Applying Advance Payment(receipt) to Agreement

Hi Guys,
Well we have following requirement
At the start of project company request the advance payment from client. So this we doing the following
1) Send the AR Invoice to client for Advance Payment
2) Once the Advance received we create a AR receipt by entering amount received and the customer name (same as the one on the agreement)
3) Set up the receipt to be 'On Account.'
4) In project billing Appy the receipt to the agreement.
SO when we apply the receipt to agreement it applied the whole amount of the advance receipt amount & in the invoice whole advance amount is deducted but the client want to apply only the percenetage or the fixed amount of advance each time they generate the invoice.
Any ideas how to handle the situation?
Regards,

Hi
We have a solution for similar requirement in release 11i. Our solution is not using the advances link to the agreement (which is only available with R12.1). The feature Oracle released is not going to solve your requirement, anyhow.
We bill from Projects, using an event type called "Prepayment Claim". The invoice is released, and cash is applied to that invoice.
Later on, when billing for deliverables or work, we have a billing extension that automaticly create a negative event of "Prepayment Reduction". The code will calculate the amount to deduct based on the commercial terms, which we have on the project contract (OKE), or you may have on the agreement DFF.
So the invoice we generate has only the net amount that we ask customer to pay. The customized printout format of the invoice shows total invoiced and then amount of deduction and last raw of net total due.
Dina

Similar Messages

Advance Payment

Dear All
can anyone pls explain how to deal with Advance Payment Receipt in ISRetail (Without a billing Plan) and if its cancelled without delivery ,subsequently i have to raise a Credit note for that customer pls advise me how to go about

At the time of Advance Payment PO no is maintainted .
MM guy take the Print out (There is no Std u hav to develop)
Then FI guy do the Posting.
Then Rest process U know.
MIRO is done By FI.
I hope now ur Clear.
Regards
Biswajit

WHT on advance payment

Hi,
I have configured WHT for customers on gross up basis. WHT is posting to clearing account at the time of advance payment receipt. But the same is not reversing at the time down payment transfer using F-39 transaction. What could be the reason for not reversing the WHT while down payment transfer to Invoice.
Regards
P.V. Koteswara Rao

Hi,
Could any one response this requirment. Requirement is "What ever is the TDS deducted has to be reversed at the time of Invoice" or at the time of transfer using f-39 T.Code. What are the settings required for auto reversal of WHT on down payment.
Your immediate reply is appreciated.
thanks
Koteswara Rao

TDS on Sales Invoice and TDS on Advance Payment

Hi All
Can any one explain the below WHT scenario.
"If we get advance payment from customer and after some time (15days) we have posted an sales invoice against him. Now on which amount we have to deduct TDS. (At the time of Advance from Customer we have deducted TDS).
Again we have to deduct TDS on Sales Invoice or not?
Thanks
Chandra

Hi Chandra,
First of all, TDS means Tax Deduction at Source and so it does not apply to receipts from customers. It applies only in case where we pay to our vendors. While we receive the payment from our customers, its the customer who deducts the TDS and not we. We only book the total Invoice that we book as revenue and take the TDS certificate at the end of the year from the customer and submit it to the IT dept. By submitting the TDS certificates, we need not pay tax to the extent of TDS certificates.
So its only when we make advance payment to our vendors/sub-contractors or while booking the invoice of our vendors (whichever is earlier) that we have to deduct TDS.
Hope you understand this. Kindly revert if u need further information.
Regards,
CA. Karthik Narayan N S
SAP-FICO Consultant

Advance payment Condition in PO

Dear all,
Could any body say,is there any provision to mention Advance payment condition in Purchase Order.Please advise at the earliest possible.For suitable answer points would be assigned.
Regards,
NSB

