account for the company.
Invoice Accrual Account: Optionally, select the accounting dimensions, account, and sub accounts.
Global Withholding: Select this check box to enable international withholding options.
Income Withholding Code: Select a global ledger income withholding account to track reportable withholding for vendors.
Note: If you prefer not to track reportable withholding, select the Allow Override Of Company Income Withholding Code check box when creating a vendor.
Invoice Withholding Account: Optionally, select the accounting dimensions, account, and subaccounts.
Withholding Rate: Specify the withholding rate. This rate is assigned an income code and then applied to payments for vendors marked for income withholding.
Secondary Withholding: Select the check box if secondary withholding is applicable. This rate is applicable to all vendors.
Note: If vendors are exempt, then select the Secondary Withholding Exempt check box when creating a vendor.
Secondary Withholding Codes: Select up to three secondary withholding codes. Secondary withholding codes represent global ledger income withholding accounts. These codes are used to accrue secondary withholding for vendors.
Note: You can also define secondary withholding codes at the vendor level.
Discount Code: Select a global ledger discount account.
Discount Account: Select a global ledger discount account for the discount code.
Retainage Accrual Code: This code is the default accrual code of invoices, payments, and distributions for vendor contracts with retainage.
Retainage Accrual Account: Optionally, select the accounting dimensions, account, and sub accounts.
Cash Code: Select a cash code for the company.
Invoice Routing Category: Select an invoice routing category for the company.

On the Options tab, specify this information:

Posting Option

Select whether the company is posted in detail or in summary.

Tax Recovery On Discount

Select this check box if you are required to subtract the discount amount from the amount of tax that is owed. This is attributable to the sales tax or VAT.

Terms Calculation

Select the date from which the invoice due date and discount date are calculated.

Float Days

Specify the number of days to add to the best terms calculation. If the vendor enables a specific number of days for payment to arrive and gives the customer the discount, then the specified float days are valid.

Best Terms

Select this check box to recalculate the terms during matching.

Invoice Date Edit Begin

Specify a beginning date to edit against the invoice date at the time that the invoice is created. If the invoice date falls outside of the dates that are specified at the company level, then a message is displayed.

Invoice Date Edit End

Specify an ending date to edit against the invoice date at the time that the invoice is created. If the invoice date falls outside of the dates that are specified at the company level, then a message is displayed.

Create Transit Distributions

Select this check box to create transit distributions. Use this option to create transit invoices and record the company's tax liability. If you select this option, then you must also specify a default Distribution Code that is used to assign an invoice expense to a transit expense account.

Distribution Code

Select a distribution code to automatically create expense distributions for invoices or to split an invoice distribution into multiple distributions.

Invoice Item Detail Account

Optionally, select the accounting dimensions, account, and subaccounts.

Enforce Existence Of Approval Category

Select this check box for users to select an approval category from the existing list only.

Enforce Processor Cannot Be Approver

Select this check box to restrict users from approving new invoices if the user is both an invoice processor and approver.

Allow Bank Instructions Override On Invoice

Select this check box to enable the override of bank instructions on the invoice.

Prorate Gain Loss Amount To Distributions

Select this check box if the gain and loss amount from the invoice to distributions must be prorated.

Assign Voucher Reference

Select this check box to use voucher reference numbering.

Note: The Voucher Reference Format and Voucher Reference Reporting Basis fields are displayed after the Assign Voucher Reference check box is selected.

Voucher Reference Format

Right-click the field to select the variable or variables to use for the voucher reference format.


Variable	Description
YEAR YYYY	A four-digit number to represent the year.
YEAR YY	A two-digit number to represent the year.
MONTH MM	A two-digit number to represent the month.
999999999999	A 12-digit sequence number that is reset to 1 every year.
000000000009	A padded 12-digit sequence number that is reset to 1 every year.
999999	A six-digit sequence number that is reset to 1 every year.
000009	A padded six-digit sequence number that is reset to 1 every year.

Voucher Reference Reporting Basis

Select the reporting basis that is identified for the locale's statutory reporting.

Distribution Reference Default

Select whether the default distribution reference is Voucher, Invoice, or Purchase Order.

Mark As Paid Offset Account

Specify the offset account to enable invoices for this company to be marked as paid. See the Payables User Guide.

In the Tax Processing section, specify this information:

Tax Accrual Entity Override: Select this check box if the tax accrual entity can be overridden.
Allow Short Pay: Select this check box to allow short pay or partial payment of an invoice.
Payables Tax Tolerance: Select this check box to enable tax tolerance in Payables.

In the Match Invoice Tax Tolerance section, specify this information:

Tax Tolerance Amount: Specify the tax tolerance amount for this company, vendor group, and pay group. Specifying the amount, percent, or both for tax tolerance defines the maximum tax to be tolerated on Match invoices.
Tax Tolerance Percent: Specify the tax tolerance percent for this company, vendor group, and pay group. Specifying the amount, percent, or both for tax tolerance defines the maximum tax to be tolerated on Match invoices.
Tax Code: Select a tax code. A tax code is required to balance the tax-out-of-tolerance invoices during the match process.
Tax Rounding Account: Specify the dimensions to use with tax rounding.

In the Interface To Receivables section, specify this information:

Interface To Receivables: Select this check box if this company's payables data must be interfaced to receivables data.
Detail Receivables Interface: Select this check box to create detail records for receivables interfacing.
Retain Invoice Number when Interfacing in Detail: Select this check box to use the original Receivables or Payables transaction number when interfacing in detail.
Interface Hold Code: Select an interface hold code for the company.
Invoice Prefix: Specify the prefix that is attached to the invoice number.

In the Global section, specify this information:

Foreign Trade And Payment Report: Select this check box to include the Foreign Trade And Payment Report.
Report Threshold Amount: Specify the threshold amount for the foreign trade and payment report.
Claims and Liabilities Report: Select this check box to include a claims and liabilities report. This report contains the sum of all open payables and receivables invoices.
Report Threshold Amount: Specify the threshold amount for the claims and liabilities report.
Output XML: Select No XML. For German companies, select Germany.

Click Save.