Inter plant stock transfer

[govind_gogate2]

Dear All,

Scenario as follows

One Company Code

Two Plants

There is transfer of one material from Plant A to plant B. Material Transfer at cost price without adding any profit margin.

In normal Inter unit stock transfer, Inventory Dr in receiving Plant

To Inventory Cr in Sending Plant

Here capturing excise is plant A is having problems.

So adopted normal cycle

1) PGI ( In Plant A u2013 Sending Plant)

COGS Dr 100

To SFG Inventory 100

2) Billing ( In Plant A u2013 Sending Plant)

Customer (i.e.Plant 2) Dr 100

To Sales 100

(Excise effect not considered as it will happen as usual)

3) MIGO (Plant B u2013 Receiving Plant)

SFG Inventory Dr 100

GR IR Cr 100

4) MIRO

GRIR Dr 100

To Vendor (Sending Plant) 100

All this is normal. But the sales or Inter Company Stock transfer which is a P&L nature Account remains as it is without any corresponding entry to offset it.

So what to do to deal with this? Or the account remains as a part of Revenue? This I consider is wrong. I suppose I am missing some link somewhere.

Pl help.

Thanks & regards,

[Former Member]

Hi

Your initial comment was fine that the accounting entry will be Plant B inventory Dr. and Plant A Inventory Cr. Make this document from MB1B. If you want you can make a stock transfer PO. Against that PO do this MB1B. Receiving plant can to GR against this.

So far as excise is concerned, there is a transaction code J1IS, through which you can post the excise duty entry wrt to the material document.

No need to go for SD procedure for this.

regards

Parag Bhargava