Approval to issue Internal Sales Documents
Project Cost Accounting Codes Required if Requested
Methods for Submitting ISD charges
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The INTERNAL SALES DOCUMENT (ISD) is used exclusively for recording sales of services or supplies by service centers and auxiliary enterprises to other University of Washington entities.o
The only budgets that can issue charges using an ISD are those within the auxiliary enterprise and service funds that have been authorized. These are typically budgets that begin with 08, 14, 15, 16, or 25.The following transactions should not be recorded on an ISD:
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Transfers of employees’ salaries . (See information about Retroactive Salary Transfers (RST).)§
Correction of posting errors by others. (See information about Journal Voucher Process.)§
Expenditure object code reclassifications. (See information about Journal Voucher Process.)§
Cost transfers not associated with the provision of goods and services. (See information about Journal Voucher Process.)§
Transferring the costs of services or supplies between budget entities at the University when the issuing budget is NOT a service center or auxiliary enterpriseØ
The above should be recorded on another form, the COST TRANSFER INVOICE (CTI).See Guidelines for Use of the Cost Transfer Invoice (CTI) for more information about the CTI.
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The ISD differs from the CTI; an ISD is typically used by a service department to record revenue from another department to which it has provided the services.o
All charges to federal grants must be made in accordance with Grants Information Memorandum #15.o To establish authorization for an existing budget to issue ISDs, create an email message with the following included:
A "cc" to your Dean or Director (this is required for approval)
Budget Number
Budget Name
Department Administrator Name and Phone Number
Department Name
Description of costs to be transferred
Estimated number of transactions per year
Estimated dollar volume of transactions per year
Send the email to accountg@u.washington.edu
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A charge should be billed before the close of the month following the date the good was received or the serviced was performed. For example, if a good was received or a service was performed during the month of January, it should be billed no later than February close.o
Financial Accounting monitors the timeliness of billings and has the authority to remove a department's authorization to issue ISDs. To report a late Internal Sales Documents (ISD) billing to Financial Accounting, please send an email with the following information to accountg@u.washington.edu:Your budget number
Month the late charge was posted to your budget
Transaction amount
ISD number
Methods for Submitting ISD Charges
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Manually prepared ISDs are to be completed on the INTERNAL SALES DOCUMENT (ISD) or a similar customized form that contains the same content and is similar in size and layout.§
Paper ISD forms can be submitted to Payables Administration, Box 351120, for processing into the accounting system.o
A preferred automated method of preparing and transferring ISDs, called FASTRANS, is also available to ISD issuers who store transactions on a database or in spreadsheet format.o
Regardless of the method used to process the ISD, the issuing department must provide the details of all transactions directly to the charged department.o
The "Date of Service" section of the form (Field 1) should reflect the date that the goods were delivered or services performed, not the date that the ISD was prepared. (Exception: The date may instead be the last day of the month in which the service was performed—if this is more convenient to the issuing department.).o
Charge only the actual cost of providing services or supplies.o
Do not issue charges on an ISD until the services or supplies have been provided.o
Use the "Requisition Number" column (Field 9) only when liquidating encumbrances.o
Use only the expenditure object codes for departmental charges (Field 9) that are listed in Object Codes for Expenditures. However, do not use 01-xx-xx and 02-xx-xx object codes.o
The "SSub" (sub-sub-object), "Task," "Optn" (option), and "Project" columns (Field 9) are features of the Financial Accounting System for receiving departments to use in performing cost accounting functions. Whenever possible, issuing departments should accommodate the receiving department’s request to apply these codes to their ISDso
If more than one revenue code is needed for the issuing budget, then issue multiple ISDs.o
To credit a budget (rather than to charge it) place brackets around the dollar amount in the "Charge Departments" section of the form (Field 9).o
Issuing departments must use one of the following revenue codes to indicate the nature of the sale under "Issuing Department" (Field 8):o
Only valid budget numbers may be charged. If the ISD contains charges to several budget numbers and one is invalid, only the invalid transaction will be rejected and referred to the issuer for correction and resubmittal; all valid charges will be accepted and the issuing budget will be adjusted automatically.o
The issuers’ phone numbers must always be attached to the transaction(s).All ISD issuing departments must maintain adequate accounting records to substantiate charges for goods and services. Records must be retained for six years and be available upon request for audit purposes.
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