Subcontracting Scenario

[Former Member]

Dear Experts,

In Subcontracting scenario,

Please explain the whole cycle and corresponding configuration that is to be done in SPRO.

What are the pre-requisites to be done for this?

Also what are the standard reports in subcontracting scenario?

Also how to handle the reversal scenarios and what are the corresponding account entries in the same?

Regards,

SAPMM

[pankaj_singh9 · Accepted solution]

Hi,

Refer link;

[Subcontracting Process w/o Payment of Excise Duty|http://help.sap.com/bestpractices/BBLibrary/Documentation/J85_BPP_V2_EN_IN.doc]

Subcontracting Process

Subcontracting without Payment of Duty

- Creation of Subcontracting PO (ME21N)

- Transfer Posting of Components to Subcontractor (Mvmt Type - 541) (MB1B/ME2O/MIGO)

- Creation of Subcontracting Challan w.r.t. Transfer Posting Doc (J1IF01)

- Goods Receipt w.r.t. Subcontracting PO and Refer Subcontracting Challan at the time of GR (MIGO) {GR with 101 and autoconsumption of components with 543 movement}

- Reconciliation of Subcontracting Challan (J1IFQ)

- Completion of Subcontracting Challan (J1IF13)

- Generation of Annexure IV (J1IFR)

Master Data

- MM01- Material Masters for Components and FG

- XK01 - Vendor Master (Subcontractor)

- CS01 - BOM for FG

- ME11 - Purchase Inforecord for Subcontracting

Configuration: -

- SPRO > Logistics - General > Tax on Goods Movements > India > Business Transactions > Subcontracting > Subcontracting Attributes

Here maintain following;

Excise Group         XX
Excise TT            57FC
Subtransaction Type  01
 Subtran Type Text   57FC CHALLAN
 Subc. Period        180
 Rate-subcontracting
 Mvt Grp Issues      0001
 Mvt Grp Receipt     0002
 Filter Non exise
 EI Items            10
 No. range no.       01
 Ass. Val. /Exc Inv
 Subcon Output Type  J1IF

- SPRO > Logistics - General > Tax on Goods Movements > India > Business Transactions > Subcontracting > Maintain Movement Type Groups

Here maintain following

MVT. Grp. MvT S
0001      101 O
0001      541 O
0002      542
0002      542 O
0002      543 O

- J1I9 - maintain No range for object "J_1I57FC" for series group

Standard Reports: -

ME2N - Subcontracting PO List (Use Item category "L" in selection)

MB51 - Material Document List (Of Subcontracting Processes of Movement types 541, 101, 543 O)

MBLB - Stock at Subcontractor's Place

Also you can refer MMBE an MB52 for Stock Details.

[kunal_ingale]

hi

scenario is as follows

• Purchase order creation based on a scheduled purchase requisition created by last MRP run ME21N

• Optional: manual purchase order creation

• Purchase order approval (if required) ME29N

• Components of the Material sent to the subcontractor through a Transfer Posting migo > 541

• Creation of Subcontracting Challan J1IF01

• Goods receipt for purchase order delivered by subcontractor MIGO

• Reconciliation of Challan J1IFQ

• Completion of Challan J1IF13

• Invoice verification and validation of tax expenses MIRO

• Outgoing payment

http://help.sap.com/bestpractices/BBLibrary/HTML/J75_ThirdPartyOrdProcwithSub_EN_KO.htm

FI postings are as follows

If Material has Price Control as "V" (MAP)

(BSX) Stock A/c of Assembly - Dr

(BSV) Change in Subcon Stock - Cr

(FRL) Subcontracting Charges - Dr

(WRX) GR/IR Clearing A/c - Cr

(BSX) Stock A/c of Components - Cr

(GBB-VBO) Consumption A/c of Components - Dr

refer following doc

http://help.sap.com/bp_blv1600/V5600/BBLibrary/HTML/138_EN_IN.htm

hope it help

regards

kunal

award if helpful

[Former Member]

Hi

http://help.sap.com/bp_blv1600/V5600/BBLibrary/HTML/138_EN_IN.htm

Regards

Ram