Pricing calculation issue.

[Former Member]

Hi,

I have a specific issue regarding pricing:-

The requirement is that the following entry should be passed in accounting while billing:-

Dr. Revenue 100

Cr. AR 100

Dr. Cost of sales 5

Cr. TAX payable 5

For this requirement we have maintained a condition of TAX in pricing, assigned accrual key & account key & it is determined on net price. We have also assigned G/L (both columns) for the same in VKOA.

Now, when we create a order, in the pricing, the net value just above the conditions is showing Rs. 105. How can we possibly configure in the system. I tried making TAX condition as both Discount/Surcharge & Taxes.

Thanks in advance.

[reazuddin_md · Accepted solution]

first of all,

what makes you to maintain accounting entries as mentioned in your post.

as you know, Total value of the billing document will be Debited to Customer a/c- & then the same amount will be distributed in different heads . ( excluding statistical / accrual conditions)

Eg:

Customer Dr - Rs. 105/-

Revenue Cr - Rs.100/-

Tax Cr - 5/-

Cost of Goods sold already accounted when you perform PGI. Why you want the same after releasing invoice?

It would be more helpful, if you post the complete requirement & clear.

[Former Member]

Hi :

Pls tell us your solutions for the same... thanks a lot!!

[Former Member]

Hi

First let us know why cost of sales should come in accounting while raising invoice against sales. There are two points when accouting entries take place:

1. At the time of PGI as

Material ctrl a/c Dr

Cos Cr

2. At the time of billing

Customer xyz Dr 105

to sales 100

to tax 5

You can make this accounting schema understand to your client

[Former Member]

Maintain in both the Condition Types i.e. Cost & Tax as statistical in the Pricing Procedure.

Best Regards,

Ankur

[Former Member]

Hi,

Please explain Not getting wht u r requirement

Now, when we create a order, in the pricing, the net value just above the conditions is showing Rs. 105. How can we possibly configure in the system. I tried making TAX condition as both Discount/Surcharge & Taxes.

Kapil