How to Record LC Courier Fee Recovery
Recording the reimbursement of courier expenses for Letter of Credit documents when the cost is passed through to the counterparty.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Accounts Receivable / Client | dr | 75.00 | - |
| LC Courier Expense Recovery | cr | - | 75.00 |
💡 Accountant's Note
If courier costs are initially paid by the bank and charged to the firm, but the contract allows recovery from the buyer/seller, this entry offsets the expense.
Practitioner & Systems Framework
💻 ERP Architecture
Map to a recovery or contra-expense account to show net cost of trade operations.
⚠️ Audit Flags
High volume of unrecovered courier charges sitting in expense accounts.
📄 Required Documentation
Bank debit advice and shipping/courier receipts.
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Expert Analysis by Qusai Ahmad
General Accountant Supervisor & IFRS Specialist
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Discussion & Community Questions
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