Accrued Interest

Which formula should I use when I need to calculate the accrued interest on my Student Loans.
The payments are deferred so the interest is compounded on the principal balance, how do I get Numbers to calculate the interest?
I have values for the months that have past, the principal balance, and the interest rate.
Thanks for any help!!

Chris,
I think the function you want is FV. If I understand this correctly, you have a loan on which you have paid nothing to date. FV() will calculate the total amount due after a given number of payment period. Subtracting the original amount borrowed will tell you the amount of interest you are paying.
In the test table below, $1000 was borrowed three and one-half years ago and 7% interest is compounded semiannually (3.5% per period). The compounded amount is calculated in column B for each period. Then the FV() function is used to verify its valid use here. See also FV in Numbers Help.
So you have two ways to find the interest given here. Mine is a simple example. I dread to think what your interest amount will be.
Formula in B3 and down: =1.035*B3
Formula in C7: =FV(3.5%,7,0,-1000)
pw

Similar Messages

Need to find BAPI or Function module to calaculate Accrued Interest

HI All,
CAn you please help me find BAPI or FM to calculate accrued interest with tcode FTR_EDIT for company code and transaction with cash flow details based on key date user gives. I need to takk all amounts less than key date on selection screen and get transaction details with interest rate and calculate number of days multiply it and then divide by 360 days.
my formula is like this,
Principal Amount * Interest rate * Number_ofdays/360.
The logic is like this , Single Key Date -> Multiple Company codes -> Multiple transactions per company code ->multiple payments per transaction with credit/debit indicator.
But when I run the report with one company code I should get multiple transactions with multiple paymetns calculated accrued interest.
After spending lot of time on finding function modules my Treasury functional team asked me to write manual formula to do this, but it works fine when I run for one transaction in one company code. IT's not working in all scenarios.
I think manual calculation won't be accurate in all cases.
As I am new to Treasury module, having difficulty to do this.
Thanks,
Thanvi.

check with T-code TPM44
zashok

BOND purchase : accrued interest calculation in amortization log

hello,
When purchasing a bond, accrued interest is to be paid on top of the clean price.
Common market practice for day counting of accrued interest is : value date of the purchase - previous coupon date, meaning that the purchaser paid to the seller the coupon days upto but not including the purchase day (seems obvious). Hence, in the transaction in SAP we DE- flag "include" for the calculation date => we are in line with the broker's confirmation.
We use SAC amortization (with correction for accrued interest). In the amortization log, we notice that the accrued interest SAP takes on the acquisition date INCLUDES the coupon day of the acquisition date (contrary to what is in the transaction details) , which influences the effective interest rate, which obviously is on its turn not in line with the effective interest rate in the deal (which is the right one, taking into account the correct accrued interest pad to the seller).
NOTE 1252576 is implemented.
Questions.
1. How can I influence (via custo or master data ) the accrued interest calculation as displaid in the amortization log
2. Are any settings in FWZZ I should double-check ?

Hello Carl,
accrued interest adjustment in amortization procedure is used to leverage the effect of interest coupon payments, so it calculates in the same way as interest accruals in TPM44. This is not the same as accrued interest in TS01.
In TS01 you can define it with the flag, how accrued interest is calculated, but TPM1 calculates always inclusive.
Otherwise it may lead to inconsistencies. For example, if you would have two purchases of the same ID and in one deal you set the flag, but in the other not, so which deal should TPM1 consider?
Still, with the note 1602748 a BAdI method is provided to manipulate the accrued interest adjustment amount.
Though at the end, why do you need to amortize with accrued interest adjustment? This is not required by IFRS.
BR,
Tomislav

FTR_CREATE FWTR109 REPO No accrued interest flowtype defined for +/- sign +

Hello
In transaction FTR_CREATE / TRP01 for a repo without colleteral transfer 73B transaction type 200 flow type 2001 Repo: Spot Sale and 2002 Repo: Forward Purchase I get following error:
No accrued interest flow type defined for +/- sign +
Message no. FWTR109
Diagnosis
The system tried to determine a flow type for an accrued interest flow. But there is no appropriate flow type defined in Customizing for this transaction type.
System Response
Further processing is not possible.
Procedure
Assign an accrued interest flow type to the current transaction type in Customizing."
How do I do this?
regards
Arjan
Edited by: Arjan Hogenes on Dec 8, 2009 6:36 PM

Many thanks!
I think I got one step further.
I now get the error
Per 03.12.2009 a negative balance of 20.000.000,00- EUR Nominal exists
Message no. TRQ0001
Diagnosis
This is the position that is characterized by the following details:
CC=BOO1;CV=0001;PT=04I;SA=SECACF;SE=GO82
Explanation of the abbreviations used:
AC Accounting code
PT Product type
VA Valuation area
VC Special valuation class
CV General valuation class
CC Company code
SE Security ID number
SA Securities account
AG Securities account group
PF Portfolio
LC Loan contract
PA Futures account
Procedure
Check the position for key date 03.12.2009 with the Position List for Quantity Ledger Position function."
When I check the quantity ledger I can see the position of 20.000.000,-?

Exchange Evaluation for interest accrued (difference procedure)

Hi experts.
How can I run exchange evaluation for Accrued Interest, posted with Difference procedure?
I'm using Difference method to post Interest Accrual. This is working but the issue is that this instrument is in a different currency and I need to reevaluate the interest.
There is no issue if I use Reset procedure for interest. But here the requirement is to use Difference procedure.
is it possible to do this in TRM-TM-MM?
Regards.
Lucciano Guazzelli

Hi,
Which SAP version/EhP pack are you using?
In ECC6.0 EhP4, system takes care of exchange difference in subsequent accruals for foreign currency transactions, and post the difference.
In the first month, TPM44 only post the accrual entry. However from 2nd month onwards, system posts accrual entry as well as adjustment entry for all previous accruals.
You can further use FAGL_FC_VAL in FI to evaluate P&L and BS items using different exchange rate type. For example, BS items using spot rate and P&L items using average rate.
Thanks and regards,
Abhinav Sethi

Loans interest Accrued monthly with no reversal

Hi experts,
We are gonna use SAP Banking for loan management. We have several type of loans but the important thing is that our user has asked us to have the accruals for the loan interests at the end of each month, but without being reversed at the begining of the next month.
Let say we have a 100$ loan, the first mont the interest accrued will be 5 and 8 for the second month.
SAP standard way of accounting this is:
at the end of first month: 5 accrued
at the begining of second month: 5 reversed
at the end of second month: 13 accrued (5+8)
at the beggining ot third month: 13 reversed
Specific way that we need:
at the end of first month: 5 accrued
at the end of second month: 8 accrued
Is there any standard way of doing this? Any idea of how to approach this in case there´s no way with the standard?
Thanks in advance

