# PO matching in Business Central for wholesalers Business Central has PO matching built in. One purchase order often turns into several deliveries and several invoices. A wholesaler cannot match each bill to the full order without double counting what has already arrived. ## Why it matters for wholesalers - Freight and handling arrive as extra lines on the purchase invoice. They do not sit on the purchase order, so a strict match fails even when the stock is correct. - Short and damaged deliveries mean the invoice quantity can be higher than what the warehouse booked in. ## For wholesalers in Business Central - Set up item charge numbers first. Each one carries the G/L accounts for freight, customs duty or insurance. Then add a line with Type set to Charge (Item) and choose Item Charge Assignment, then Suggest Item Charge Assignment to spread the cost over the received items. - If the freight invoice arrives after the goods, put it on its own purchase invoice. Use Get Receipt Lines on the Item Charge Assignment page to link it to the posted receipt. - Microsoft's example: 100 units at $10.00 with $200 freight and $100 duty gives a landed cost of $13.00 a unit. That cost flows into cost of goods sold when you sell the stock. - If the supplier invoice arrives before the goods, use Get Order Lines on the Purchase Invoices page. Use Get Receipt Lines when one invoice covers several receipts. - A combined invoice cannot be changed or cancelled after posting. Fix mistakes with a purchase credit memo. ## What Business Central does on its own Get Receipt Lines and Get Order Lines and draft matching to orders and receipts. Combined receipts must be from the same vendor and currency. What you need and the setup steps: https://www.pulsify.tech/po-matching-for-business-central/ ## Example Example Packaging Co sends invoice 4471 for a purchase order of 2,000 cartons. The warehouse booked in 1,200 on Monday and 600 on Thursday. The last 200 are on back order. - Cartons, 2,000 ordered, invoiced at 1,800: $5,400.00 (Warehouse received 1,800, so quantity agrees) - Freight and fuel levy: $260.00 (Not on the order, so it needs a freight code) - Cartons 200 back order, invoiced early: $600.00 (Not received, so this line fails the match) In Business Central the 1,800 cartons match the two receipts and pass. The back order line and freight line are held for review, so the wholesaler does not pay for stock still on the road. ## Common mistakes - Matching to the order total instead of the quantity booked in, which pays for back orders. - Rejecting a bill because the freight line is not on the order, instead of coding it as a landed cost. ## Step-by-step guides for Business Central - How to match a purchase invoice to a purchase order in Business Central: https://www.pulsify.tech/how-to/match-a-bill-to-a-purchase-order-in-business-central/ - How to handle a partial delivery against a purchase order in Business Central: https://www.pulsify.tech/how-to/handle-a-partial-delivery-against-a-po-in-business-central/ ## What Pulsify adds Pulsify matches each bill line to a purchase order line and flags extra quantity, a different price or lines not on the purchase order. Pulsify connects to Business Central. We set up the connection for you. More: https://www.pulsify.tech/po-matching/ ## Common questions ### How do I add freight and duty to a wholesale purchase in Business Central? Use item charges. Set up an item charge number, add a Charge (Item) line to the purchase invoice and assign it to the received item lines. The assigned cost raises the inventory value, so cost of goods sold carries the true landed cost. ### What should happen to freight lines on a supplier invoice? Treat them as their own line with a freight code. If your policy is to load freight into stock cost, route it to the landed cost account. Either way, do not reject the bill because freight was not on the order. ### Does Business Central do 3-way match? It matches by pulling receipt lines into the invoice with Get Receipt Lines. You then compare price and quantity yourself. Business Central does not warn when the invoice differs from the order. ## Sources - https://learn.microsoft.com/en-us/dynamics365/business-central/payables-how-assign-item-charges - https://learn.microsoft.com/en-us/dynamics365/business-central/purchasing-how-to-combine-receipts - https://www.ato.gov.au/businesses-and-organisations/gst-excise-and-indirect-taxes/gst/tax-invoices ### Also confirmed by - BC partner consultant walkthrough, 2021: https://bondconsultingservices.com/blog/microsoft-dynamics-365-business-central-add-landed-cost-to-items-received-from-a-third-party-freight-vendor/ - BC partner landed cost guide, 2025: https://www.prenticeworx.com/blog/landed-cost-item-charges-in-business-central/ Source: https://www.pulsify.tech/po-matching-in-business-central-for-wholesalers/ (last checked 2026-10-19)