Put Every Payment in the Right Place with Merchant Dimensions for Dynamics 365 Business Central

Jan 16, 2026

The new Merchant Dimensions enhancement gives finance teams greater control and accuracy over how payment transactions are tracked, reported, and posted in Dynamics 365 Business Central. This new feature was first introduced in the January 2026 iPayments release.  Please note this feature is in preview mode.

With this update, multiple dimensions can now be assigned directly at the merchant level, ensuring every payment tied to that merchant automatically carries the correct dimension values without relying on manual entry or downstream adjustments.

Why this matters

As businesses scale, payments often flow through multiple merchants, locations, or lines of business. Without consistent dimension handling, finance teams frequently have to clean up transactions, fix reports, and reconcile entries.

Merchant Dimensions solve this by:

  • Improving financial accuracy – Payments post with the correct dimensions every time.
  • Reducing manual corrections – No more fixing dimension mistakes after payments are posted.
  • Strengthening reporting and analysis – Dimensions flow cleanly into GL, enabling better insights by department, location, brand, or entity.
  • Supporting multi-entity and National Accounts setups – Especially valuable for organizations managing multiple merchants under a single AR process.

What it does

With this release, the Merchant Card now includes enhanced dimension handling, allowing you to:

  • Define multiple dimensions at the merchant level
  • Apply those dimensions to related payment transactions
  • Maintain consistency across posting, reconciliation, and reporting

When a transaction is created, the system decides where it should be posted in accounting. Before, you could only set one rule per dimension – if a transaction used that dimension, it always went to the same place. Now, you can be much more precise. You can set rules based not just on the dimension, but on the specific value within that dimension, allowing different combinations to post to different accounts. This gives you far more flexibility and ensures transactions are automatically categorized correctly without manual adjustments.

To update iPayments with the new Merchant Dimensions feature, log a support ticket or review these instructions.