GR/IR Clearing Account 

You use the GR/IR clearing account to post: Goods received which have not yet been invoiced, and invoices for goods which have not yet been received. When you receive the missing goods (or invoice), the system makes an offsetting posting to the GR/IR clearing account. The respective items are not cleared.

Before creating the financial statements, you need to analyze the GR/IR clearing account so that the transactions posted to it are properly displayed.

The program used for this analysis determines an item balance for each reconciliation account and each assignment number. If the account has a credit balance, goods have been received but not invoiced; if the account has a debit balance, goods have been invoiced but not yet received. The program places any necessary adjustment postings in a batch input session. These postings are made separately per company code, GR/IR clearing account, reconciliation account, and business area. They are then reversed on the day you specify in the program run.

You have received goods from one of your vendors. The vendor has invoiced only part of the delivery.

In this example, you would make the following postings:

1. You post $2000 of goods received to the inventory account. The system automatically posts the transaction to the GR/IR clearing account.

2. You have been invoiced $1000 for part of the delivery. You post this amount to the vendor account and to the GR/IR clearing account.

In this example, the program would create the following postings:

3. On the balance sheet key date, transfer postings are required to identify the portion of goods delivered but not yet invoiced. To adjust the GR/IR clearing account, the program used in analyzing the GR/IR clearing account posts $1000 to the relevant adjustment account. The offsetting entry is posted to the account used for presenting goods delivered but not invoiced (target account).

4. These postings are reversed after the financial statements have been created.

For further information, see:

Posting Acquisition Tax

Prerequisites for Posting Acquisition Tax

Regrouping the GR/IR Clearing Account