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How to use "Account" field in "Bank Account" Form


#1

in the “Bank Account” Foirm there is a field Labelled “Account” and I am wondering what the correct usage of this is. In my example I want to setup bank account information of a Supplier

So, in the “Account” field you can select an existing account from the Chart of Accounts and I am wondering whether the intention of this is to either

  1. create an account for a specific supplier in the CoA, or
  2. connect the Suppliers Bank account with a related epxense Account from the CoA, or
  3. put the corresponding payment account (i.e. your companies bank account used by default to pay that particular supplier from)

I can’t find any information on this in the manual, so hopefully someone here can advise on this


#2

Yes it’s a COA asset account of type bank.

It’s a company bank account where it can be used for any purpose related to a bank transaction.

at supplier doctype you can check this field “Default Bank Account” where you can select created bank account as default.

IMO your 3rd option is possible but not limited to.


#3

thx, sorry not 100% clear what u mean though.

do you refer to my option #2 here?

i.e. I’d pay a certain supplier typically from my companie’s PayPal (Asset of type “bank”) I’d choose the PayPal form my CoA in that field?

I have noted you can not select an account of type ‘Cash’ in there. I wonder why though (only of cash payments where illegal which I don’t believe they are (even though I guess we are moving in that direction generally)


#4

bank account and cash account are two different things in accountant.


#5

thnks

my actual question re your comment above though was


#6

Hi @vrms, were you able to figure this out? pls share the solution you have adopted. We have the exact same requirement, i.e…, to store supplier’s bank account. It makes sense to use the “Bank Account” document as a Supplier will have multiple bank accounts, rather than add a bunch of custom fields at supplier level.


#7

As far as I have gotten in the understanding this field in question is an account from your Chart for Accounts which is of the Type “Bank”.

So practically this would be the bank account you typically use to transfer money to a supplier, or receive funds from a customer.

Limitation here is: you can not put any other account (like a ‘cash’ account) here. I am not sure whether this has any real implication in an accounting transaction, so I do not know whether there is any actual benefit from

  • existence of that field
  • limitation to putting a CoA account of Type “bank”

I have one concrete case where this limitation does not allow me to use the “bank account” doctype (because the account the company uses to pay is actually cashing in cash into a bank account).


#8

ok got it, so we need to figure out whether we should create a new bank account doc type or custom fields so that we can associate one or more of it to a supplier.

@frappe any plans of introducing this soon? pls recommend on the way ahead for this requirement.


#9

There was a recent discussion on the matter of allowing other CoA accounts then of type “bank” in the Accounting developers telegram group (and most feedback was like “should be ok, to be more tolerant (especially as this is not an accounting entry really)”.

So if we push this a little more there may be a chance to get this (tolerance of account type) into v12.


#10

Oh, yea … and we need someone to write the code (seems not too many ppl having really an issue with the status quo, so not much motivation to do the work) or gather funds to pay someone to do this. I (with very, very, limited understanding of code) believe this may not be a huge amount of code actually.