Table of Contents
Reconciliation is mostly the communication established between accounting units in order to mutually confirm the debit and credit relations of the companies with which there is a business agreement. It is a very important concept in terms of account control in accounting and is frequently used.
According to the Turkish Commercial Code, companies have an obligation to make a reconciliation at certain periods. In order to fulfill this obligation, companies must make a reconciliation at certain periods. If there is no legal requirement or agreement between the parties regarding the accounting periods, the last day of each year is deemed to be the day when the account will be closed by the parties.
At the end of the period determined by the parties, mutual debit-credit information is shared. If both companies confirm the accuracy of the information sent, the reconciliation report is confirmed with a wet signature and sent to the other party. Thus, reconciliation is achieved.
In cases where a consensus cannot be reached, inconsistencies or errors in the information sent are shared with their reasons. Disputes are resolved by correcting deficiencies and mistakes.
There is an important nuance here; If the parties do not object within one month from the date of receipt of the information, by registered letter, through a notary public or with a letter containing a secure electronic signature, they are deemed to have accepted the balance.
At the end of the year, firms that work together exchange debit credit information about current statements. This process includes correspondences and document sharing between them.
BA/BS reconciliation is the form that indicates received (BA) and sent (BS) invoices greater than 5.000 Turkish Liras (excluding value-added tax) in a month. These forms must be prepared and delivered to Tax Office.
With the development of e-Transformation solutions, many corporate transactions have been made easier by being transferred to the digital environment. One of the methods that significantly facilitates the work of the accounting department is e-Reconciliation. The Reconciliation application, in which the debit-credit relationship between the two companies and the current accounts are controlled, turns into a long and troublesome process for the accounting department when it is carried out with the old methods.
Businesses can easily send an e-mail, SMS or fax via the e-Reconciliation system instead of using telephone, mail or fax in their BA/BS and Current Balance reconciliations.
e-Reconciliation is a system that provides a secure, cheap, rapid, and easy reconciliation period in an electronic environment. How?
In the sight of such opportunities, e-Reconciliation is a legal system with super-simplicity.
Financial Solutions Manager
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