Once users confirm an entry into SFM, they cannot modify any elements of the data. The only option available is to reverse the full transaction(s) and re post the entry with the right values. The system provides for the reversal of entries as follows:
Sales & Purchase Ledger Reversals
- Sales/Purchase Ledgers: Reversal of entries with the option to automatically re-post the entry, excluding client receipts or supplier payments
- Sales/Purchase Ledgers: Reversal of entries only for sales/purchase ledger entries including client receipts or supplier payments, no re posting
- Nominal Ledger: Reversal of entries only, no reposting
The option to reverse an entry in both these ledger is available from the display of transactions of the client/supplier OR
from the audit trail of both ledgers.
From any of the above options, highlight the required entry to reverse and from the task bar select the icon as per the figure on the left. Once you click on this button, the system will provide the following options:
- Reverse the entry and do not take further action. The system will post an adjustment debit or adjustment credit against the current entry.
- Reverse the entry and Repost the transaction with the right values. The system will post an adjustment debit or adjustment credit against the current entry. When complete, the system will present the posting screen with all the data as posted in the highlighted entry. Users can change all fields including client/supplier codes, dates, values, VAT codes, nominal account codes, etc. before confirming the new entry.
: The system will not allow a user to reverse and repost the entry if the transaction type is a DR (Debtor Receipt) of a PC (Payment to creditor). For these transactions, the user can only reverse the entry and need to post normally the required payment through the system if so required.
For all reversals, the system will mark both entries (original entry and adjustment) as fully allocated and update the allocated flag with the letter ‘R’ for reverse. This will clearly identify reversed entries and not allocated through normal payments. The system will also allocate a new system reference to the new transaction.
Nominal Ledger Reversals
The option to reverse an entry in the Nominal Ledger is only available from the audit trial. The user needs to locate and highlight the entry, usually by finding the system reference number of the transaction. Use the reverse button to start the reversal process. Once a user confirms the reversal, the system will post a journal to reverse all the entries for that system reference. The system will identify entries in the nominal audit trail as defined in the following figure.
The system will not allow a user to reverse any entry if:
- The date of the entry is not within the posting period of that ledger
- The date of the entry is within a closed VAT period
- The entry is already reversed
- The source of the entry is not from SFM but through another system, like SIMS, SFS or another 3rd party system
To run the function of the reversal of accounting entries, the user must have the following permissions:
- NAUDITNOM: The user must have the create flag in this function to run the reversal for Nominal Ledger entries
- SALESREP: The user must have the create flag in this function to run the reversal for Sales Ledger entries
- PURCREP: The user must have the create flag in this function to run the reversal for Sales Ledger entries