Hello NSB,
The invoicing plan is a facility that allows you to schedule desired invoicing dates for planned procurements independently of the receipt of the relevant goods or performance of the relevant services. It lists the dates on which you wish to create and then pay the invoices in question.
You do not wait each time for the vendor to submit an invoice for goods supplied or services performed, but can have invoices created automatically by the system on the basis of the data available in the purchase order and then release them for payment to the vendor.
Integration: When you save the invoicing plan, data is passed on to purchase order commitments, and to Cash Management and Forecast.
Prerequisites: To be able to work with invoicing plans:
You must maintain certain settings in Customizing for Purchasing under Purchase Order à Invoicing Plan, such as the following:
Invoicing plan type
Date categories
Date descriptions
Date proposals
The PO item must have account assignment
You must use Logistics Invoice Verification
If you wish to use automatic settlement for periodic invoicing plans, automatic invoice creation must be agreed with your vendor. Eval. receipt sett. delivery must be selected in the vendor master record.
SAP recommends working with the order type FO (framework order).
An extended validity period and a "reason for cancellation" are defined in the header of this type of purchase order. The specified validity period is adopted for the invoicing plan.
If you work with standard purchase orders, you must maintain the date determination rules accordingly in Customizing, since there is no predefined validity period that can be adopted in the invoicing plan.
Features: The following two types of invoicing plan are available:
Periodic invoicing plan
Partial invoicing plan
Periodic Invoicing Plan
The periodic invoicing plan can be used for regularly recurring procurement transactions (e.g. rental, leasing, or subscriptions).
It facilitates the largely automatic creation and payment of invoices within the framework of the invoice verification process. The periodic invoicing plan uses evaluated receipt settlement (ERS) program functionality.
In the case of the periodic invoicing plan, the total value of the PO item is invoiced on each due date.
Example- A monthly sum of $600 is charged for a leased car (represented by an item of a PO). This sum is invoiced and paid on the last day but one of each month.
In Customizing for Purchasing, you can define whether the dates are to be maintained manually or whether the system is to suggest invoicing dates according to the specified rules.
Partial Invoicing Plan: The partial invoicing plan can be used for the invoicing of high-cost material or projects involving the procurement of external services that are to be subject to stage payments (such as plant construction projects, or the invoicing of individual stages of a building project following completion in each case).You can also flag due dates in a partial invoicing plan as dates for advance payments.
The amounts corresponding to these dates are then not taken into account in the sum total of the invoice items because advance payments are set off against later invoices. In the case of the partial invoicing plan, the total value of the PO item is broken down and spread over the individual dates of the invoicing plan.
A purchase order item relates to building project no. 1 with a total value of $900,000. 33.3% ($300,000) of the total value is due to be invoiced and paid on completion of the first phase of construction, a further 33.3% ($300,000) on completion of the second phase, and the rest ($300,000) following completion and acceptance of the 3rd and final phase.
In the partial invoicing plan, you wish to maintain the invoicing dates agreed with the vendor yourself. Therefore there is no system support in the form of date proposals.
However, if you wish to have due dates suggested by the system as an entry aid, you can reference an existing plan when creating a new invoicing plan. Date proposals can then be adopted from the former.
Hope this helps. pelase assign points...
Rgds
manish

Apply a Payment to an Invoice via DI API

Good day,
I'm trying to apply a payment to an invoice through the DI API. All I did was follow the sample code in the included reference document but it gives me a runtime error "invalid cardcode". Any help would be appreciated.
Thanks in advance!

Hey Guys,
The sample code it is not connected to any Invoice, it is posting a cash receipt (payment without reference ib B1).
The correct code is
Dim vPay As SAPbobsCOM.Payments = oCompany.GetBusinessObject(BoObjectTypes.oIncomingPayments)
        vPay.CardCode = "ACC" ' ENTER HERE A VALID CARDCODE
        vPay.CashAccount = "38110100" ' ENTER HERE A VALID CASH G/L ACCOUNT
        vPay.CashSum = 84 ' ENTER HERE A VALID AMOUNT (eg DocTotal)
        vPay.DocDate = Date.Today()
        vPay.VatDate = Date.Today()
        vPay.DueDate = Date.Today()
        vPay.TaxDate = Date.Today()
        vPay.LocalCurrency = BoYesNoEnum.tYES
        vPay.Invoices.DocEntry = 13 ' ENTER HERE THE INVOICE DOCENTRY
        vPay.Invoices.DocLine = 0
        vPay.Invoices.InvoiceType = BoRcptInvTypes.it_Invoice
        vPay.Invoices.SumApplied = 84 ' ENTER HERE A VALID AMOUNT (eg DocTotal)
       If (vPay.Add() <> 0) Then
            MsgBox(oCompany.GetLastErrorDescription)
        End If
Regards
János

How Prepayment or Advance Payments handle in Projects?

Hi Experts,
I hope some one can give me guidance on handling the advance payments (Prepayments) in projects by project customers. on R12.0.6.
Say I have agreement with customer A of amount 1,00,000 INR on project B. Customer has already paid 10,000/- INR at start of the project. In such scenario how can i generte invoice and revenue for amount 90,000/- INR ?
I have constraint to create the agreement of 100,000/- INR and utillised complete funding.
Please guide.
Thanks
:-)

