Purpose
The purpose of this Quick Reference Guide (QRG) is to provide Intercompany (IC) Entry users step-by-step instructions on how to reverse a transfer in the North Carolina Financial System (NCFS).
Introduction and Overview
Intercompany Transfers occur when there is a transfer of funds between organizations. Intracompany Transfers occur when there is a transfer of funds between budget funds within the same organization. A transfer must be initiated by the providing organization then received and completed by the receiving organization before it can move forward to approval and posting. A transfer may need to be reversed to update a transaction or to remove a transaction all together. Reversing a transfer means a user wants to remove the transaction from the General Ledger account balances. A transfer can be reversed once it is posted to the General Ledger following review and approval. Users can reverse IC transfers via the Intercompany Accounting module.
Key Terms
- Intercompany Transaction
- Intercompany transactions are cash transfers occurring between two or more budget funds, either within the same organization or between two organizations.
- Reversal
- A reversal cancels out the original transfer entry.
Information Needed to Complete this Process
- Batch Number
- Batch Name
Output of this Process
- Reversed Transfer
Reversing a Transfer
To reverse a transfer, please follow the steps below. There are 28 steps to complete this process.
Step 1. Access the NCFS Home Page and click the Intercompany Accounting icon.
Step 2. Click Transactions.
Step 3. Click the Tasks icon to open the task list.
Step 4. Click on Manage Intercompany Outbound Transactions.
Step 5. Enter the desired Batch Number or Batch Status.
Step 6. The search results appear. Highlight the row and click on the Reverse Batch button.
Step 7. Enter the Reversal Method, Reversal Batch Date, and Reversal Accounting Date. Then click Submit.
Step 8. A Confirmation pop up appears. Click OK then click Done.
Step 9. Click the Tasks icon to open the task list.
Step 10. Click the Manage Intercompany Inbound Transactions option.
Step 11. Enter the Batch Number then click Search.
Step 12. Highlight the row then click Approve.
Step 13. Enter the Batch Number and click Search.
Step 14. The Transaction appears and should the Transaction Status should show approved.
User Tip
If you want to manually post the reversal, follow steps 15-28. If you do not want to run this program, wait for the scheduled program to run the next business day.
Step 15. Scroll up and in the upper right-hand corner, click Done.
Step 16. Click the Task List and then click Transfer to General Ledger.
Step 17. In the upper right-hand corner, click Submit. Then click the Navigator in the upper left-hand corner.
Step 18. Click the General Accounting tab then click Journals.
Step 19. Click Run AutoPost.
User Tip
In the upper left-hand corner of the screenshot above, select the appropriate Data Access Set.
Step 20. Select the AutoPost Criteria Set drop-down, then click Submit.
Step 21. A Confirmation message appears, click OK.
Step 22. Click the Navigator.
Step 23. Click Scheduled Processes.
Step 24. Enter the Process ID and confirm the Status field states “Succeeded.” Then click the navigator in the upper left-hand corner of the screen.
Step 25. Click the General Accounting tab then click Journals.
Step 26. Click the Task List, then click Manage Journals.
Step 27. Enter the Journal Batch then click Search.
Step 28. Validate the Batch Status states “Posted”
Wrap Up
After following the steps above, the user can reverse the transfer. This results in the GL account balances being updated for both the providing and receiving agency and is reflected in the Cash Availability report. Once an IC transfer has been submitted for reversal it is approved in the next AutoPost run.
Additional Resources
- Instructor Led Training (ILT)
- Quick Reference Guides (QRGs)
- Creating a transfer (via Spreadsheet Upload) QRG
- Creating a transfer (Manually) QRG
- Reversing a Transfer (OSC)