Reversing Finalized Transactions

When you reverse a transaction, eTapestry creates a separate transaction that cancels out any amounts listed on the original transaction. Only transactions marked "Final" in the transaction record can be reversed.

Some organizations finalize and reverse transactions to keep clear audit trails of transaction entries.

Other organizations who export financial data from eTapestry for use in other accounting systems can choose to finalize all transactions that they have already exported and uploaded into their accounting system. Then, they use reversals to cancel out any transactions that they later want to remove from both systems. The next time they run their accounting export, the reversing transactions can be exported and uploaded into their accounting system. This prevents their accounting system from becoming out of sync with the eTapestry data, which could occur if users were editing or deleting eTapestry transactions and not remembering to edit or delete those transactions in the accounting system as well.

Users with full administrative rights can Reverse finalized transactions. At the bottom of a finalized transaction screen, a Reverse button appears below the Save options, along with a note box. Enter notes regarding why the transaction is being reversed in the Note Box, then click the Reverse button to reverse the transaction.

This creates a Reversing transaction on the account's journal.

The reversing transaction will show the same amounts as the original transaction but listed in parentheses, indicating that they are negative amounts (if the reversed item was a disbursement, then the reversing transaction will show positive amounts to cancel out the disbursement's negative amounts). If you open the reversing transaction, you'll see the reversal notes listed in the Note field and a link to take you to the Offsetting Transaction (i.e. the original transaction).

Tip: When you use EFT to process direct debits with the BBMS processor, eTapestry automatically generates a reversal for transactions that do not process successfully within seven days.