Microsoft Entra ID Governance
GovernanceAutomatic formation of governance relationships
In brief
The documentation now specifies selecting an existing Microsoft Customer Agreement (MCA) subscription and resource group from the billing account when creating a tenant with the secure add-on tenant creation feature.
What Entra admins need to know
Administrators should use the documented MCA subscription and billing-account resource group when performing this tenant-creation process.
This editorial summary was generated by AI from the documentation changes. Verify important details in the full Microsoft Learn article.
Documentation change
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Automatic formation of governance relationships
Microsoft Entra ID Free billing asset
When you create a new Microsoft Entra tenant using the secure add-on tenant creation feature, you're prompted to select an existing paid Azure subscriptionMicrosoft Customer Agreement (MCA) subscription and resource group. The subscription must be associated with an Enterprise Agreement (EA) or pay-as-you-gogroup from your billing account. Legacy and modern billing experiences are supported. To identify your billing account type, see View your billing accounts in the Azure portal. For information about creating a subscription under a Microsoft Customer Agreement (MCA) billing account, see Create a Microsoft Customer Agreement subscription. When you create your new tenant, Microsoft generates a new billing asset called Entra ID Free under the selectedthat subscription and resource group, which links to the newly created tenant.
The subscription tracks new tenants created with the same billing account, allowing you to maintain an inventory of all new tenants. The subscription also helps prove tenant ownership and helps regain administrative access if you ever lose it. To learn more, see Microsoft Entra ID Free.
@@ -3,9 +3,8 @@ title: Automatic formation of governance relationships titleSuffix: Microsoft Entra ID Governance description: Learn how Microsoft Entra Tenant Governance automatically establishes governance relationships when you create add-on tenants using secure tenant creation. ms.topic: concept-article-ms.date: 07/29/2026+ms.date: 03/26/2026 ai-usage: ai-assisted-ms.custom: msecd-doc-authoring-1018 --- # Automatic formation of governance relationships@@ -18,7 +17,7 @@ If roles and permissions haven't been defined in the default governance policy t ## Microsoft Entra ID Free billing asset -When you create a new Microsoft Entra tenant using the secure add-on tenant creation feature, you're prompted to select an existing paid Azure subscription and resource group. The subscription must be associated with an [Enterprise Agreement (EA)](/azure/cost-management-billing/manage/understand-ea-roles) or [pay-as-you-go](https://azure.microsoft.com/pricing/offers/ms-azr-0003p?cid=msft_learn) billing account. Legacy and modern billing experiences are supported. To identify your billing account type, see [View your billing accounts in the Azure portal](/azure/cost-management-billing/manage/view-all-accounts). For information about creating a subscription under a Microsoft Customer Agreement (MCA) billing account, see [Create a Microsoft Customer Agreement subscription](/azure/cost-management-billing/manage/create-subscription). When you create your new tenant, Microsoft generates a new billing asset called **Entra ID Free** under the selected subscription and resource group, which links to the newly created tenant.+When you create a new Microsoft Entra tenant using the secure add-on tenant creation feature, you're prompted to select an existing [Microsoft Customer Agreement (MCA) subscription](/azure/cost-management-billing/manage/create-subscription) and resource group from your billing account. When you create your new tenant, Microsoft generates a new billing asset called **Entra ID Free** under that subscription and resource group, which links to the newly created tenant. The subscription tracks new tenants created with the same billing account, allowing you to maintain an inventory of all new tenants. The subscription also helps prove tenant ownership and helps regain administrative access if you ever lose it. To learn more, see [Microsoft Entra ID Free](/azure/cost-management-billing/manage/microsoft-entra-id-free).