From d5742940eccba6bd8aaffc6247825fcf0897f995 Mon Sep 17 00:00:00 2001
From: dlawler489 <104159223@student.swin.edu.au>
Date: Sat, 13 Jun 2026 15:44:01 +1000
Subject: [PATCH] Classify prolist as ads; stop reporting intentionally-skipped
 ledger types
MIME-Version: 1.0
Content-Type: text/plain; charset=UTF-8
Content-Transfer-Encoding: 8bit

- 'prolist' (Etsy Promoted Listings / onsite ads) now maps to
  Marketing & Advertising instead of being skipped
- classifyLedgerEntry distinguishes 'skip' (credits, disbursements,
  refunds — deliberately not expenses) from null (unrecognised debit).
  Only null entries are reported, so disbursements/refunds no longer
  appear in the 'unknown charge types' list.

Co-Authored-By: Claude Fable 5 <noreply@anthropic.com>
---
 server/src/services/etsyApi.ts | 26 +++++++++++++++-----------
 1 file changed, 15 insertions(+), 11 deletions(-)

diff --git a/server/src/services/etsyApi.ts b/server/src/services/etsyApi.ts
index 4ddf1fb..73a6018 100644
--- a/server/src/services/etsyApi.ts
+++ b/server/src/services/etsyApi.ts
@@ -337,22 +337,25 @@ export interface LedgerSyncResult {
 // there is no per-entry divisor, so /100 (all Etsy currencies are 2-decimal)
 const ledgerAmount = (entry: any): number => (entry.amount || 0) / 100;
 
-// Map a debit ledger entry to an expense category, or null to skip it.
-// Conservative: only genuine business costs become expenses. Credits (sales),
-// disbursements to bank, and refunds (revenue reversals) are never expenses.
-export const classifyLedgerEntry = (entry: any): string | null => {
-  if ((entry.amount || 0) >= 0) return null; // credits: sale payments, misc credits
+// Classify a ledger entry:
+//  - a category string  → import as an expense
+//  - 'skip'             → deliberately not an expense (credit, disbursement, refund)
+//  - null               → an unrecognised debit, reported so rules can be refined
+// Conservative: only genuine business costs become expenses.
+export const classifyLedgerEntry = (entry: any): string | 'skip' | null => {
+  if ((entry.amount || 0) >= 0) return 'skip'; // credits: sale payments, misc credits
 
   const text = `${entry.description || ''} ${entry.ledger_type || ''} ${entry.reference_type || ''}`.toLowerCase();
 
-  // Transfers and revenue reversals are not expenses
-  if (/disburse|deposit|withdraw|payout/.test(text)) return null;
-  if (/refund|reversal|return/.test(text)) return null;
+  // Transfers to bank and revenue reversals are intentionally not expenses
+  if (/disburse|deposit|withdraw|payout/.test(text)) return 'skip';
+  if (/refund|reversal|return/.test(text)) return 'skip';
 
+  // Etsy's onsite ads are logged as "prolist" (Promoted Listings)
+  if (/prolist|promoted|ads|advertis|marketing|offsite/.test(text)) return 'Marketing & Advertising';
   if (/listing/.test(text)) return 'Listing Fees';
   if (/transaction/.test(text)) return 'Transaction Fees';
   if (/processing|payment fee/.test(text)) return 'Payment Processing Fees';
-  if (/ads|advertis|marketing|offsite/.test(text)) return 'Marketing & Advertising';
   if (/shipping|postage|label/.test(text)) return 'Shipping & Postage';
   if (/vat|gst|\btax\b/.test(text)) return 'Taxes & GST';
   if (/subscription|etsy plus/.test(text)) return 'Subscriptions';
@@ -400,8 +403,9 @@ export const syncLedgerEntries = async (
       for (const entry of entries) {
         result.entriesSeen++;
         const category = classifyLedgerEntry(entry);
-        if (!category) {
-          // Collect unclassified debits for reporting (capped)
+        if (category === 'skip') continue; // deliberately not an expense
+        if (category === null) {
+          // Genuinely unrecognised debit — report (capped) so rules can be refined
           if ((entry.amount || 0) < 0 && result.unknownDebits.length < 25) {
             const desc = String(entry.description || entry.ledger_type || 'unknown').trim();
             if (!result.unknownDebits.includes(desc)) result.unknownDebits.push(desc);