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Project cost for service items and procurement categories with item requirements

Enabled for Public preview General availability
Users by admins, makers, or analysts - Jun 4, 2025

Business value

When you use this feature with item requirements, it streamlines project costing for service items and procurement categories. Project costs automatically update to reflect:

  • Miscellaneous charges - extra charges you add to the invoice.
  • Discounts - discounts you apply as fixed amounts or percentages.
  • Tax adjustments - applicable taxes, including nondeductible taxes.
  • Price changes - price variations between the purchase order and the final invoice.

These enhancements help you manage costs more accurately and dynamically. They improve financial oversight and project profitability.

Feature details

This feature resolves key challenges associated with using service items in Project Operations when you enable the item requirement feature:

  • Enhances project cost calculations for service, nonstocked items, or procurement categories that you link to item requirement purchase orders.
  • Streamlines project cost management in the sales order to purchase order process.
  • Improves the handling of project costs for purchase orders, including miscellaneous charges.
  • Enhances project cost handling for purchase orders that include tax.

Geographic areas

Visit the Explore Feature Geography report for Microsoft Azure areas where this feature is planned or available.

Language availability

Visit the Explore Feature Language report for information on this feature's availability.

Update project costs upon vendor posting (docs)