Hi,
As per standard SAP, this kind of accrual known as difference procedure is only possible for discounts and premium. For interest only reset accrual option is available.
Moreover if you use this kind of accrual using difference procedure for interest, then before posting the actual interest, you would have to reverse the total accrual right? Isn't that a round about way?
Anyway you can check the note 846723 for accruing interest using difference procedure in SAP Loans Management.
Also please check the below thread for similar issue:
Re: Loan: Acrrual/Deferral for difference procedure
Regards,
Ravi
Edited by: Ravishankar Ramamurthy on Jan 14, 2011 11:40 PM

FSCM interest received fixed interest bond: how to reconcile accrued paid

Hello
In FSCM Transaction manager I post flows for accrued interest for a fixed interest bond. How do I clear this with incoming/paid interest that is confirmed by the uploaded bank statement (F.05) and booked on our bank account? The upload of the bank statement books only in GL I understand:
G/L account to Bank clearing account
Bank clearing account to bank account
In subledger of Treasury I do not get updates? How do I reconcile the accrued with the paid interest?
Regards
Arjan

i will find a way...

Treasury report - Interest accrual for instrument over a given point of tim

Hi,
One of the treasury managers at our US-based client location has the following requirement for a Treasury report:
u2022     Is there a report in SAP that will tell the manager how much interest would accrue for an instrument over a given point of time?
u2022     For example, it would tell the manager what the TBB4 transaction would accrue for an instrument next year provided that the principal payments occur as they are scheduled to occur in the Treasury module?
u2022     The client is talking about accruals and not payments
u2022     He would like to have a standard SAP report as far as possible that would circumvent the need to manually get a dump of principal payments/rates and manipulate it in Excel
Any pointers welcome u2013 SAP standard reports preferred.
Thanks & Regards,
Atish

Hi,
Check the report S_ALN_01001154. Specify the key date and the transaction number, it will give the accrued interest till that key date which will be posted through TBB4.
Regards,
Ravi

Floater accrual interest and tax calculation

I have one secutity ID 353022, in security position cash flow as attached, I want to know how accrued interest to pay 36422.22 is calculated, which interest rate it is applied? also how interest deduction inc. reclaim tax 88254.83 is derived?

Hi,
to answer your first question, accrued interest interest to pay (or the Update type 'SE8702') is calculated based on the amount, the coupon rate applicable (in your case 2.1160 if I read it correctly), the period between the last coupon payment date (in your case 15.09.2014) and the current bond purchase date (in your case 16.11.2014) and finally the number of days in a year (depending on the interest rate method applicable).
regarding the second question - I would guess interest deduction inc. reclaim tax or the Update type 'SE3006' is generated as a result of the Flow type '0306' and as the Flow category is 'Other Flow/ Condition', it is just entered manually.
hope this will help you.
Kind regards,
Renatas

Deferred Interest Charge

I am absolutely livid about the deferred interest charges. I set up auto-pay as soon as I purchased a Samsung television after taking advantage of the 36-month, 0% interest promotion. I set the monthly amount at well over what would be required to pay off the balance prior to the expiration of the promotion. However, because of the way my payments were allocated, there was a balance left at the end of the promotion. Because I had set up auto-pay and did not receive paper statements, I didn't realize there was a balance until I decided to take a look at what I owed back in January. I was floored when I saw a $2,500 interest payment on the statement. I called to discuss this issue and offered to pay the balance in full minus the interest charge. I felt that this was reasonable as the promotion had expired only a month prior to my phone call to Best Buy. The lady I spoke with said she could not take the interest charge off. I told her that I was perfectly capable of paying the entire balance (minus the interest charge) right there on the phone with her and that, if she wasn't able/willing to work with me at all, I would have no reason to keep my Best Buy credit card active. Why would I want to do business with a company that doesn't care to work with me, especially considering the amount of money I had spent on that card (even without the interest charge!)? She was still unwilling to work with me, so I ended up canceling my card. This was quite a poor decision on Best Buy's part as I had made a number of purchases on the card and planned to do so in the future. I studied each of the statements from the prior year carefully and could not figure out how in the world the payments were being allocated. Even though my monthly payment stayed the same, the amount allocated to the television changed every month. This is without my making any additional charges to the card. Some months, the amount allocated was more than sufficient to cover what would have been necessary to pay the balance in time. Other months, almost nothing was allocated toward the television. It made no sense. I spoke with Citibank and they were not cooperative either. I'm hoping that Best Buy will work with me on this issue before the expiration of my next promotion that I took advantage of on another large purchase. If Best Buy is not able to work with me, I will be forced to transfer the balance to another card so I don't incur even more deferred interest charges. There is no way I could make sufficient monthly payments to cover the interest that was put on the card plus the balance of the purchase I made on the other promotion before that promotion expires in July. If this issue gets resolved, I would gladly re-open an account with Best Buy. However, at this time, I have no reason to do business with a company that doesn't want to take care of its customers. Yes, I understand that there are certain terms and conditions with which the credit card holder is to comply, but this is also a situation that could be remedied while maintaining customer satisfaction. We shall see.

I would suggest to ALLWAYS look at your statements, whether you get one by mail or whether they are electronic.
Also, Best Buy doesn't make any decisions as to whether they'll remove interest charges. Citibank owns your card and only they have the power and authority to do this. Best Buy moderators on here may be able to talk to Citibank on your behalf to see whether they'll remove it, but since Best Buy doesn't own your credit card account, they have no legal authority to do anything else.
As to how payments are allocated. After the minimum payment has been paid each month, any additional payments will be allocated to the purchase with the highest amount of interest accruing and then once that is paid down, additional payments to the next highest interest purchase. Deferred interest is seen as 0 accrues interest since it will cost you zero interest if paid off according to the terms so additional payments don't get added to it until other interest bearing purchases have been paid off.
This sounds really bad and malicious, but in reality, the Federal Government decided that this is how payments will be allocated via the CARD Acr of 2009. Citibank is merely following federal law on how they allocate payments. You can change this by contacting the bank during your deferred interest period and telling them how you want it allocated, but per the law, you must initiate that contact.
Hope this helps explain how the payments are allocated. It makes it harder for deferred interest plans, especially when you make other purchases with the card that bear interest. But that's the way the federal government decided banks had to allocate payments.

