Regarding Intercompany billing

[Former Member]

Hi friends

I heard that for intercompany billing there r two pricing procedures one for sales order(RVAA01), and another for

billing (ICAA01). is it right?

If it is right, how we will maintain two pricing procedures?

If it is wrong, then wht for ICAA01 pricing procedure?

Plz reply me

Thanks in Advance

[Former Member · Accepted solution]

Hi,

For intercompany biling Company 2 Pricing Procedures has to be maintained ie. one regular Pricing procedure and another ICA001 i.e Intercompany Pricing Procedure.

1. As in intercompany billing company 2 (supplying company)bills to company 1(ordering company).

2. Maintain Pricing procedure ICA001 for sales org-2 with Subtotal-B, Req-22

3. Maintain condition type IV01in vk-11 with sales og-1 & Plant.

4.Maintain Pricing procedure(I) in doc pric proc and assigned it with sales area-2

5.create intercompany billing in vf04

Revert in case of further clarification.

Regards

Jaiprakash P.T

[Former Member]

Hi there,

Yes there are 2 kinds of pricing in IC billing.

IC process works like this.

Customer logs an order against Plant A which is in company code A001. But the item is not manufactured at A, but at Plant B in company code B001. In that case we define the item catg in plant A as TAS. So when the customer orders material XXX, basing on the TAS & schedule line setting, a PO is raised in Plant A against Plant B. Plant B receives the PO, fulfills the delivery NL for eg & ship the goods directly to the customer.

But Plant B raises an IC invoice for Plant A. In that case billing is based on IC pricing proc ICAA01. The prices & taxes are at a nominal rate just to cover the cost of production & transport.

When Plant A receives IC invoice with value $100 for eg, it raises a trade invoice to the customer basing on pricing procedure RVAA01.

But in the trade invoice, you also define the PV00 as the price for eg $100 which is nothing but the amount on that IC invoice.

On PV00 ($100), taxes & discounts are calculated to arrive at the total price of $120 for eg. So customer pays Plant A company code A001 $120.

Hope this clarifies.

Regards,

Sivanand

[Former Member]

Hi Friends

Thanks for ur reply

[former_member204513]

Dear Venkat,

Yes you can have two different pricing procedures

1.At order level.(RVAA01)

2.At invoice level.(ICAA01).

You can determine the two pricing procedures in OVKK transaction it self with these combination.

1.At order level.(RVAA01) pricing procedure determination

Sales areaCustomer pricing procedureDocument pricing procedure(Sales order pricing procedure)--> RVAA01.

2.At invoice level.(ICAA01) pricing procedure determination

Sales areaCustomer pricing procedureDocument pricing procedure(Billing document pricing procedure)-->ICAA01.

But before this you have difine and assign different document pricing procedures in the IMG.

SPRO>IMG>Sales and Distribution>Basic functions>Pricing>Price control>Define And Assign Pricing Procedures

-->Maintain pricing procedures

-->Define customer pricing procedure

-->Define document pricing procedure

-->Assign document pricing procedures to order types

-->Assign document pricing procedures to billing types

-->Define Pricing Procedure Determination

Another important setting is copy control settings you have to maintain the copy control settings to determine the new pricing procedure i.e ICAA01 while creating billing document i.e inter company billing document.

Go to transaction VTFL then select your document types then go into the item level settings here you can find the field Pricing type keep this field as B -Carry out new pricing

Now system will determine the new pricing procedure while creating invoice.

I hope it will help you,

Regards,

Murali.