Prerequisites
Before you complete the tasks in this section, you must:
Set both the Account Receivable and Account Payable Offset Method constants to S, (Single Offset per pay item) to specify that the system populates the pay item on AR and AP trade account G/L entries.
Set up the Balance GL Distribution by Pay Item and Tax constant for the company.
If you use tax adjustments, set up tax rules (Tax on Gross Including Discount and Discount on Gross Including Tax) for AR and AP in the Tax Rules program (P0028).
Set the Update Tax File processing option in the version of the General Ledger Post program (R09801) to update taxes in the Taxes table (F0018).
See Understanding the General Ledger Post Program and Updating Tax Information