Chart of Accounts in Dokos

Good morning,

My first real functionnal request here,
regarding Chart of Account (CoA) implementation in DOKOS.

Like ERPNext, DOKOS seems to be restrictive on how EU-based CoA can be handled.

Here are several points which I want to review with DOKOS team:

1- ERPNext was initially designed without account numbering. Account name was used as main identifier, so was set to be unique for each records, leading to avoid duplicate account name. This particularity remains today.

2- Later on, ERPNext developers added the account numbering feature, requested by many users for a while.
As per account name, account numbers are set to be unique (which is relevant).
Thus, no duplicate accounts numbers allowed, and this is logical and most wanted.
But what’s not is the fact that accounts name remained to be unique as well, so still no allowed duplicate here.

I’m a bit doubtful on how the design for accounts mapping works in ERPNext (and DOKOS?)
Although account numbers are implemented, are they used for mapping into financial reporting or is it still account names? Why did the ERPNext devs left the account name forced to be unique?

These 2 points have serious consequences on the following:

3- If you want to use LU CoA, then you need to modify the labels for the duplicated accounts names (there is a lot of them in LU CoA especially in ‘sub-accounts nodes and leafs’ by, for instance, concataining the account number with the account name. This could lead one to choice not using the account numbering feature, but I see some concerns (legally) in not doing it.

4- Account ‘Root types’ Asset & Liability are shared within the root account ‘Class 4’ in LU CoAs (I guess that it is the same for FR).
The problem is that we can set only one ‘Root Type’ per root account.
I have seen several workarounds about this case, like :

a- Not using account numbers and split the Class 4 in 2 different root accounts
* [Class 4 - Asset]
* [Class 4 - Liability)
b- Use account numbers, create a dummy ‘Liability’ root account in the CoA to be imported,
import CoA (without splitted Class 4),
and then manually repopulate ‘Liability’ in ‘root type’ fields in each ‘group accounts’ as required.

I did not test any of these workarounds yet.
Using 4a is leaving us with the legal concern.
On the other side, using option 4b do not solve the duplicate account name problem, so we will end-up with account numbering + modified account labels (With numbers concatained?) which finally becomes a bit of a crazy workaround, not that serious for the objective targeted for the deployment of an ERP in our EU countries.

It should be great to get your experimented feed back on that particular point.
Splitting root account ‘Class 4’ cannot be done without disabling account numbering, and therefore, I’m wondering about the outcome when we have to stick to legal requirements, or more technically, accounts mapping against financial reporting.

5- Last but not least, the account name is limited to 140 chars. This is a problem for LU CoA where the required CHARS lenght is sometimes closer to 255. The workaround here is to modify the relevant fields parameters.
I have read somewhere that it could be done via the Account DocType directly, but tried it and it did not work.
I had to modify the fields properties in the DB as well.
So, is it necessary to do both or not? I did not try yet?
This point should not be that difficult to resolve, compared to the others.

As you can read, there are a few questions, and I’m very curious on how you did manage that your side.

When installing DOKOS for the first time, I thought it was prepared to those CoA limitations, even partially.
But it looks like its not really yet the case, and, without willing to offend your great work, it’s a bit suprising.
I would have wished to find a French CoA by default, for instance, instead of the native ‘Standard’ one.
I’m sure there is some good reasons to that.
Missing time or, maybe, are your currently ongoing with a profound revamping in this area within DOKOS ?

Thank you very much for your attention.
Best Regards.

Hi @rT-FC,

Thanks for your very interesting questions.

To answer the last one directly, I just didn’t have time yet to work on the CoA, but it is planned in the next few months. Therefore, the CoA management in Dokos is currently on par with the CoA management in ERPNext.

Your points regarding the naming system are valid but not blocking so far for us.
To name nested parents with the same number, the only way so far is to concatenate the account number and the account name as you mention.
I wasn’t aware of the fact that some countries have accounts with about 255 characters and I will take it into account.

The main blocking point for us is the fact that class 4 accounts can be assets or liabilities. We need therefore to find a solution to be able to populate a Balance Sheet correctly. Currently we need to format it manually outside of the system.
As for the workarounds, I have used the first one (split in 2 different root accounts) in the past and it populates a correct Balance Sheet, but it’s not a best practice.

But as far as I know the current CoA doesn’t lead to any incorrect accounting posting, only a Balance Sheet display issue according to FR (and apparently LU) standards.
Keep in mind that accounting postings are done on child accounts, therefore the CoA “Tree” is mainly meant to populate the corresponding reports (Balance Sheet/P&L).

I’ll be interested if you can elaborate on the workaround 4a legal concerns ?
Similarly for the concatenation of account number and account name ? I guess it’s true, but only if account numbers are not displayed in corresponding reports, which is currently the case even if the account number is in the name field.

I’ll update this thread when I start working on the issue and I’ll be happy if you want to participate in the design.

Have a nice day!