Hi
When you link prepayment received in AR to an Agreement in PA, the funding is not affected. It is only a way to indicate that amount which was already received and will be applied to invoices over time.
Pre R12.1 ; you still can use the same method, just enable a DFF on the agreement to capture the fact that prepayment has been received.
Using such method the invoices themselves will show the full amount, the value of the deliverables. You might want to add a note / comment on the invoice to indicate to your customer that you already received part of the money as prepayment.
The alternate solution, using billing extensions, is taking a different approach. You could enable a DFF on the agreement to indicate the prepayment you are expecting to get, and the liquidation method from future invoices.
On that project enter a manual event of type "prepayment", with the amount of the prepayment claim. Generate a draft invoice with only that event and send to customer. Apply the prepayment amount you receive to that invoice in AR.
Billing extension will be called by GDI when generating invoices (not prepayment claims). The logic will calculate the reduction amount and create a negative event of type "prepayment reduction". The automatic event will be included in the invoice, reducing the total amount of the invoice to the net amount you need customer to pay.
With that approach the prepayment claim is considered an invoice, which you treat as standard invoices in AR. With that approach the fund is used by prepayment invoice and later by the net amount of further invoices.
Dina

How to do advance payment against PO for this is there any T.code

Hello,
Lt's say for ex: Once Po is created how to pay the advance payment against PO to the vendor, for that is there any transaction code.
Once advance payment is made against PO, again system should not allow for ammendement
So like this to control the system what are the configuration settings need to be done please explain
Early action in this matter will be highly appreciated.

Hi,
Apply the user exit : EXIT_SAPMM06E_016
Following Logic can be use:
1. Validate the company code (BUKRS ) & Purchasing document type (BSTYP = F) from EKKO table for the Purchase order number (EBELN).
2. Check the entries for the Purchase order and the item number in the Purchase order history table ( EKBE) and also Validate if there is any down payment document exists (VGABE = 4)
3. If we find down payment doc in EKBE table then display the warning or error message as POP - UP by using functional module POPUP_TO_CONFIRM.
Step 1: Validate Company code and Purchasing Document type from EKKO table
Step 2: Check the Purchasing document history from EKBE table
Step 3: Check whether any down payment exists.
Step 4: Display popup message to user:
Use the function module u201CPOPUP_TO_CONFIRMu201D to display the below message u201CPo cannot be changed, Down payment already exists for this PO item u201D.
Edited by: redriver on Nov 27, 2011 10:06 AM

A/R Advanced Payment Steps Confirmation

I need some confirmation regarding advanced payments from customers. I have read in the forums that advanced payments can not be linked to a sales order and the suggestion was to use the remark field to make note of the payment. Using the remark field is not an option for me. So as I understand it the steps for processing an advanced payment from a customer would be as follows.
1.     Create sales order for amount $1,000.
2.     Create A/R Down Payment invoice for $1,000
3.     Create incoming payment $1,000
4.     Create delivery off the sales order
5.     Create invoice with $0 balance due from the delivery
Correct?
It just seems steps 1-3 are a lot of work that could be avoided if SBO simply added a deposit field to the sales order window that posted the payment once the sales order was saved. Iu2019m not a programmer so I just have to work with what comes out of the box.

I am having an issue applying a payment to the reserve invoice. Initially I posted my advanced payment steps as follows.
1. Create sales order for amount $1,000.
2. Create A/R Down Payment invoice for $1,000
3. Create incoming payment $1,000
4. Create delivery off the sales order
5. Create invoice with $0 balance due from the delivery
Based on Gordon's suggestion step 2 above would be an A/R Reserve Invoice. After doing so I moved on to step 3 and entered an incoming payment. I then selected the checkbox next to the A/R Reserve Invoice in the rows below in the "Incoming Payments" window. Lastly I click the "Add" button, but B1 throws up a message "...amount to be paid is not matched to existing transactions. Do you want to post this amount as a Payment on Account?"
I don't understand why I am getting this message. If the payment I've entered is matched to the reserve invoice what's wrong? Am I missing a step or do something out of sequence? I even created the delivery from the AR Reserve Invoice and still had the same problem applying the payment to the AR Reserve Invoice.

Advance payment in SO

Hello Experts,
My client gets the 70% advance payment once he sends the proforma invoice.My query is that once he gets the payment he will do the manual advance payment entry.But my client wants the payment shoud reflect the SO.I understand it has link with customer but the client wants to see in the SO.When he creates the advance payment it shoud reflect to the respective SO & the user should able to view in the SO that the 70% payment has been received.
OR
Can we apply the customer prepayment in Sales order entry instead of AR?
Kindly suggest.
Thanks
Shri..

