Platform fees and EDF records: show gross and net separately

Explain the difference between the invoice amount, platform deductions and the final bank credit with a traceable reconciliation.

The number on an invoice and the amount reaching your bank can both be correct even when they differ. Fees, withholding, refunds and conversion may sit between them. Your working record should explain the difference instead of replacing the invoice amount with whichever number is easiest to find.

Build a bridge from invoice to settlement

Start with the invoiced currency and gross value. Add separately labelled deductions supported by statements. Then link the provider settlement reference and the bank credit. Do not combine a USD fee with an INR credit without an explained conversion step. If a deduction is only estimated, mark it as unresolved and request the provider’s transaction-level evidence.

Keep the explanation separate from approval

A mathematical reconciliation explains your numbers; it does not decide whether an adjustment is acceptable to the bank. Ask how the bank wants charges and under-realisation represented. Keep the original amount, the evidence and the response together. This also helps your accounting reviewer see whether a difference is a fee, a missing receipt or a genuine customer dispute.

Separate fees, withholding and missing money

A difference between invoice and payout is not automatically a platform fee. It may include a documented service charge, tax withholding, a refund, a rolling reserve, an exchange difference or an unpaid balance. Give each item its own label and supporting document. If the evidence does not explain it, keep the difference unresolved rather than assigning it to a convenient category.

Use the same currency for each arithmetic bridge. Where conversion occurs, create a second bridge from the settlement currency to the bank credit. Keep the provider’s stated fee and conversion information instead of replacing them with an assumed rate. Ask the bank how the particular deduction should be represented; a plausible spreadsheet explanation is not itself an accepted adjustment.

Make a reconciliation that another person can reproduce

Show the starting invoice value, each supported adjustment, the expected settlement and the actual receipt reference. Include the source document beside every adjustment. The reviewer should be able to recompute the result without asking which screenshot you used. When several invoices share a fee, document the allocation method and retain the batch statement supporting the total.

Do not count a fee twice because it appears both in a transaction report and a payout summary. Identify whether the report presents gross or already-net amounts. A second reviewer can select one transaction and follow it across the two reports. This is often more effective than checking only the final balance, which can look correct even when one adjustment has been duplicated and another omitted.

Explain unresolved differences in the bank request

Keep the commercial amount and the proposed explanation distinct. State what was actually received, which charges are evidenced and what remains unknown. Ask whether the bank needs a provider document, customer confirmation or another attachment to assess the difference. Avoid signing a statement that describes an unexplained shortfall as fully realised without understanding the wording.

If the bank confirms a particular treatment, save the response with the affected invoice references. A response about one provider fee should not automatically be applied to an unrelated withholding or customer dispute. Review the explanation when the settlement route changes. Keep your accounting treatment and bank-facing status linked but do not assume that a bookkeeping entry alone updates the official record.

A fictional example

An invoice is USD 1,000, the platform statement shows USD 80 in charges and USD 920 paid out. The worksheet keeps all three figures. If the bank receives INR, a separate conversion record connects that credit to the USD payout.

Preparation checklist

Preserve gross invoice value.
Use evidence for each deduction.
Do not label unexplained differences as fees.

Does a reconciled net receipt automatically close the export record?

No. Ask the AD what evidence and confirmation it requires for the relevant adjustment or closure.

FICTIONAL WALKTHROUGH

A payout contains a fee and a reserve

A fictional USD 1,200 invoice leads to a statement showing USD 90 in charges and USD 110 held in reserve. The immediate payout is USD 1,000. The preparer records the charge and reserve separately because the reserve may be released later and is not described as a fee.
The reviewer checks that the payout summary already includes the USD 90 deduction. They do not subtract it again. The working explanation links the invoice, statement and payout reference, leaving the reserved amount visible as a separate unresolved or pending item according to the evidence.
The exporter asks the bank what documents and treatment it requires for the current receipt and later reserve release. When further evidence arrives, the record is updated with the new event instead of altering the original invoice or erasing the earlier payout history.

Your next step

Reconcile a payment

Sources and scope

Sources reviewed 9 October 2026. The routines and fictional examples are editorial preparation suggestions. They do not confirm your bank’s acceptance, classification or transaction status.