Write Off Currency Differences (tfacp2240m000)

Use this session to write off currency differences on open invoice amounts resulting from currency exchange rate fluctuations between the invoice currency and the home currency.

The currency differences for the transaction kinds Unrealized Currency Profit and Unrealized Currency Loss are posted to the ledger account defined in the Accounts by Financial BP Group (tfacp0110m100) session.

A currency profit is only posted if the Currency Profits check box in the ACP Parameters (tfacp0100m000) session is selected. Otherwise, LN will post only the currency losses.

Currency losses are posted in the following way:

  • Debit: Unrealized Currency Loss
  • Credit: Accounts Payable

The Currency Difference Anticipated Payments field in the ACP Parameters (tfacp0100m000) session controls whether invoices with anticipated payments are considered for writing off currency differences.

Unrealized currency differences are reversed as soon as the invoice is actually paid.

 

Post Currency Differences

If this check box is selected, LN posts the calculated difference amount under Transaction Type for Currency Differences.

If this check box is cleared, LN prints the calculated difference amount without posting the transaction.

Select Specific Invoices

To select individual documents, select this check box and then click Specific Invoices.

If you want to write off payment differences for a number of documents that are not in sequence, you can click Specific Invoices to start the Write off Payment/Currency Differences for Specific Invoices (tfacp2520m001) session.

Fully paid only

To select only invoices that have been fully paid, select this check box.

Selection Range
Selection

The type of document used as the basis for calculation of currency differences.

Invoice-from Business Partner

Select your invoice-from business partner.

Transaction Type

Select your transaction type

Document

Select the document number. A combination of transaction type and document number is used to identify invoices.

Tolerance Limits
User

The logon code and name of the user as defined in the User Data (ttaad2500m000) session.

User

The name of the user who enters transactions.

Kind of User
Maximum Amount to be Written Off

The maximum amount for each document to be written off as currency difference. If the currency difference for a document is greater than this amount, no write-off takes place.

The currency difference must also be less than the percentage displayed in the Maximum Percentage to be Written Off field.

The currency of the country in which the company is located. Otherwise, the currency in which you report to the local tax authorities.

In a multicurrency situation, you can use three home currencies. The three home currencies that you can define for a company are:

  • The company's local currency
  • Reporting Currency 1
  • Reporting Currency 2
Maximum Percentage to be Written Off

The maximum percentage over the total document amount which may not be exceeded by the amount to be written off as currency difference.

To write off a currency difference for a document, the currency difference amount must also be less than the amount displayed in the Maximum Amount to be Written Off field.

Maximum Currency Difference Amount (Reporting Currency 1)

The maximum amount for which the user is authorized to write off currency differences.

One of the companies' home currencies that you, for example, use to report financial results to management.

In a multicurrency situation, you can use three home currencies. You can define the following three home currencies for a company:

  • The company's local currency
  • Reporting currency 1
  • Reporting currency 2
Maximum Currency Difference Amount (Reporting Currency 2)

The maximum amount for which the user is authorized to write off currency differences.

One of the companies' home currencies that you, for example, use to report financial results to management.

In a multicurrency situation, you can use three home currencies. You can define the following three home currencies for a company:

  • The company's local currency
  • Reporting currency 1
  • Reporting currency 2
Settings
Rate Date

The date on which the currency exchange rate is determined.

Manual

If this check box is selected, the exchange rate can be specified manually.

Note
Rate Type

The code of the exchange-rate type.

Note
  • This field is enabled only if the Manual checkbox is selected.
Home Currency Rate

The currency exchange rate.

Note
  • This field is applicable only if the Manual checkbox is selected.
  • This currency rate is based on the value specified in the Currency, Rate Type and Rate Date field.
  • You can modify this value only if the Functionality for Poland checkbox is selected in the Implemented Software Components (tccom0100s000) session.
  • When this value is modified manually, Infor LN considers this rate for open entries.
Home Currency
Batch

A group of financial transactions processed together. If you finalize a batch, all the transactions are processed, or if an error occurs, no transactions are processed.

Document

The transaction type that is used for posting currency differences to the general ledger.

Document

The document number under which to register the entry for currency differences and related tax amounts.

For all entries in the same run, LN uses the same document number. After each run, LN automatically increments this number by one.

Print Details

If this check box is selected, the details regarding the transaction of the currency differences are printed in the report.

Print Unselected Documents

If this check box is selected, LN prints a report that shows the reason why a document was not selected.

Dates and Periods
Document Date

The date on which the currency difference transactions are generated in the fiscal period you select.

Fiscal Period

The year of the fiscal period for the currency difference transactions.

Fiscal Period

The fiscal period for the currency difference transactions.

Reporting Period

Enter the year of the reporting period that is valid for the currency differences.

You can access this field if the Reporting Periods check box in the Group Company Parameters (tfgld0101s000) session is selected.

Reporting Period

The reporting period that is valid for the currency differences.

You can access this field only if the Reporting Periods check box in the Group Company Parameters (tfgld0101s000) session is selected.

Tax Period

The tax period year in which the entries that concern tax amounts over the currency differences must fall.

Tax Period

The tax period for the entries that concern tax amounts over the currency differences.

Define tax periods in the Periods (tfgld0105m000) session.