YEAR-END PROCEDURES - 8296

Agencies/departments are responsible for ensuring Accounts Receivable (AR) balances are accurate by assessing the amounts owed to the agency/department. Agencies/departments must record accrual entries for amounts owed to the agency/department as of June 30, but not yet received. See SAM sections 10602, Accounts Receivable Abatements and Reimbursements are Accrued and 10610, Revenue is Accrued.

Deferred Receivables

As of June 30, agencies/departments must review their receivables and determine the amount that is not expected to be collected in the next fiscal year and defer those amounts in the accounting system.

To record deferred receivables at year-end, agencies/departments will record two entries:

1. An entry to reverse the original AR for the portion not expected to be collected in the next fiscal year and
2. An entry to record an AR with the offset to Account 1290000-Provision for Deferred Receivables (Legacy Account 1600).