My credit building journey, lots of random questions, advise plz

First of all, thank you so much to everyone here. I have spent the last few days reading. A lot of lingo to learn. (Luv button was my favorite) (or PYDBDB) haha. And its totally worth it! Basically my credit is fair/good. I was lazy in building it. Going through anti credit card phase just to be unique. Always paid in cash. Bad mistake. Basically the only neg on my report is 3 missed payments from 1 of my student loans (which is an ERROR). Everything else is in good standing. No chargeoffs. No collections. No bks. If you are in a rush, just look at my BOLD or underlined parts if you could please.
care credit 6/13 CL $6800
credit one 4/14 CL $850
Buckle store card 5/14 CL $500
cap1 qs 12/14 CL $3k
commerce bank 10/14 CL $2k
amazon store card 4/15 CL $800
sams club PLCC 5/15 CL $1200Amex Everyday 5/15 CL $5k util is now around 15%.
If my oldest account is from june of 2013 (care credit), and my second oldest is from april 2014 (the credit one), my score is currently at EQ 669,TU 659 myfico of 688. do u think I really should close the creditone? Has a $49 AF. I could probably close the credit one, but I just paid my annual fee less than 2 months ago. I think I should wait until a month before they charge the fee, and cancel it then, say march of 2016? I would not be where I am today without it. It has served its purpose.
I am kinda thinking my average age of accounts is going to be screwed anyway with all these new cards, and maybe closing the creditone wont make that big of a difference, and then I can garden? My AAOA says its currently 2 years 10 months.. I really was NOT wanting the sams club private label credit card. I was hoping to get the synchrony bank master card and be able to get the special $50 off $100 deal and get extra cash back on top of our plus membership. They would not approve me even though I have care credit and amazon, yet give me a $1200 limit on a non master card. The other lady at the counter told me they never approve people for the MC version. It would have been foolish for me to say no to the non MC, since they did a HP, plus at that point I did not have amex approval, and only $1k limit on my cap1 qs. If my AAOA goes way down, I guess I have 30 days to cancel the new card and just accept the HP as a loss, right? I have 7 HPs on my TU, 2 on my EQ, but that does not include my sams club or AMEX applications from this month. Only 2 of the 7 are from the last 6 months.My score is so low because of a student loan error 90 days past due, even though it wasnt, and I have written in about 5 letters and can't get it removed. On all the simulators, I have seen my score would instantly be 740-780 without the error. Ugh. What should I do about this? Keep sending in more letters? When I call in the rep always says I wont have any problem in getting it removed but that isnt the case. I was even thinking life would be better with them being serviced by a new company, but heck no... Question,
I am preapproved for a discover IT card, do you think I should go ahead and take it? I applied for one 3/14 and was declined only due to 80%util (thanks to my care credit for a relative). The EO I spoke with for the recon a year ago basically told me once my util is below 30 I would guaranteed get approved. I honestly don't need it. I do like their cashback, basically doubling it for car rentals or flowers..... maybe I should wait and apply for it once my 15 months of no interest expires on my new amex? After hitting the luv button on my credit steps cap1 qs (no AF) and going from $1k to $3k...I am thinking I could just do a lot with that card, groceries/gas on AMEX, and be fine.
I cant believe some of the stuff I have learned about. Terms like Stoozing. People making money off of no interest cash advances by placing them in a higher yield savings account. As tempting as that sounds, and not to be judgemental, I think in the time it would take me to do all that I could focus my time and energy into something and make just as much money. But thats just me. I do love couponing/frugaling and I think its a unique/cool idea though. I also enjoyed reading about app-o-rama's. That is an interesting strategy. I don't think with my scores I would have benefited from applying for multiple amex cards. Now Chase would be my ultimate goal, thats for sure.
I gotta say, it feels so good to see others beating this defunct system. I can understand why some people are so proud of the cards they have, and their limits. But to me, it seems almost like its so hit or miss. As in there isnt much continuity. Maybe some people arent being totally honest about their past on other sites. Or really the system is just that broke. One year ago, I never would have though today my score would be 80 points higher, and that I would be able to have real credit cards. It requires self control. I would not be able to be so diligent it if it wasnt for my Amex Serve card. It is SO easy and simple to take money from one account, move it to the other, pay bills, even do couponing.
Ok. So now I have some real cards. I pay my bills on time, usually in full, if not much more than the minimum, 12 days early, every month. I avoid pulling triggers on the store cards because I read so much mixed info on them (but I gotta say the kohls card sounds tempting). What else should I be doing here to improve my credit? I own my own car, don't have a mortgage, etc. Paying on my interest for my student loans will help me financially overall. I guess maybe I could cosign on someone's car loan, which would be a big risk, but I know for a fact if they ever had issues, someone would take care of it. Since I rent, should I try to get added to a family members mortgage? I do want to have the ability to get a home loan or an auto loan without astronomical interest rates. I am not planning on buying a home in the next year.
THANKS!!!

"my score is currently at EQ 669,TU 659 myfico ex of 688" Well, that is kinda awesome! In less than a month of joining myfico two of my scores have went up 30-40 points. (and my new Amex TL isnt even part of that!) I didnt even realize it. Thank you to everyone for the great advice here. I really took advantage of the SP CLI's. I have nearly tripled my total open CL. I also found out that my one 120 day late error on a student loan is supposed to drop off after 7 years. Now on experian, it said the date was August 2016. The other two said January 2016. I wonder how big of a score increase I would see from that? I am also a little frantic here because apparently disputing things like these can cause them to be closed and reopened, and taking a big hit on AAOA, at least according to creditboards. I am also thinking that 1 more HP from CareCredit could be worthwhile. Previously they only HPd my TU. Ask for 25k CLI and hope they counter for 15-20k. They did take my 2 month old amazon and sams accounts limits from 800/1200 up to 6000/7000. My care credit will be a 0 balance in the next month or two and having 15-20k 0 balance would be awesome for my uitilzation, no? I have also decided my Commerce Bank Visa is slightly evil. While 6 months ago I never would have contemplated eliminating it (as it was my highest CC CL at the time) they are just crazy. They give people bonus points for accruing interest. Seriously? Plus their points are only worth half a cent. And now the awesome shopping portal is gone where you could get 10-15 or even 20x points. No manual CLIs. System initiated every 4-6 months. Their banks are not everywhere but also not that far away. Maybe I should initiate this loan with them? They only offer real loans of $7k or more. Otherwise they have accessible lines of credit starting at $1k. They do have decent APR for used/new cars starting at 3 percent for future reference. I am getting Citi Simplicity 0% for 21 months then 12.9% offers that have the opt out notice. Previously they were for Diamond Preferred and Doublecash at 0 for 12-18mos then 19%. Credit pulls database shows sub 700 scores getting approvals but with very low CL. Seems to me with citi if you are 740+ they automatically give you 3-5x the starting limit. I am preselected on capital one for the venture, 0 for 15 then 17.9, also another QS, and the platinum prestige. I mean yes, I really could be using the extra room to push purchases through for the rewards without having to pay off during the month. I am wondering since my QS Visa in credit steps has a 22.9% apr starting in october, maybe my angle should be to see what I am preselected for in september, take the 3 HPs but apply for 2 cap1 products Then eventually combine. I dont want duplicates. I have no personal need for 15 cards with 25k limits. But... Short term 1- 6 month goals:1. Small loan 2. Complete one 3x CLI on AMEX3. Grow or Throw the commerce bank visa.4. Potentially apply for Citi Doublecash then Venture Longer term 6-12 month goals1. Close credit one in march2. under 5% util3. Learn statement closing dates TLDR: is one HP CLI worth it for a potential 20-50% increase in overall CL?

