Setup step on the Ledger posting groups page · Tax

Set up Ledger posting groups

Used to set the payable, receivable, use tax and settlement accounts for the sales tax codes the group is attached to.

Used by: Accounts payable manager, Accounts receivable manager, Accountant and 5 more roles
Business process: Develop tax strategy
Menu item: TaxAccountGroup
Main table: TaxLedgerAccountGroup
Data entity: TaxPostingGroupEntityV2
Setup steps: 1 on this page

Show what matters for

Everyone

1What it is and why

What it is	A setup page for ledger posting groups, which control the main accounts that sales tax is posted to automatically.
What you do here	Used to set the payable, receivable, use tax and settlement accounts for the sales tax codes the group is attached to.
Example	For example, a company can use one ledger posting group for all its sales tax codes, or set up a separate group for each sales tax code.

Ledger posting groups page in Dynamics 365 — The page in a working Dynamics 365 system. page title tab to open what to set or check

Functional consultant · Solution architect

2Where it fits

Business process	Define accounting policies › Develop tax strategy
Menu path	Tax › Setup › Sales tax › Ledger posting groups
Set up first	Main accounts Microsoft Learn ↗
Used next by	Sales tax codes Microsoft Learn ↗
Related pages	—
In this process	Set up Sales tax exempt codes →

End user · Functional consultant

3How to do it

Step by step, with screenshots

Set up Ledger posting groups1 screen

Used to set the payable, receivable, use tax and settlement accounts for the sales tax codes the group is attached to.

Screen 1
Create the ledger posting group
Go to Tax > Setup > Sales tax > Ledger posting groups
1. Select New, and enter the Ledger posting group and Description
2. Select the Sales tax payable and Sales tax receivable accounts
3. Select the Settlement account
4. Select Save
1Ledger posting group BEAT-ST
2Sales tax payable 230100
3Sales tax receivable 230100
4Settlement account 230100
Show the full screen
page title tab to open what to set or check

1Ledger posting group	BEAT-ST
2Sales tax payable	230100
3Sales tax receivable	230100
4Settlement account	230100

Microsoft's steps

Go to Tax > Setup > Sales tax > Ledger posting groups.
Select New.
In the Ledger posting group field, enter a value, and in the Description field, enter a description.
In the Sales tax payable field, select the account for tax payable to the authority.
In the Sales tax receivable field, select the account for tax paid to vendors.
In the Use tax expense and Use tax payable fields, select the use tax accounts, if used.
In the Settlement account field, select the account where the net tax balance is posted at settlement.
Optionally, select the Vendor cash discount and Customer cash discount accounts.
Select Save.

Source: Microsoft Learn ↗

Field guide

Field	What it means	Worked example	Table column
Sales tax payable	The account for outgoing sales tax that is payable to the tax authority.Microsoft Learn ↗	230100	`TaxOutgoingLedgerDimension`
Sales tax receivable	The account for sales tax paid to vendors; not available when Apply sales tax taxation rules is on.Microsoft Learn ↗	230100	`TaxIncomingLedgerDimension`
Use tax expense	The account for deductible use taxes that vendors don't claim, such as EU reverse charge.Microsoft Learn ↗	—	`TaxUseTaxLedgerDimension`
Use tax payable	The account for use taxes that are payable to tax authorities.Microsoft Learn ↗	—	`TaxOffsetUseTaxLedgerDimension`
Settlement account	The account where the net tax balance is posted at settlement, unless the authority is linked to a vendor.Microsoft Learn ↗	230100	`TaxReportLedgerDimension`
Vendor cash discount	Optional account for cash discount on these sales tax codes; if blank, the account on Cash discount codes is used.Microsoft Learn ↗	—	`CashDiscountIncomingLedgerDimension`
Ledger posting group	—	BEAT-ST	—

Functional consultant

4Setup decisions

Setup step	Recommended value and why	Decision · common mistake · test
Set up Ledger posting groups	—	—

Solution architect

5Design impact

Shared or per company	Per company: each legal entity has its own records. Microsoft data model ↗
Can it be undone	—
Feature or country	—
If you change it later	Changing the accounts in a ledger posting group affects only transactions that haven't been posted yet. Microsoft Learn ↗

Technical architect

6Technical

Menu item	`TaxAccountGroup` Checked in Dynamics 365
Form	`TaxAccountGroup` Checked in Dynamics 365
Table	`TaxLedgerAccountGroup`Shown as “Ledger posting groups” in Record infoKey field: TaxAccountGroupChecked in Dynamics 365
Data entities	`TaxPostingGroupEntityV2`Sales tax ledger posting groups V2 Microsoft data model ↗
Who can open it	PrivilegesMaintain sales tax ledger posting groups `TaxAccountGroupMaintain`View sales tax ledger posting groups `TaxAccountGroupView`DutiesRental Inquire into sales tax process reference data `RentalTaxSalesTaxProcessReferenceDataInquire`Enable sales taxes process `TaxSalesTaxesProcessEnable`Inquire into sales tax process reference data `TaxSalesTaxProcessReferenceDataInquire` 8 security roles Accounts receivable manager `CustInvoiceAccountsReceivableManager`Accountant `LedgerAccountant`Accounting manager `LedgerAccountingManager`Accounting supervisor `LedgerAccountingSupervisor`Financial controller `LedgerFinancialController`Rental manager `RentalManager`Rental purchasing manager `RentalPurchasingManager`Accounts payable manager `VendInvoiceAccountsPayableManager` Checked in Dynamics 365
Actions on the page	Options: Personalize, Page options, ShareChecked in Dynamics 365

Developer

7Developer

Open it directly	`https://<your-environment>/?mi=TaxAccountGroup`
Integrate with	`TaxPostingGroupEntityV2` data entity Microsoft data model ↗
Table definition	`TaxLedgerAccountGroup` columns and relations Microsoft data model ↗