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June 10, 2026 | Question of the Week
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How to add service cost?

edited Jun 2, 2025 2:35PM in Accounting / ERP 3 comments

Hi,

We have a customer who has multiple subsidiaries across the continent. They want to avoid taxes in one of their entity that is in Europe. So we created a "clone" location, mimicing that subsidiary's and keeping the cloned location in US entity so that the costs are shown in US books. I understand that this may sound like a convoluted process, but here we are.

One of the processes that they do is they physically send the sub-assembly item to this EU location, where the EU entity bills US for services, say 7% of the total cost of the item. NetSuite does not have intercompany Work Order nor does it support intercompany Outsourcing, we were thinking of Outsource Manufacturing solution.

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