Revenue analysis report: sap report S_ALN_01001159 : missing information

Hello,
Athough profit/loss types were linked to all update types, the profit&loss type for accrued interest update type are not reported for an unkown reason. Does anyone have good or bad experience with the standard version of this report? Any clue as to why accrued interest (e.g. update type AD1002 linked to P/L type 115 with sign "-") doesn't show up ?
Thank you very much for your help,
Carl

Q1.Has anyone ran the report and picked up accrued interest?
Answer: Yes. If you want, I can send you (by email) the evidence that this report works (with accrued interest).
Iit looks to me that the profit / loss types are "hard coded" in the underlying abap code. In our case, we created a profit/loss type 115 for accrued interest, meaning we didn't take the standard P&L type 120.
Answer: does not matter. You can use 1200, 1150 or any other. Up to Flow Category 15 (Interest Capitalization) can be used. The report works.
Q2. Does that mean that ABAP code needs to be amended?
+Answer:No. The standard report works. +
I'm using the report "S_ALN_01001151".
Best regard.
Lucciano

MM-FI Intergration

Hello SAP Experts,
I am having difficulty understanding what 'General Modification' tab in OBYC means?
I have defined my valuation classes for materials but am finding it difficult to actually assign accounts to transaction keys.
Can someone please explain various material movement types and the accounts affected due to that movement and how 'general modification' comes into picture.
I need it really badly and really urgently.
Thanks,
Elizaa

