---
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title: How to Use Posting Groups in Business Central (2025)
summary: Posting groups in Business Central link customers, vendors, items and VAT or sales tax to general ledger accounts. The video covers general (business and product), subledger-specific (customer, vendor, inventory) and VAT posting groups and how they combine in posting setups. It also includes a sales invoice demo with posting preview and shows how to post directly to GL accounts.
tier: official
language: en
tags:
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  - general ledger
  - vat posting
  - customer posting groups
  - vendor posting groups
  - inventory posting groups
  - subleddgers
  - accounting setup
system: finance
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    title: How to Use Posting Groups in Business Central (2025)
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    quote: There are three main kinds of posting groups. General such as general business and product posting groups. Subleddger specific like customer, vendor, or inventory
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    quote: We combine the who business posting groups and what product posting groups and posting setups.
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    quote: when we sell a retail item to a domestic customer, the posting setup might point to the sales revenue and COGS accounts
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    quote: We can choose GL accounts only on lines on journals and documents. This allows subleddgers like the customer or inventory to exist alongside the
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    quote: Posting groups keep subleddgers in sync with the general ledger.
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    title: How to Use Posting Groups in Business Central (2025)
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    quote: If we don't use subleddgers and post directly to a GL account, we can enable direct posting for the account.
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video_id: 4IumfDNN8GU
channel: yt-microsoft
source_name: Microsoft Dynamics 365 Business Central (YouTube)
url: https://www.youtube.com/watch?v=4IumfDNN8GU
published_at: "2025-05-22T16:19:38.000Z"
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    title: Business and Product Posting Groups
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    title: VAT Posting Setup and Assignment
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    title: "Demo: Sales Invoice and Posting Groups"
  - t: 126
    title: Preview Posting and Ledger Entries
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    title: Direct Posting to GL Accounts
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    title: Summary and Conclusion
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    text: We combine the who business posting groups and what product posting groups and posting setups.
    check: exact
  - t: 53
    text: when we sell a retail item to a domestic customer, the posting setup might point to the sales revenue and COGS accounts
    check: exact
  - t: 188
    text: We can choose GL accounts only on lines on journals and documents. This allows subleddgers like the customer or inventory to exist alongside the
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  - t: 199
    text: Posting groups keep subleddgers in sync with the general ledger.
    check: exact
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    text: If we don't use subleddgers and post directly to a GL account, we can enable direct posting for the account.
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---

# How to Use Posting Groups in Business Central (2025)

> Posting groups in Business Central link customers, vendors, items and VAT or sales tax to general ledger accounts. The video covers general (business and product), subledger-specific (customer, vendor, inventory) and VAT posting groups and how they combine in posting setups. It also includes a sales invoice demo with posting preview and shows how to post directly to GL accounts.

[Watch on YouTube](https://www.youtube.com/watch?v=4IumfDNN8GU) · Microsoft Dynamics 365 Business Central (YouTube) · 2025-05-22 · 3:53 · tier official · reviewed (checked by Opus)

## Overview

The video explains how posting groups keep subledgers in sync with the general ledger. It describes three main kinds: general (business and product posting groups), subledger-specific (customer, vendor, inventory) and VAT/tax posting groups. Business posting groups cover who you trade with, and product posting groups cover what you buy or sell. Combined with posting setups, they decide which accounts are used.

A sales invoice demo shows customer and inventory posting groups, VAT posting setup, and the posting preview of subledger and general ledger entries before posting. The video also covers posting directly to GL accounts on journal and document lines, and the Where Used list for seeing which posting groups use a GL account.

