Payment terms in invoice document

[Former Member]

Does a payment term calculate discounts in an invoice document or FI document.

In my scenarion it is not calculating any discounts. what could be the reason?

Could anybody please help me?

Thanks,

Bhairav

[pankaj_singh9]

Hi,

If you want to post Cash Discount at the time of MIRO, then select Document Type "RN" (Invoice - Net) under "Details" Tab instead of using "RE" (Invoice - Gross)

Check the difference between RE and RN in OBF4

For RN "Net document type" will be active under "Control data" whereas for RE it is not active.

Indicator: Document posted net: - Select this indicator to have the system automatically deduct cash discounts from vendor invoices that are posted with this document type.

And Terms of Payment are linked to the payment processing of the vendor invoice, if you want to see the effect of terms of payment then Pay the Vendor using the reference of the Vendor invoice , the system will calculate the net amount considering the Cash discount if you are paying with in the specified days.

[Former Member]

Hi

What is the Document Type bedin used ?

If it is RE ( Gross Posting ) then the Discounts will be effected during Payment.

If it is RN ( Net Posting ) then the Discounts will be effected during Invoice process.