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Hello.

 

Our fiscal year 2022 starts in October 2021. At the end of December, there will be a change of owners / acquisition so we would like to do a year close to clear the income statement (Period 1 to Period 3  FY2022) to retained earnings. At the start of January 2022 (Period 4 FY2022), we will manually upload balances under this new ownership. Then at at then of September 2022 (Period 12 FY2022), will do a year close to clear the income statement to retained.

 

So essentially, we would like to do close to mark the ownership change/acquisition then a another close to end the year. As such, we will have two year closings (ie. two year closing periods in FY2022).  Is this possible?

 

I would appreciate any thoughts on this or other alternatives. Thank you.

Hi, 

You can essentially do this, but not via the formalized year end process. You can’t have multiple 00 type periods per year.  

Hopefully you don’t have any “future” postings - such that October has no data.    If that’s the case, then you can edit the accounting periods such that if needed you could create a new period for 1 day and do your adjustments in that new period.  Else If October has data you will need some other way  to segregate those adjusting entries.  

One of my clients used a Financial project / multiple financial projects to designate all flavors of audit adjustments rather than entering the data into a separate period.  You could do similar and crate one or more financial projects (or other) to capture these adjusting entries.  Then for reporting you could include /  exclude the project(s) depending on “how” you view the account balances.  

 

Best regards, 

Thomas

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