## Key points

- Three main kinds of posting groups: general (business and product), subledger-specific (customer, vendor, inventory), and VAT/tax.
- Business posting groups classify who you trade with (for example domestic or foreign); product posting groups classify what you buy or sell (for example resale, manufacture, retail).
- Business and product posting groups are combined in posting setups. Example: a retail item sold to a domestic customer can point to sales revenue and COGS accounts.
- Posting groups can be assigned to customers, vendors and items, or inherited from templates.
- Customer posting groups hold the receivable accounts; inventory posting groups hold the inventory accounts for items.
- VAT posting setup determines the VAT accounts used, for example the sales VAT account for the standard VAT rate with a domestic customer; VAT entries show VAT rate and base amounts.
- Posting preview shows the subledger and general ledger entries that will be created before you post a document.

## Chapters

- [0:00](https://www.youtube.com/watch?v=4IumfDNN8GU&t=0s) Introduction to Posting Groups
- [0:14](https://www.youtube.com/watch?v=4IumfDNN8GU&t=14s) Main Kinds of Posting Groups
- [0:28](https://www.youtube.com/watch?v=4IumfDNN8GU&t=28s) Business and Product Posting Groups
- [0:53](https://www.youtube.com/watch?v=4IumfDNN8GU&t=53s) VAT Posting Setup and Assignment
- [1:20](https://www.youtube.com/watch?v=4IumfDNN8GU&t=80s) Demo: Sales Invoice and Posting Groups
- [2:06](https://www.youtube.com/watch?v=4IumfDNN8GU&t=126s) Preview Posting and Ledger Entries
- [2:54](https://www.youtube.com/watch?v=4IumfDNN8GU&t=174s) Direct Posting to GL Accounts
- [3:30](https://www.youtube.com/watch?v=4IumfDNN8GU&t=210s) Summary and Conclusion

## Features

| Feature | Status | At |
|---|---|---|
| Posting Groups | status not stated, demoed | [0:00](https://www.youtube.com/watch?v=4IumfDNN8GU&t=0s) |
| Business Posting Groups | status not stated | [0:28](https://www.youtube.com/watch?v=4IumfDNN8GU&t=28s) |
| Product Posting Groups | status not stated | [0:38](https://www.youtube.com/watch?v=4IumfDNN8GU&t=38s) |
| Customer Posting Groups | status not stated, demoed | [1:20](https://www.youtube.com/watch?v=4IumfDNN8GU&t=80s) |
| Inventory Posting Groups | status not stated, demoed | [1:41](https://www.youtube.com/watch?v=4IumfDNN8GU&t=101s) |
| VAT Posting Setup | status not stated, demoed | [0:53](https://www.youtube.com/watch?v=4IumfDNN8GU&t=53s) |
| Posting Preview | status not stated, demoed | [2:15](https://www.youtube.com/watch?v=4IumfDNN8GU&t=135s) |
| Direct GL Posting | status not stated, demoed | [3:08](https://www.youtube.com/watch?v=4IumfDNN8GU&t=188s) |
| Where Used List | status not stated | [3:30](https://www.youtube.com/watch?v=4IumfDNN8GU&t=210s) |

## Quotes

- [0:14](https://www.youtube.com/watch?v=4IumfDNN8GU&t=14s) "There are three main kinds of posting groups. General such as general business and product posting groups. Subleddger specific like customer, vendor, or inventory"
- [0:38](https://www.youtube.com/watch?v=4IumfDNN8GU&t=38s) "We combine the who business posting groups and what product posting groups and posting setups."
- [0:53](https://www.youtube.com/watch?v=4IumfDNN8GU&t=53s) "when we sell a retail item to a domestic customer, the posting setup might point to the sales revenue and COGS accounts"
- [3:08](https://www.youtube.com/watch?v=4IumfDNN8GU&t=188s) "We can choose GL accounts only on lines on journals and documents. This allows subleddgers like the customer or inventory to exist alongside the"
- [3:19](https://www.youtube.com/watch?v=4IumfDNN8GU&t=199s) "Posting groups keep subleddgers in sync with the general ledger."
- [3:19](https://www.youtube.com/watch?v=4IumfDNN8GU&t=199s) "If we don't use subleddgers and post directly to a GL account, we can enable direct posting for the account."