Reconciling Percentage Rent

The function of the Percentage Rent Reconciliation process is to reconcile the Percentage Rent Charge amount already raised to the amount that should be raised when the Audited Sales are known at the end of the period. The difference is then raised as an Invoice / Cash Sale or Credit Note / Cash Credit transaction.
As part of the process a trial report can be generated to review what reconciled transaction amounts are going to be raised.

Processors

Percentage Rent Reconciliation

Mandatory Prerequisites

Prior to running the Percentage Rent Reconciliation Process, refer to the following Topics:

Accounting Periods (flagged as Current and Open for the Division) - Maintaining Accounting Periods

Percentage Rent Reconciliation Chart of Account - Maintaining Chart of Accounts

Percentage Rent Profile - Adjusting Percentage Rent Profiles for Lease Charges
Project - Maintaining Projects

Screenshot and Field Descriptions

Selection

Division: this is the division to run the Percentage Rent Reconciliation process for. It will default to the division that the user is logged onto.

Date: this is the date to reconcile the percentage rent up to.

Lease Type: this is a selection filter value for the type of Lease (Tenant / Landlord).

Property: this is a drop down list of the Property / Lease entities that the selection can be filtered on. Select a value from the drop down list and the appropriate filter field will be displayed.

Include Leases of Children Properties: this is a selection filter value to include leases attached to children properties of the Property being used as a filter. If a Building is being filtered on it works as follows:

If checked, leases for the Sections, Suites and Annexes attached to the Building will be shown.

If not checked, only leases directly attached to the Building level will be shown.

Process

Transaction (Date / Year / Period): this is the Date and Accounting Period values that the reconciliation transactions will be assigned when created.

Due Date: this is the Due Date for the reconciliation transactions created. It is used for credit control and ageing analysis in reports such as the Aged Trial Balance.

Cash Book: this is the Bank account if the reconciliation transactions raised are going to be a Cash Sales / Cash Credit type transaction. Leave blank if a Invoice / Credit Note type transaction is to be raised.

COA: this is the Chart of Account for the reconciliation transactions raised.

Details: this is the description for the reconciliation transactions. It will default to the value set up for the COA.

GST: this is the GST Type for the reconciliation transactions. It will default to the type set up for the COA.

Inclusive: this check box determines if the reconciliation Amount includes GST. If this field is ticked, when the GST is calculated, the Amount will be reduced by the GST and the tick will disappear to reflect that the line no longer includes GST. If this check box is not ticked, the reconciliation Amount will not be reduced and the GST will be calculated normally.

GST From: this is a historical field and current use is now irrelevant. It was used during the implementation of GST to allow contractual date based transactions to escape full GST. There may be old transactions on the system to which the rule applied.

Cost Code: this is the cost centre that the reconciliation amounts relate to. This field can be set as optional, mandatory or not required on the COA set up screen.

Reconciliation table: this is populated with the Percentage Rent Charges to be reconciled when the Application tool-bar push button: Select is clicked.

How Do I : Run the Percentage Rent Reconciliation process

If a Percentage Rent Reconciliation report is already held in the system (from a previous run) the Application tool-bar push button: X Report will appear. Click the button to reset the pending report so a new reconciliation process can be run.

Change the default value in the Division field if required.
In the Date field enter the date to reconcile up to.
Enter values in the selection filter value fields eg. Lease Type, Property, etc. as required. Leave blank to select all Leases.
Click the Application tool-bar push button: Select to populate the Reconciliation table.
If required, filter the Reconciliation table for specific lines to process. Refer to How Do I : Create a Filter on a Grid to see how to do this.
The Transaction (Date / Year / Period) values will default to the current Accounting Period. Change these values if the transactions need to be created in a different accounting period.
The Due Date will default to today's date. Change if required.
At the Cash Book field, select a Bank Account if the reconciliation transactions generated need to be a Cash Sales / Cash Credit type. Leave blank to create a Invoice / Credit Note type.
At the COA field, enter the COA for the reconciliation transactions.
The Details field will automatically populate from the COA selected. Change the value if required.
The GST field will automatically populate from the COA selected. Change the value if required.
Tick the Inclusive check box if the reconciliation amounts will include GST. Otherwise the GST component will be calculated and added separately.
The GST From date will default to the value set up for GST.
At the Cost Code field, enter the Cost Code for the reconciliation transactions if required.
Click the Application tool-bar push button: Trial to generate a Trial report for analysis and review.
Click the Application tool-bar push button: Reports and select Percentage Rent Reconciliation to open the saved Trial Percentage Rent Reconciliation report.
If something needs to be changed discard the report by clicking the Application tool-bar push button: X Report, then repeat the Select and Trial stage after the changes have been made.
If nothing needs to be changed, click the Application tool-bar push button: Final to finalise and create the reconciliation transactions. Additionally, if the COA of the Percentage Rent Charge is referenced by a current unprocessed Averaging type Lease Review then the Start and Stop Dates for the Averaging period will be calculated and applied.
Click the Application tool-bar push button: Reports and select Percentage Rent Reconciliation to open the saved Final Percentage Rent Reconciliation report.

The Percentage Rent Reconciliation report is only temporary. It will be overwritten when the next reconciliation process is run.