Accounting for surcharges

When the surcharge debit memo is created and posted at the time of payment request, the following accounting entries will be created:

Event	Debits/Credits	Debit	Credit
Invoicing	Accounts Receivable	1000
	Deferred Revenue		1000
Taxation Item	Accounts Receivable	100
	Sales tax payable		100
Payment
Debit memo posting - Surcharge	Accounts Receivable	33
	Cr Surcharge Revenue A/C		33

	Accounts Receivable	0.99
	Sales tax payable		0.99

Payment receipt	Cash	1133.99
	Accounts Receivable		1133.99

In a revenue recognition system, the accounting treatment for surcharges is as follows:

If the accounting treatment of surcharges is configured as revenue (the revenue accounting code is selected while configuring surcharges), then revenue schedules are generated against surcharges.
Revenue is distributed in the accounting period in which the payment originates.
For any advanced revenue recognition, such as straight-lining over a period, it is recommended that you associate a specific rule with the Surcharge Configuration from the Manage Revenue Recognition Rules setting.
Any advanced recognition strategy may need a Workflow and Mass Update. For more information, see Key Considerations.

Zuora Revenue integration is not supported.