Journal Reversal not working for the Replicated Journals from Primary Ledger into Secondary Ledger

Summary:

We identified an issue involving a journal that was entered in a primary ledger and then replicated into a secondary ledger (different COA from Primary Ledger). While the journal was correctly reversed in the primary ledger, the corresponding reversal was not generated in the secondary ledger.

Further review indicates that the issue arose due to the timing of events. Specifically, the reversal in the primary ledger was completed before the related journal was replicated into the secondary ledger. Although the reversal date occurred earlier than the journal’s creation date, it still fell within a valid accounting period.

Because the system’s reversal logic relies solely on the accounting date—and not on when the journal was created—the secondary ledger did not recognize the reversal as eligible when the journal was eventually replicated. As a result, no corresponding reversal entry was created in the secondary ledger.