Thefollowing documentation will help you in understanding the various transactions in OBYC and also in configuring the same:
Configure Automatic Postings
In this step, you enter the system settings for Inventory Management and Invoice Verification transactions for automatic postings to G/L accounts.
You can then check your settings using a simulation function.
Under Further information there is a list of transactions in Materials Management and their definitions.
What are automatic postings?
Postings are made to G/L accounts automatically in the case of Invoice Verification and Inventory Management transactions relevant to Financial and Cost Accounting.
Example:
Posting lines are created in the following accounts in the case of a goods issue for a cost center:
Stock account
Consumption account
How does the system find the relevant accounts?
When entering the goods movement, the user does not have to enter a G/L account, since the ERP system automatically finds the accounts to which postings are to be made using the following data:
Chart of accounts of the company code
If the user enters a company code or a plant when entering a transaction, the ERP system determines the chart of accounts which is valid for the company code.
You must define the automatic account determination individually for each chart of accounts.
Valuation grouping code of the valuation area
If the automatic account determination within a chart of accounts is to run differently for certain company codes or plants (valuation areas), assign different valuation grouping codes to these valuation areas.
You must define the automatic account determination individually for every valuation grouping code within a chart of accounts. It applies to all valuation areas which are assigned to this valuation grouping code.
If the user enters a company code or a plant when entering a transaction, the system determines the valuation area and the valuation grouping code.
Transaction/event key (internal processing key)
Posting transactions are predefined for those inventory management and invoice verification transactions relevant to accounting. Posting records, which are generalized in the value string, are assigned to each relevant movement type in inventory management and each transaction in invoice verification. These contain keys for the relevant posting transaction (for example, inventory posting and consumption posting) instead of actual G/L account numbers.
You do not have to define these transaction keys, they are determined automatically from the transaction (invoice verification) or the movement type (inventory management). All you have to do is assign the relevant G/L account to each posting transaction.
Account grouping (only for offsetting entries, consignment liabilities, and price differences)
Since the posting transaction "Offsetting entry for inventory posting" is used for different transactions (for example, goods issue, scrapping, physical inventory), which are assigned to different accounts (for example, consumption account, scrapping, expense/income from inventory differences), it is necessary to divide the posting transaction according to a further key: account grouping code.
An account grouping is assigned to each movement type in inventory management which uses the posting transaction "Offsetting entry for inventory posting".
Under the posting transaction "Offsetting entry for inventory posting", you must assign G/L accounts for every account grouping, that is, assign G/L accounts.
If you wish to post price differences to different price difference accounts in the case of goods receipts for purchase orders, goods receipts for orders, or other movements, you can define different account grouping codes for the transaction key.
Using the account grouping, you can also have different accounts for consignment liabilities and pipeline liabilities.
Valuation class of material or (in case of split valuation) the valuation type
The valuation class allows you to define automatic account determination that is dependent on the material. for example: you post a goods receipt of a raw material to a different stock account than if the goods receipt were for trading goods, even though the user enters the same transaction for both materials.
You can achieve this by assigning different valuation classes to the materials and by assigning different G/L accounts to the posting transaction for every valuation class.
If you do not want to differentiate according to valuation classes you do not have to maintain a valuation class for a transaction.
Requirements
Before you maintain automatic postings, you must obtain the following information:
1. Valuation level ( plant or company code)
Establish whether the materials are valuated at plant or at company code level
When valuation is at plant level, the valuation area corresponds to a plant.
When valuation is at company code level, the valuation area corresponds to a company code.
Define valuation level
2. Chart of accounts and valuation grouping code per valuation area
Find out whether the valuation grouping code is active.
Activate split valuation
If it is not active, determine the chart of accounts assigned to each valuation area (via the company code).
If it is active, determine the chart of accounts and the valuation grouping code assigned to each valuation area.
Group valuation areas
You must define a separate account determination process for chart of accounts and each valuation grouping code.
3. Valuation class per material type
If you wish to differentiate the account determination process for specific transactions according to valuation classes, find out which valuation classes are possible for each material type.
Define valuation classes
4. Account grouping for offsetting entries to stock accounts
Under Define account grouping for movement types, determine for which movement types an account grouping is defined for the transaction/event keys GGB (offsetting entry to stock posting), KON (consignment liabilities) and PRD (price differences).
Default settings
G/L account assignments for the charts of accounts INT and the valuation grouping code 0001 are SAP standard.
Activities
1. Create account keys for each chart of accounts and each valuation grouping code for the individual posting transactions. To do so, proceed as follows:
a) Call up the activity Configure Automatic Postings.
The ERP system first checks whether the valuation areas are correctly maintained. If, for example, a plant is not assigned to a company code, a dialog box and an error message appear.
From this box, choose Continue (next entry) to continue the check.
Choose Cancel to end the check.
The configuration menu Automatic postings appears.
b) Choose Goto -> Account assignment.
A list of posting transactions in Materials Management The Account determination indicator shows whether automatic account determination is defined for a transaction.
c) Choose a posting transaction.
A box appears for the first posting transaction. Here you can enter a chart of accounts.
You can enter the following data for each transaction:
Rules for account number assignments
With Goto -> Rules you can enter the factors on which the account number assignments depend:
- debit/credit indicator
- general grouping (= account grouping)
- valuation grouping
- valuation class
Posting keys for the posting lines
Normally you do not have to change the posting keys. If you wish to use new posting keys, you have to define them in the Customizing system of Financial Accounting.
Account number assignments
You must assign G/L accounts for each transaction/event key (except KBS). You can assign these accounts manually or copy them from another chart of accounts via Edit -> Copy.
If you want to differentiate posting transactions (e.g. inventory postings) according to valuation classes, you must make an account assignment for each valuation class.
Using the posting transaction "Offsetting entry for inventory posting", you have to make an account assignment for each account grouping
If the transaction PRD (price differences) is also dependent on the account grouping, you must create three account assignments:
- an account assignment without account grouping
- an account assignment with account grouping PRF
- an account assignment with account grouping PRA
If the transaction KON (consignment and pipeline liabilities) is also dependent on the account grouping, you must create two account assignments:
- an account assignment without account grouping (consignment)
- an account assignment with account grouping (pipeline)
d) Save your settings.
2. Then check your settings with the simulation function.
With the simulation function, you can simulate the following:
Inventory Management transactions
Invoice Verification transactions
When you enter a material or valuation class, the ERP system determines the G/L accounts which are assigned to the corresponding posting transactions. Depending on the configuration, the SAP system checks whether the G/L account exists
In the simulation you can compare the field selection of the movement type with that of the individual accounts and make any corrections.
If you want to print the simulation, choose Simulation -> Report.
To carry out the simulation, proceed as follows:
a) Choose Settings to check the simulation defaults for
- the application area (Invoice Verification or Inventory Management)
- the input mode (material or valuation class)
- account assignment
Instructions
b) Choose Goto -> Simulation.
The screen for entering simulation data appears.
c) Depending on the valuation level, enter a plant or a company code on the screen.
d) When you simulate Inventory Management transactions, goods movements are simulated. The ERP system suggests the first movement type for simulation. If several movements are possible with this movement type, you can select a line.
When you simulate Invoice Verification transactions, a list appears on the screen of the possible transaction types. Select a line.
e) Then choose Goto -> Account assignments.
A list appears of the posting lines which can be created by the selected transaction. For each posting line, the G/L account for the debit posting as well as the G/L account for the credit posting are displayed.
f) From this screen, choose Goto -> Movement+ to get a list of the posting lines for the next movement type or transaction type.
If you work with valuation classes, choose Goto -> Valuation class+ to receive the simulation for the next valuation class. This function is not possible when simulating with material numbers.
Choose Goto -> Check screen layout to compare the movement type with the G/L accounts determined by the system and make any necessary corrections.
Note
The simulation function does NOT obviate the need for a trial posting!
Further notes
The following list shows the individual transactions with examples of how they are used. The transaction/event key is specified in brackets.
Agency business: income (AG1)
This transaction can be used in agency business for income deriving from commission (e.g. del credere commission). The account key is used in the calculation schemas for agency business to determine the associated revenue accounts.
Agency business: turnover (AG2)
This transaction can be used in agency business if turnover (business volume) postings are activated in Customizing for the payment types. The account key is specified in Customizing for the billing type.
Agency business: expense (AG3)
