Reverse journal posting in Microsoft Dynamics 365 Finance

January 6 2020

Have you ever run into issues where you have posted the General journal and then it needs to be reversed, only to realize that the transactions must be reversed one by one? An alternate solution is to export the entire journal, change credits to debits, debits to credits, and then upload the journal.

Ever posted a customer payment journal or Vendor invoice journal and then realized it needs to be reversed? The solution so far was to find and reverse every transaction one by one manually from the transaction form on customer master.

If you have struggled with reversals and spend a lot of time trying to perform reversals, the Platform update 31 for Microsoft Dynamics 365 Finance, version 10.0.7 has good news for you. A new feature has been released, “Reverse journal posting”, that lets you reverse an entire posted journal or reverse one or more vouchers from the voucher transaction list regardless of their origin. Please note - transactions can be reversed only if they meet the business rules for reversing them. Vendor payments cannot be reversed using the capability described in this topic as it is much more complicated due to payment being generated from the system.

In this article, we will review how to turn on the feature and how to leverage it to speed up reversals. Avoid mistakes in original journal postings so you don’t have to use this feature very often.

The feature is named “Mass reversals for multiple documents” and it can be enabled from the ‘Feature Management’ workspace. For more details on how to enable a feature, refer to this article. Microsoft documentation uses the name “Reverse journal posting” for the same feature. Why it’s different between documentation and application, we don’t know that yet.

Once the feature is enabled, you should be able to use it. Let’s see how this works in action from different perspectives.

Reverse entire Vendor Invoice journal

To reverse all the vendor invoices that were posted from a vendor invoice journal, navigate to Accounts Payables > Invoices > Invoice Journal.

Retrieve the posted invoice journal. Do know that option to reverse the journal is not present on header but on the lines. On lines form, a new button ‘Reverse entire journal’ is now visible.

When clicking on Reverse entire journal, the user is presented with option below. Either use the same date or specify the date when reversal should occur and enter the optional reason comment as well.

Click Ok and the reversal process would be executed immediately. Once reversal is completed successfully, the results are displayed to the user performing the reversal. See the screenshot below.

Reverse customer payments from Voucher transactions

We have posted a few payments for the customer US-001 and the invoices/voucher now needs to be reversed. The payments were posted as part of multiple journals and includes a few other customers as well. In that case, one option is to reverse the transaction one by one from the customer transaction screen. However, voucher transactions form can also be used. Because the general ledger transaction doesn’t include the invoice number, retrieve the individual voucher numbers that were posted based on the customer transactions.

Navigate to General ledger > Inquiries and reports > voucher transactions. Use one of the standard filter options to filter the vouchers. Select the vouchers that needs to be reversed.

Click on ‘Reverse transactions’ button. Notice the message that details how many vouchers and lines will be reversed.

After a successful transaction reversal, the user is presented with a detailed message.

The screenshot below details how the GL transactions will look like after reversal is successfully reversed.

Please know that the same approach can be used to reverse the general entries that get posted via General Journals.

Reversing Entire Customer Payment Journal with more than 100 lines

If a user tries to reverse a journal that contains more than 100 lines, the user is presented with the message “A batch process will be used due to the number of lines being reversed”.

Click on reverse button and a standard batch job dialog box is presented to user.

Click ok and Batch job is now scheduled, and user is presented with message below.

To track the progress of reversal, go to System Administration > Inquiries > Batch job. See the screenshot below from the Batch job inquiry form.

The batch job for reversing the customer payment journal completed successfully. In our case the batch job had errors and the entire journal was not reversed. So, it’s important to look at the batch job history and determine if the payment was successfully reversed.

Based on what we have observed so far, these larger reversals for customer transactions still needs more work before it can be used successfully by customer.

FREE Membership Required to View Full Content:

Become a MemberLogin
Joining gives you free, unlimited access to news, analysis, white papers, case studies, product brochures, and more, and it’s all FREE. You’ll also have the option to receive periodic email newsletters with the latest relevant articles and content updates. Learn more about us here
About Satish Panwar

Satish works as a Senior Architect at Hitachi Solutions America and has more than 14 years of experience implementing different versions of Microsoft Dynamics AX. He holds numerous certifications and hold bachelor’s degree in Information technology.

More about Satish Panwar