Credit Card Deposits

Credit card deposits are sent electronically to the bank directly by each merchant department. 

Credit Card deposist outside of TouchNet

For merchants receiving credit card revenues outside of TouchNet, their credit card deposits are sent electronically to the bank.

Credit card deposit data is entered into Workday by Treasury Accounting from information received directly from the bank. Each day Treasury Accounting credits the deferred revenue clearing account for transactions received by the bank for each merchant using the relevant revenue category and organizational worktag provided by the department. Treasury Accounting also books merchant discount fees directly to the appropriate expense accounts.

Departments are responsible for

  • preparing journal entries to distribute from the deferred revenue clearing account the revenues and associated taxes payable. 
  • ensuring that their credit card clearing accounts balances are cleared regularly and reconciled monthly. These deferred revenue clearing accounts must be zero at year-end.

Credit Card Clearing Daily Procedures

Verifying Deposit Detail

  • Run your report to extract a daily list of credit card deposits from the clearing account. It is recommended to use the “Find Operational Transaction Journal Details – Distributed” report
  • Match to the transaction details on the merchant acquirer’s online portal

Clearing Deposit Transactions

  • Prepare an accounting journal to transfer the daily deposits and returned items from your clearing account to the appropriate revenue category or tax codes.
  • Refer to the Create Accounting Journal article in the Workday Knowledge Base. 
  • Prepare these journals daily to ensure departmental reports are accurate and that taxes collected are properly transferred to central accounts for remittance to government authorities.

Clearing Account Numbers

The following Revenue Categories will be used by Treasury Accounting:

Ledger Account Revenue Category
2100 Deferred Revenue RC0146 Snap Pay
2100 Deferred Revenue RC0147 VISA-Chase
2100 Deferred Revenue RC0149 VISA-TD
2100 Deferred Revenue RC0148 VISA-Moneris
2100 Deferred Revenue RC0143 Mastercard-Chase
2100 Deferred Revenue RC0144 Mastercard-Moneris
2100 Deferred Revenue RC0145 Mastercard-TD
2100 Deferred Revenue RC0142 Amex

    The following can be used by departments to distribute taxes using accounting journal:

    Ledger Account

    • 2120 GST Tax Collected on Sales
    • 2135 PST Tax Collected on Sales    
    • 2150 Municipal and Regional District Tax
    • 2155 Translink Parking Tax Collected
    • 2160 QST Tax Collected on Sales

    Please use your local Worktags (distributed programs and cost centres) with these tax ledger accounts. There will be a monthly allocation journal triggered to sweep tax liabilities from distributed Worktags to the central Worktags.

    If there are discrepancies between the amounts you have cleared and the amounts recorded on your transaction record, please follow up with the appropriate payment card acquirer.

    Credit Card Housekeeping

    Retrieval Request

    • If you receive request for backup from the merchant acquirer, you should immediately locate your originating credit card receipt or chit for the transaction and fax it to the merchant acquirer.

    Chargeback (returned item)

    • Upon receipt of “Chargeback Notification” from the VISA/ MasterCard acquirer, Treasury Accounting will verify the debit at the bank account and reverse the original entries by entering an ad hoc bank transaction.
    • A copy of the “Chargeback Notification” and the reversal journal will then be sent to the merchant department for further action.
    • For Enrolment Services ONLY, Treasury Accounting will forward the “Chargeback Notification” to them to reverse entries and follow up.

    Discount Fee

    • Based on the monthly user activities, Treasury Accounting allocates the discount fees to the merchant departments via an Ad Hoc Bank Transaction posted to Ledger Account 6300, Spend Category 0064 Bank Charges at the end of each month. The exception is TD, where discount fees are posted to the Clearing Account automatically at beginning of the month and then later adjusted to Bank Charges.

    Analyzing Credit Card Deposits Monthly/Annual Procedures

    At month-end you should:

    • follow the daily procedure for reconciliation
    • prepare an analysis of your clearing account
    • forward a copy to Treasury Accounting by email with your merchant id in the subject line as follows “Credit Card MIDxxxx” to

    At year-end, please ensure that the clearing accounts are cleared to zero.