Accounting settings

Accounting settings is the tenant's mapping between business events and accounts in the Chart of accounts. When you bill a sale, record a collection, or close the fiscal year, Mosce ERP reads this mapping to know which account to debit and which to credit. Without a complete mapping, the automations return ACCOUNTING_MAPPING_MISSING and the system stops you before it generates inconsistent journal entries.

Reading time: ~6 min

When to use this

• You just activated Accounting and want to review the mappings auto-assigned by the seed.
• You changed your main bank account and need to repoint the Cash account (transfer).
• Your accountant asked to use a different account for ITBIS payable.
• You are about to enable billing with credit notes and need to map the credit notes payable account.

Before you start

• The Accounting module is active. If not, turn it on from Settings → Modules; the screen shows a banner inviting you to activate it.
• The Chart of accounts has already been seeded.
• Your role includes the accounting:settings permission.

How the model works

AccountingSettings is a per-tenant singleton - there is a single row per business. The seed creates it together with the chart of accounts and preloads the links to the standard accounts (cash, bank, ITBIS, sales, etc.) using the codes from the Dominican catalog. From the UI you edit each slot and save the change.

Each slot is optional at the database level, but the automations fail if the account they need is empty: the system prefers to stop rather than post against an incorrect account.

Screen sections

The Accounting → Accounting settings screen groups the mappings by topic:

Cash by payment method

• Cash account (cash) → debit when collecting in cash.
• Cash account (card) → debit when collecting by card.
• Cash account (transfer) → debit when receiving a transfer.
• Cash account (check) → debit when receiving a check.

Every bank account you create in Banking → Bank accounts automatically generates its own linked accounting account. Assign it to the corresponding payment method.

The method you collect with is what decides where the money lands. The payment term does not decide it: a cash-term sale collected by card debits the card account, not the cash one. Previously every cash-term sale was assumed to have been paid in cash, and the register showed cash that was actually in the bank. See Payments and payment methods.

Point-of-sale sales are now booked. They used to generate no entry at all, so a business with accounting active had its counter income outside the books. Today every register sale produces its sales entry with the real collection method. Note that with no open accounting period the register cannot collect: this is intentional, because money cannot move in the books with no open period. See Fiscal periods.

Accounts receivable / payable

• Accounts receivable (AR): debit when billing on credit; credit when collecting.
• Accounts payable (AP): credit when receiving a supplier invoice; debit when paying it.

Sales and ITBIS

• Sales: credit when billing.
• ITBIS payable: credit when billing - records the tax the business owes to the DGII.
• ISC Payable: credit when billing, only if the sale carries Selective Consumption Tax (ISC) - for example alcoholic beverages or cigarettes.
• Other Taxes Payable: credit when billing, only if the sale carries another line-level tax besides ITBIS and ISC - for example the legal tip or the Telecommunications Development Contribution (CDT).

These last two mappings are only required when you actually bill a sale carrying that tax: if your business never sells products with ISC or other line-level taxes, you can leave them with the account the seed set up and you will never see ACCOUNTING_MAPPING_MISSING because of them.

To understand how Mosce ERP calculates ITBIS, ISC, and the other taxes on each voucher (rates, exemptions, withholdings), see ITBIS and other taxes.

Withholdings on purchases

When your business acts as a withholding agent and withholds ITBIS or ISR on a purchase, the amount withheld is a debt owed to the DGII. Mosce ERP records it in two liability accounts:

• ITBIS Withheld from Third Parties: credited for the ITBIS you withheld from the supplier.
• ISR Withheld from Third Parties: credited for the ISR you withheld from the supplier.

Both are settled when you remit the withheld amount to the DGII. When and how much is withheld is explained in ITBIS and ISR withholding on purchases.

Timing of ISR withholding

This option controls when the ISR withholding liability is recognized:

• At invoice / receipt: the ISR liability is recognized when you record the purchase.
• At payment (default value): the ISR liability is recognized when you actually pay the supplier.

ITBIS withholding is always recognized at receipt / invoice of the purchase - that is not configurable. The timing option applies only to ISR withholding.

Inventory and COGS

• Inventory: debit when receiving purchases and credit when selling.
• Cost of goods sold (COGS): debit when selling, for the cost.
• Purchases: intermediate account for flows where the operation distinguishes inventory from purchases.

Inventory adjustments

When you confirm an inventory adjustment (for example, after a physical count), the system records the difference valued at cost against these two accounts:

• Inventory adjustment loss: debited when the adjustment lowers stock (there was less in reality than in the system). The shortage leaves inventory.
• Inventory adjustment gain: credited when the adjustment raises stock (there was more in reality than in the system). The surplus enters inventory.

If these accounts are unmapped, the adjustment warns you on confirmation and does not close its journal entry until you complete them. See Batch inventory adjustments.

Returns and credit notes

• Sales returns: debit when processing a refund.
• Credit notes payable: liability that is debited when a credit note settles an invoice.

Equity

• Retained earnings: destination of the net result at the annual closing.

Exchange difference

• Exchange gain and exchange loss: absorb FX differences in multi-currency operations (coming soon).

Fixed assets and distributions

• Gain on disposal and loss on disposal: used when writing off a fixed asset above or below its book value.
• Distributions to owners: contra-equity account debited when paying dividends or withdrawals.

Step by step

1. Go to Accounting → Accounting settings.
2. For each slot, open the selector and choose the account from the Chart of accounts. The selector searches by code or name and filters active accounts.
3. If you want to leave a slot unassigned, select No mapping - be aware that any flow depending on that slot will fail until you complete it.
4. Press Save changes. Mosce ERP updates the singleton and returns a Settings updated toast.

How the mapping is used

• Bill a sale (ORDER_BILLED): debit to Accounts receivable; credit to Sales and ITBIS payable - and, if the sale carries it, also to ISC Payable and/or Other Taxes Payable.
• Collect a sale (ORDER_PAID): debit to the Cash account of the method; credit to Accounts receivable.
• Receive a supplier invoice (PURCHASE_RECEIVED): debit to Inventory or to the expense account; credit to Accounts payable.
• Refund (REFUND): debit to Sales returns - and, symmetrically, to ISC Payable and/or Other Taxes Payable if the original sale carried them -; credit to the Cash account.
• Annual closing (YEAR_END_CLOSE): zeroes out Income and Expenses against Retained earnings.
• Fixed asset disposal: uses Gain / loss on disposal as applicable.

Each of these journal entries carries a distinct source and stays linked to its originating entity for auditing.

Duplicate-expense alert window

In Settings you configure how many days the possible-duplicate alert looks around an expense's date. It accepts 1 to 28 days, and ships at 15.

The 28-day ceiling is not arbitrary. The window has to stay below the monthly cycle. Recurring charges at a stable amount - rent, internet, payroll - look exactly like last month's, so a window of 30 days or more would match them every single month. The alert would always fire, would stop meaning anything, and would end up switched off.

Zero is not allowed either, because that would disable the detector through the back door rather than through a decision somebody actually made.

This only affects the weaker criterion, the same-amount one used when there is no reference. When the expense carries the supplier's reference, that is what governs. See Expenses.

Expected result

• Invoices, collections, purchases, and closings generate complete journal entries without manual intervention.
• When you change a mapping, future journal entries use the new account - past ones are not rewritten.
• Mosce ERP blocks the deactivation of any Chart account that is being used as an active mapping (ACCOUNT_IN_USE_BY_MAPPING).

Common errors

Related

• Chart of accounts
• Journal entries
• Fiscal periods
• Bank accounts
• ITBIS and other taxes - ITBIS and ISR withholding on purchases.
• Purchases - withholding preview on receipt.