Intercompany Accounts for Cross-Subsidiary Purchases and Sales
In NetSuite OneWorld, you may find that non-inventory items and finished products must be routinely shipped between various countries and subsidiaries. You can use intercompany accounts to record and post intercompany purchase and sale transactions across subsidiaries. Intercompany accounts lets you distinctly track from other existing profit and loss accounts. Financial consolidations can automatically eliminate these intercompany accounts, which allows the values to cancel each other at related nodes.
Non-inventory items must be a Resale item type, and also have the Can Be Fulfilled/Received setting enabled for intercompany transactions.
Users with the Setup Accounting permission can set intercompany preferences at Setup > Accounting > Preferences > Intercompany Preferences. These preferences should be defined after an administrator enables the Automated Intercompany Management feature. For information about these preferences, see Intercompany Preferences.
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Expense Account
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Income Account
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Receivables Account
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COGS Account
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Deferred Revenue Account
An intercompany account is an account with the Eliminate Intercompany Transactions box checked. For more information, see Intercompany Accounts.
If any of these intercompany account values are blank, NetSuite uses the Use Default Account option for items.
NetSuite uses these accounts for all intercompany transactions. You can make new account selections at any time, but NetSuite does not change the accounts of historical transactions.