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What are Advanced Rounding Rules?

Article ID: 3094
Last updated: 13 Aug, 2020

Rounding will take place where the Trial Balance is rounded to pounds and the Debit and Credit rounded totals do not agree.

As standard, any rounding difference will be allocated to the account code specified under Rounding Differences at the bottom of the Posting screen (default rounding account is 3390).

See KB3097 - Why am I getting a rounding difference? for more details on standard rounding.

When producing accounts for more complex clients there may be a need to set rounding differences to more than one account code.

This is where Advanced Rounding Rules can be applied.

To apply advanced rounding rules, within Accounts Production:

  1. Go to Posting
  2. Under Rounding Differences select Apply advanced rounding rules.

When selected, rounding differences will be treated separately for the following:

General Rounding:
A separate rounding account is provided for BOTH Profit and Loss Account and Balance Sheet rounding differences. 

See KB3098 - Advanced Rounding Rules - General Rounding for more details.

Fixed Assets:
A check will be made on the un-rounded and rounded totals of cost and separately of depreciation/amortisation of each Fixed Assets. 

Where a difference occurs, the rounding amount will be allocated to an account code within the same asset.

See KB3099 - Advanced Rounding Rules - Fixed Assets for more details.

Directors Loan Account (Limited Companies):
A check will be made on the un-rounded and rounded totals of each Director within each DLA account code. 

Where a difference occurs the rounding amount will be allocated to a Director within the same account code.

See KB3100 - Advanced Rounding Rules - Directors Loan Account for more details.

Please Note: Advanced rounding rules will need to be applied within each appropriate accounting period

Article ID: 3094
Last updated: 13 Aug, 2020
Revision: 3
Views: 3906
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