Why Are NetSuite Intercompany Transactions Not Auto-Eliminating?

Upon enabling auto-elimination, separate intercompany A/R and A/P accounts must be manually created and configured to ensure they are not mixed with regular A/R and A/P accounts.

Following the activation of auto-elimination, it is necessary to configure relevant revenue accounts and, with specific considerations for arm's length intercompany inventory transfers, COGS accounts. Accounts to which intercompany transactions may post must be marked for auto-elimination. The checkbox to select is Eliminate Intercompany Transaction on the account records. For arm's length intercompany inventory transfers, COGS accounts should generally *not* be marked for elimination to avoid double booking. This option is selected during the manual setup of intercompany A/R and A/P accounts. These intercompany accounts can share postings from both regular and intercompany transactions.

Once this configuration is complete, new transactions should fully auto-eliminate. However, existing transactions will not. To ensure existing arm's length intercompany transactions fully eliminate, the Invoice related to Interco Sales Orders must be edited and saved.