Hello,
Your client receives 70% advance payment after receiving Proforma Invoice - This means that Sales Order is already created & you want to view the amount of advance payment received in the Sales Order?
I doubt this is possible in SAP Standard. My suggestion would be to go for Enhancement which will give you this details in Additional Data B Tab of the Sales Order. In this Additional Data Tab you can define a feild which will fetch & display the amount Advance Payment received from the Customer & Other FI details (like date of Payment received, Customer Outstanding, etc) if required.
This would be purely a Enhancement (Z-development).
Hope this helps,
Thanks,
JIgnesh Mehta

Advance payment aging

Hi All,
have you ever heard about advance payment aging ? I'm very confusing about it.
In this case, the scenario is as follows:
1. the advance payment is created after PO have made by purchasing user but no GRPO yet. The journal is
Dr advpay
Cr. bank
both are in the asset
2. PO confirm 30% as DP (down payment)
3. 10 days after DP1 must pay 50%
4. good arrived in the ship port and the remaining due is full paid then.
5. Creating advance payment aging
6.Set reminder for advance payment aging
How to accomplish / apply the above scenario in B1 standard ? what document or form must I use ? Pls give advice.
Steve

Steve,
There is not really anything as Advance Payment Aging. There is only the regular AR and AP aging which will show all transactions that hit the AR / AP control account.
Your scenario is more like a business rule that could be handles with a combination of approval procedures and transaction notification checks
Suda

Cheque Printing issue incase of Vendor advance payments

Hi all,
     We are doing vendor payments using F-58 and printing cheque from there itself, and in case of advance payments we are using F-48 for payments and to print cheque we are using FBZ5.
      When we take printout from FBZ5 for advance payments we are getting two pages in the output, both the pages are using the same layout, in first page all the elements are filled with 'XXXXXX' and we are getting the desired one in second page.
     I am not getting how this unwanted first page is coming and i want to remove this.
     Pls help in this.
Regard's
Jean.

Hi Aditya,
Check the layout setting and what logic is used to trigger the second page.
          If lineitems in first page exceeds the main window then second page gets triggered.
Also check the Raw data of the spool in SP01. Select the spool id and CTRLSHIFTF10, select the RAW and click on the display button. Check the paragraph and character settings applied to the printout.
Try printing the same using different device type.
          I dont think we can do anything once spool request is generated with two pages, so it is not required to analyse on these points.
          I guess that driver program 'RFFOUS_C' is getting triggered twice or in single call of the program the 'WRITE_FORM' is trigerring twice. When I try to debug and check, it is taking through long code and also 'WRITE_FORM' is also getting triggered
many times as I have many elements in the script.
          I am not able to figure out even any clue on this.
Regard's
Jean.

CONTROL ON ADVANCE PAYMENT / DOWN PAYMENT

Hi Friends,
It is our normal practice to issue Advance payment / Down payment to our vendor against PO. We want to control the same while making cheque payment enable us to control double payment againt same PO after material receipt and passing the invoice.
In short we would like have control field of PO no. while issuing cheque to avoid double payment.
Regards
Suresh

Dear Suresh,
Please capture the PO no in the field Purch.Doc field (EBELN) while doing F-48.
The advance payment information will be captured in the PO History,
When you do MIRO the message will pup up informing that the said advance is lying in Vendor Ledger.
Regards,
Alok

After advance payment made against PO system is allowing for ammendment

Issue is there is a PO for some amount 5000 as per purchase request we have made an advance payment Later on we have learned that they have decided to cancel the freight cost as indicated in our PO and subsequently amended the PO value to INR 4500.
Could you please check why the system allowing the amendment to happen even though there was an existing advance payment posted into the system
<<<<<<Text Removed>>>>>>>
Note : Follow forum rules.
Edited by: sapmm99 on Nov 21, 2011 5:48 PM
Edited by: Jeyakanthan A on Nov 21, 2011 11:48 PM

I dont know of any setting to restrcit this.
But how would you like to deal with this situation.
you paid 5000, but shuold have only paid 4500 according to the new conditions.
as you dont want to change the conditions, it looks like you are okay with having paid 5000 and want valuate your receipt as well with this price. so your 5000 are gone at the end.
I would change the conditions.
you would receive and valuate your receipt at 4500, and you have still 500 credit left at the vendor which can be used for next delivery.

Using of cash journal for advance payment to vendor or from customer.

using of cash journal for advance payment to vendor or from customer.please give advice?

Hi,
Set up a new transaction for "Advance Payment to Vendor" in Cash Journal IMG. The menu path in IMG is Financial Acct --> Bank Accounting --> Business transction --> Cash Journal --> Create, Change, Delete Business Transactions. Transaction Code for this configuraiton activity is FBCJC2.
Enter Company Code, Business Transaction Type as "K" and Cash Journal Business Transaction as "Advance Payment to Vendor". This will work if you are paying to Vendor from Petty Cash.
Check Receipt from Customer is supported if you take it in Cash Journal and then later deposit to Bank. But check payment to Vendor should be handled trhough either automatic payment program or outgoing payment transaction.
Hope this helps,
Reagrds
CSM Reddy

Applying Advance Payment(receipt) to Agreement

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