This transaction can be used in agency business for commission expenses. The account key is used in the calculation schemas for agency business to determine the associated expense accounts.
Expense/revenue from consumption of consignment material (AKO)
This transaction is used in Inventory Management in the case of withdrawals from consignment stock or when consignment stock is transferred to own stock if the material is subject to standard price control and the consignment price differs from the standard price.
Expenditure/income from transfer posting (AUM)
This transaction is used for transfer postings from one material to another if the complete value of the issuing material cannot be posted to the value of the receiving material. This applies both to materials with standard price control and to materials with moving average price control. Price differences can arise for materials with moving average price if stock levels are negative and the stock value becomes unrealistic as a result of the posting. Transaction AUM can be used irrespective of whether the transfer posting involves a transfer between plants. The expenditure/income is added to the receiving material.
Provisions for subsequent (end-of-period rebate) settlement (BO1
If you use the "subsequent settlement" function with regard to conditions (e.g. for period-end volume-based rebates), provisions for accrued income are set up when goods receipts are recorded against purchase orders if this is defined for the condition type.
Income from subsequent settlement (BO2)
The rebate income generated in the course of "subsequent settlement" (end-of-period rebate settlement) is posted via this transaction.
Income from subsequent settlement after actual settlement (BO3)
If a goods receipt occurs after settlement accounting has been effected for a rebate arrangement, no further provisions for accrued rebate income can be managed by the "subsequent settlement" facility. No postings should be made to the account normally used for such provisions. As an alternative, you can use this transaction to post provisions for accrued rebate income to a separate account in cases such as the one described.
Supplementary entry for stock (BSD)
This account is posted when closing entries are made for a cumulation run. This account is a supplementary account to the stock account; that is, the stock account is added to it to determine the stock value that was calculated via the cumulation. In the process, the various valuation areas (for example, commercial, tax), that are used in the balance sheet are taxed separately.
Change in stock (BSV)
Changes in stocks are posted in Inventory Management at the time goods receipts are recorded or subsequent adjustments made with regard to subcontract orders.
If the account assigned here is defined as a cost element, you must specify a preliminary account assignment for the account in the table of automatic account assignment specification (Customizing for Controlling) in order to be able to post goods receipts against subcontract orders. In the standard system, cost center SC-1 is defined for this purpose.
Stock posting (BSX)
This transaction is used for all postings to stock accounts. Such postings are effected, for example:
In inventory management in the case of goods receipts to own stock and goods issues from own stock
In invoice verification, if price differences occur in connection with incoming invoices for materials valuated at moving average price and there is adequate stock coverage
In order settlement, if the order is assigned to a material with moving average price and the actual costs at the time of settlement vary from the actual costs at the time of goods receipt
Because this transaction is dependent on the valuation class, it is possible to manage materials with different valuation classes in separate stock accounts.
Caution
Take care to ensure that:
A stock account is not used for any transaction other than BSX
Postings are not made to the account manually
The account is not changed in the productive system before all stock has been booked out of it
Otherwise differences would arise between the total stock value of the material master records and the balance on the stock account.
Account determination of valuated sales order stock and project stock
Note that for valuated sales order stock and project stock (special stock E and Q) and for the transaction/event keys BSX and GBB, you must maintain an account determination to avoid receiving warning messages when entering data (purchase order or transfer posting) for valuated stock.
During data entry, the system attempts to execute a provisional account determination for GBB for valuated stock. The system will only replace the provisional account determination for GBB with the correct account determination for the stock account (BSX), in the background, if you enter the data for valuated stock at a later point in time.
Revaluation of other consumption (COC)
This transaction/event key is required for the revaluation of consumption in Actual Costing/Material Ledger.
Revaluation of consumption valuates single-level consumption using the actual prices determined in the Actual Costing/Material Ledger application. This revaluation can either take place in the account where the original postings were made, or in a header account.
The header account is determined using the transaction/event key COC.
Del credere (DEL)
Transaction/event key for the payment/invoice list documents in Purchasing. The account key is needed in the calculation schema for payment/settlement processing to determine the associated revenue accounts.
Small differences, Materials Management (DIF)
This transaction is used in Invoice Verification if you define a tolerance for minor differences and the balance of an invoice does not exceed the tolerance.
Purchase account(EIN), purchase offsetting account (EKG), freight purchase account (FRE)
These transactions are used only if Purchase Account Management is active in the company code.
Note
Due to special legal requirements, this function was developed specially for certain countries (Belgium, Spain, Portugal, France, Italy, and Finland).
Before you use this function, check whether you need to use it in your country.
Freight clearing (FR1), provision for freight charges (FR2), customs duty clearing (FR3), provision for customs duty (FR4)
These transactions are used to post delivery costs (incidental procurement costs) in the case of goods receipts against purchase orders and incoming invoices. Which transaction is used for which delivery costs depends on the condition types defined in the purchase order.
You can also enter your own transactions for delivery costs in condition types.
External service (FRL)
The transaction is used for goods and invoice receipts in connection with subcontract orders.
If the account assigned here is defined as a cost element, you must specify a preliminary account assignment for the account in the table of automatic account assignment specification (Customizing for Controlling) in order to be able to post goods receipts against subcontract orders. In the standard system, cost center SC-1 is defined for this purpose.
External service, delivery costs (FRN)
This transaction is used for delivery costs (incidental costs of procurement) in connection with subcontract orders.
If the account assigned here is defined as a cost element, you must specify a preliminary account assignment for the account in the table of automatic account assignment specification (Customizing for Controlling) in order to be able to post goods receipts against subcontract orders. In the standard system, cost center SC-1 is defined for this purpose.
Offsetting entry for stock posting (GBB)
Offsetting entries for stock postings are used in Inventory Management. They are dependent on the account grouping to which each movement type is assigned. The following account groupings are defined in the standard system:
AUA: for order settlement
AUF: for goods receipts for orders (without account assignment)
and for order settlement if AUA is not maintained
AUI: Subsequent adjustment of actual price from cost center directly
to material (with account assignment)
BSA: for initial entry of stock balances
INV: for expenditure/income from inventory differences
VAX: for goods issues for sales orders without
account assignment object (the account is not a cost element)
VAY: for goods issues for sales orders with
account assignment object (account is a cost element)
VBO: for consumption from stock of material provided to vendor
VBR: for internal goods issues (for example, for cost center)
VKA: for sales order account assignment
(for example, for individual purchase order)
VKP: for project account assignment (for example, for individual PO)
VNG: for scrapping/destruction
VQP: for sample withdrawals without account assignment
VQY: for sample withdrawals with account assignment
ZOB: for goods receipts without purchase orders (mvt type 501)
ZOF: for goods receipts without production orders
(mvt types 521 and 531)
You can also define your own account groupings. If you intend to post goods issues for cost centers (mvt type 201) and goods issues for orders (mvt type 261) to separate consumption accounts, you can assign the account grouping ZZZ to movement type 201 and account grouping YYY to movement type 261.
Caution
If you use goods receipts without a purchase order in your system (movement type 501), you have to check to which accounts the account groupings are assigned ZOB
If you expect invoices for the goods receipts, and these invoices can only be posted in Accounting, you can enter a clearing account (similar to a GR/IR clearing account though without open item management), which is cleared in Accounting when you post the vendor invoice.
Note that the goods movement is valuated with the valuation price of the material if no external amount has been entered.
As no account assignment has been entered in the standard system, the assigned account is not defined as a cost element. If you assign a cost element, you have to enter an account assignment via the field selection or maintain an automatic account assignment for the cost element.
Account determination of valuated sales order stock and project stock
Note that for valuated sales order stock and project stock (special stock E and Q) and for the transaction/event keys BSX and GBB, you must maintain an account determination to avoid receiving warning messages when entering data (purchase order or transfer posting) for valuated stock.
During data entry, the system attempts to execute a provisional account determination for GBB for valuated stock. The system will only replace the provisional account determination for GBB with the correct account determination for the stock account (BSX), in the background, if you enter the data for valuated stock at a later point in time.
Purchase order with account assignment (KBS)
You cannot assign this transaction/event key to an account. It means that the account assignment is adopted from the purchase order and is used for the purpose of determining the posting keys for the goods receipt.
Exchange Rate Differences Materials Management(AVR) (KDG)
When you carry out a revaluation of single-level consumption in the material ledger for an alternative valuation run, the exchange rate difference accounts of the materials are credited with the exchange rate differences that are to be assigned to the consumption.
Exchange rate differences in the case of open items (KDM)
