Merchant category code

In accounting, merchant category code means the four-digit code a card network assigns to a merchant by line of business — 5812 for restaurants. It suggests an expenseFoundationsExpenseOutflows or other using up of assets, or incurrences of liabilities, from delivering or producing goods, rendering services or carrying out other activities — recognized when incurred, not when paid accountCore ledgerAccountA GL account in the chart of accounts. Always qualify when a bank account is meant. and drives card spend limits, but it describes the merchant, not what was bought.