License usage reporting (in-app and PPAC) with Entra dynamic groups

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Posted on by James Fox

We are finding that the license reporting is not reflecting permissions assigned to users via Entra dynamic groups. We use Entra group memberships to assign roles to users. Any direct role assignments, as well as roles granted via standard Entra groups, are represented in the reporting properly. However, any roles granted via a dynamic group in Entra does not reflect in the reports. The relevant roles are assigned properly, and users are successfully able to access the application based on those assigned roles, but they are not reflected in the reports.

We use dynamic groups to automatically assign roles based on various data, which has worked well, but this gap in the reporting is making it very difficult to identify and validate licensing in advance of the upcoming requirement changes.

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Dynamics 365 Finance

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André Arnaud de Cal... 303,581 Super User 2026 Season 1 on at

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Hi,

Can you share an example of how you created a dynamic group and how users are assigned? So what is the various data? I can then try to replicate it.

It might not be supported on the licensing reports today. I will join a meeting with Microsoft soon about the license reporting and enforcement. I can then bring this to their attention.

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James Fox 9 on at

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In Entra, the dynamic group uses attributes in the dynamic membership rules, typically which we populate based on data we sync with our HR system.

In one example, the rule uses:
(user.extensionAttribute3 -in ["EP"]) and (user.extensionAttribute6 -in ["YESSLADM","EPGISSR"])

In D365 of course, under Groups, we import the groups from Entra and assign the various roles there.

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André Arnaud de Cal... 303,581 Super User 2026 Season 1 on at

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Hi James,

I will try to reproduce the scenario. Can you confirm if the users were assigned to the group for more than 24 hours?

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James Fox 9 on at

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Yes, they've been assigned for weeks or months in some cases.

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