Exchange rate differences in the case of open items arise when an invoice relating to a purchase order is posted with a different exchange rate to that of the goods receipt and the material cannot be debited or credited due to standard price control or stock undercoverage/shortage.
Differences due to exchange rate rounding, Materials Management (KDR)
An exchange rate rounding difference can arise in the case of an invoice made out in a foreign currency. If a difference arises when the posting lines are translated into local currency (as a result of rounding), the system automatically generates a posting line for this rounding difference.
Exchange Rate Differences from Lower Levels (KDV)
In multi-level periodic settlement in the material ledger, some of the exchange rate differences that have been posted during the period in respect of the raw materials, semifinished products and cost centers performing the activity used in the manufacture of a semifinished or finished product are debited or credited to that semifinished or finished product.
Consignment liabilities (KON)
Consignment liabilities arise in the case of withdrawals from consignment stock or from a pipeline or when consignment stock is transferred to own stock.
Depending on the settings for the posting rules for the transaction/event key KON, it is possible to work with or without account modification. If you work with account modification, the following modifications are available in the standard system:
None for consignment liabilities
PIP for pipeline liabilities
Offsetting entry for price differences in cost object hierarchies (KTR)
The contra entry for price difference postings (transaction PRK) arising through settlement via material account determination is carried out with transaction KTR.
Accruals and deferrals account (material ledger) (LKW)
If the process of material price determination in the material ledger is not accompanied by revaluation of closing stock, the price and exchange rate differences that should actually be applied to the stock value are contra-posted to accounts with the transaction/event key LKW.
If, on the other hand, price determination in the material ledger is accompanied by revaluation of the closing stock, the price and exchange rate
differences are posted to the stock account (i.e. the stock is revalued).
Price Difference from Exploded WIP (Lar.) (PRA)
If you use the WIP revaluation of the material ledger, the price variances of the exploded WIP stock of an activity type or a business process are posted to the price differences account with transaction/event key PRA.
Differences (AVR Price) (PRC)
In the alternative valuation run in the material ledger, some of the variances that accrue interest in the cost centers, are transfer posted to the semifinished or finished product.
Price differences (PRD)
Price differences arise for materials valuated at standard price in the case of all movements and invoices with a value that differs from the standard price. Examples: goods receipts against purchase orders (if the PO price differs from the standard pricedardpreis), goods issues in respect of which an external amount is entered, invoices (if the invoice price differs from the PO price and the standard price).
Price differences can also arise in the case of materials with moving average price if there is not enough stock to cover the invoiced quantity. In the case of goods movements in the negative range, the moving average price is not changed. Instead, any price differences arising are posted to a price difference account.
Depending on the settings for the posting rules for transaction/event key PRD, it is possible to work with or without account modification. If you use account modification, the following modifications are available in the standard system:
None for goods and invoice receipts against purchase orders
PRF for goods receipts against production orders and
order settlement
PRA for goods issues and other movements
PRU for transfer postings (price differences in the case
Price Differences (Material Ledger, AVR) (PRG)
When you carry out a revaluation of single-level consumption in the material ledger during the alternative valuation run, the price difference accounts of the materials are credited with the price differences that are to be assigned to the consumption.
Price differences in cost object hierarchies (PRK)
In cost object hierarchies, price differences occur both for the assigned materials with standard price and for the accounts of the cost object hierarchy. In the course of settlement for cost object hierarchies after settlement via material account determination, the price differences are posted via the transaction PRK.
Price Difference from Exploded WIP (Mat.) (PRM)
If you use the WIP revaluation of the material ledger, the price and exchange rate differences of the exploded WIP stock of a material are posted to the price difference account with transaction/event key PRM.
Price differences, product cost collector (PRP)
During settlement accounting with regard to a product cost collector in repetitive manufacturing, price differences are posted with the transaction PRP in the case of the valuated sales order stock.
This transaction is currently used in the following instances only:
- Production cost collector in Release 4.0
- Product cost collector in IS Automotive Release 2.0 (product cost collector in connection with APO)
Offsetting entry: price differences, product cost collector (PRQ)
The offsetting (contra) entry to price difference postings (transaction PRP) in the course of settlement accounting with respect to a product cost collector in repetitive manufacturing in the case of the valuated sales order stock is carried out via transaction PRQ.
This transaction is currently used in the following instances only:
- Production cost collector in Release 4.0
- Product cost collector in IS Automotive Release 2.0 (product cost collector in connection with APO)
Price Differences from Lower Levels (PRV)
In multi-level periodic settlement in the material ledger, some of the price differences posted during the period in respect of the raw materials, semifinished products, and cost centers performing the activity used in a semifinished or finished product, are transfer posted to that semifinished or finished product.
Price differences for material ledger (PRY)
In the course of settlement in the material ledger, price differences from the material ledger are posted with the transaction PRY.
Expense and revenue from revaluation (retroactive pricing, RAP)
This transaction/event key is used in Invoice Verification within the framework of the revaluation of goods and services supplied for which settlement has already taken place. Any difference amounts determined are posted to the accounts assigned to the transaction/event key RAP (retroactive pricing) as expense or revenue.
At the time of the revaluation, the amounts determined or portions thereof) are posted neither to material stock accounts nor to price difference accounts. The full amount is always posted to the "Expense from Revaluation" or "Revenue from Revaluation" account. The offsetting (contra) entry is made to the relevant vendor account.
Invoice reductions in Logistics Invoice Verification (RKA)
This transaction/event key is used in Logistics Invoice Verification for the interim posting of price differences in the case of invoice reductions.
If a vendor invoice is reduced, two accounting documents are automatically created for the invoice document. With the first accounting document, the amount invoiced is posted in the vendor line. An additional line is generated on the invoice reduction account to partially offset this amount. With the second accounting document, the invoice reduction is posted in the form of a credit memo from the vendor. The offsetting entry to the vendor line is the invoice reduction account. Hence the invoice reduction account is always balanced off by two accounting documents within one transaction.
Provision for delivery costs (RUE)
Provisions are created for accrued delivery costs if a condition type for provisions is entered in the purchase order. They must be cleared manually at the time of invoice verification.
Taxes in case of transfer posting GI/GR (TXO)
This transaction/event key is only relevant to Brazil (nota fiscal).
Revenue/expense from revaluation (UMB)
This transaction/event key is used both in Inventory Management and in Invoice Verification if the standard price of a material has been changed and a movement or an invoice is posted to the previous period (at the previous price).
Expenditure/income from revaluation (UMD)
This account is the offsetting account for the BSD account. It is posted during the closing entries for the cumulation run of the material ledger and has to be defined for the same valuation areas.
Unplanned delivery costs (UPF)
Unplanned delivery costs are delivery costs (incidental procurement costs) that were not planned in a purchase order (e.g. freight, customs duty). In the SAP posting transaction in Logistics Invoice Verification, instead of distributing these unplanned delivery costs among all invoice items as hitherto, you have the option of posting them to a special account. A separate tax code can be used for this account.
Input tax, Purchasing (VST)
Transaction/event key for tax account determination within the "subsequent settlement" facility for debit-side settlement types. The key is needed in the settlement schema for tax conditions.
Inflation posting (WGB)
Transaction/event key that posts inflation postings to a different account, within the handling of inflation process for the period-end closing.
Goods issue, revaluation (inflation) (WGI)
This transaction/event key is used if already-posted goods issues have to be revaluated following the determination of a new market price within the framework of inflation handling.
Goods receipt, revaluation (inflation) (WGR)
This transaction/event key is used if already-effected transfer postings have to be revaluated following the determination of a new market price within the framework of inflation handling. This transaction is used for the receiving plant, whereas transaction WGI (goods receipt, revaluation (inflation)) is used for the plant at which the goods are issued.
WIP from Price Differences (Internal Activity) (WPA)
When you use the WIP revaluation of the material ledger, the price variances from the actual price calculation that are to be assigned to the WIP stock, an activity type or a business process are posted to the WIP account for activities.
WIP from Price Differences (Material) (WPM)
When you use the WIP revaluation of the material ledger, the price and exchange rate differences that are to be assigned to the WIP stock of a material are posted to the WIP account for material.
GR/IR clearing (WRX)
Postings to the GR/IR clearing account occur in the case of goods and invoice receipts against purchase orders. For more on the GR/IR clearing account, refer to the SAP Library (documentation MM Material Valuation).
Caution
You must set the Balances in local currency only indicator for the GR/IR clearing account to enable the open items to be cleared. For more on this topic, see the field documentation.
GR/IR clearing for material ledger (WRY)
This transaction/event key is not used from Release 4.0 onwards.
Prior to 4.0, it was used for postings to the GR/IR clearing account if the material ledger was active. As of Release 4.0, the transaction is no longer necessary, since postings to the GR/IR account in parallel currencies are possible.
Customers who used the transaction WRY prior to Release 4.0 must make a transfer posting from the

Index-link bonds

Hi, everbody!
I need explaining how system calculate coupons with index.
Example:
We have index-linked bonds. Time of paiying coupons - 2 time in year - 29/04/ and 29/10. Nominal value - 15 USD, percentage rate - 9%.. Issue start - 29/04/2006, end of tem - 29/06/2014, first calculate date of coupons - 29/10/2008.
We buy 36900 units of bonds 20/07/2009 with price 15,581895 usd.
iNDEX VALUE AT 20/07/2009 - 0,888918. Payment amount of purchase - 511 102,90, Accrued interest - 9 963,33.
Next accrue interest will 30/11/2009, iNDEX VALUE AT that date - 0,876045, index clean value at 29/10/2009 - 25 322,63. So how system has to accrue interest with index value to 30/11/2009?
Regards, Gulzhan.

Hi Gulzhan
I saw your question on the form regarding index link bonds, did you manage to it right. If so kindly takes me through how to configure these and get the pricing right.
Victor

1099 Questions

I have the following 2 questions regarding 1099s. One has to do with the fact that I read somewhere that after you have added tax number information to a vendor (s), that there is a program that you need to run so that SAP will flag the appropriate previously recorded payment information so that it will be reported on the vendors 1099. Can someone please tell me what the program name is?
Second question has to do with the Payers (company code) name, address, and tax identification number that appears on the 1099.. Where is this entered into the system. When I print out my 1099s for 2007, this information is blank (I have the recipients information but not the payers). I am sure that there is some configuration type setting or master data that I have failed to enter. I would appreciate it if someone would tell me where I need to enter this information.
Thanks in advance for your assistance.
Greg Brown
FI/CO consultant

Hi Greg,
Below is the sequence of steps to process the 1099 (SAP term Withholding Tax) vendor invoice
1.     Enter WT tax type, WT tax code and check mark liable box in the vendor master.
2.     Enter only those relevant tax types and tax codes that are really applicable to that vendor master. Entering additional/non-relevant tax type and code in vendor master do not do any good instead it will increase additional work at the time of recording vendor invoice.
3.     At the time of recording vendor invoice, WT types and codes information moves from vendor master to the transaction screen and per configuration full invoice value will be assumed subject to 1099 information.
4.     If the vendor master has multiple lines of WT types and codes then at the time recording vendor invoice go to WT tab and enter $0.00 to those lines that are not applicable. If the full amount invoice is not subject to 1099 information but only part of the invoice amount then enter only that $ amount in the column WT base column. For example vendor invoice is entered for repayment of principle amount + accrued interest then enter only interest amount in appropriate WT line. Repayment of capital amount is not subject to 1099 reporting.
5.     If the invoice is entered with WT code that requires withhold back tax and pay to IRS the tax amount e.g. tax code D2 that has 31% back tax, then at the time payment of invoice, using t.code F110 or F-58, system will calculate back tax automatically. Invoice will be paid less by back tax. Back tax amount will be recorded in GL.
6.     Incase vendor invoice is to be paid though manual check or wire transfer (over the telephone and not system generated) and subsequent recording is to be done through t.code F.53 then calculate the WT manually and pay the remainder of the amount. On the open item screen of t.code F.53 payable will show net of back tax and on saving of document it will trigger the automatic entry to GL for back tax.
7.     Execute program RFWT0020 after step 8 to populate WT information to already posted/paid invoices and verify the correctness.
8.     Please work with program RFIDYYWT to generate electronic file for yearly IRS reporting. On this please stay with SAP delivered standard WT tax codes and type that will ease in 1099 reporting.
Important OSS note in this are 363650 and 649417.
If this is usefull,please assign points.
Thanks,
Rau

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