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Plant Abroad functionality for South Korea with Company Code in India

Former Member
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Hi,

I need help on SD functionality set up with regards to Plants abroad functionality for the Parent company in India and a manufacturing Plant in South Korea.

Has anyone work on such scenarios with plant abroad in South Korea. If yes, please help with the SD setup especially CIN and taxation requirements from SD side w.r.t. a South Korean Plant.

Thanks a ton in advance.

Sameer

Accepted Solutions (1)

Accepted Solutions (1)

jignesh_mehta3
Active Contributor
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Hello Sameer,

I am working for Plants Abroad Funtionality for one Company Code with several Plants across Countries in Europe. Here there is a Standard feature given by SAP for INTRASTAT (Eupore) reporting. Also in Europe we can transfer stock from say plant in Germany to another PLant in France with charging any Tax.

But in your case you have Indian Company Code having Plant in South Korea... I don't know whether it is supported in SAP or not...

Also legally I wonder whether Indian Companies can own Plant in South Korea?

Infact most probably in your case there will be a seperate Company Code for Korean Plant... If that is the case then you don't require Plants Functionality.

Can you please further details of your Business Requirements?

Thanks,

Jignesh Mehta

Former Member
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Hi Jignesh,

Tahbs for the reply. For manufacturing palnt in South Korea owned by Indian companies, only Legal can tell if a new conpany code needs to be defined or it ca be done through one company code with plant abroad.

If in case it is the case of new company code outside India, the I think, it would be 2 implemntations, one for sale in Home Country and another for Sale in South Korea.

However, for Plants abraod functionality SAP has given node for South Korea seperaly. I think, that needs to be used for Plants abroad functionality. Let me check with the client and revert back.

T & R,

Sameer

jignesh_mehta3
Active Contributor
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Hello Sameer,

Yes. Speak to yhe Client & revert back.

I personally feel that Indian Companies are not allowed to own Plants in South Korea. They will have to create a seperate Company Code in South Korea & then own Plant there (just the way it is in India)...

Also PLants Abroad Functionality is mainly used in EU (Europe Countries) where Taxation & Tax Reporting is same or almost similar in each Country.

Please refer to the below link & further Links at the bottom of the document.

http://help.sap.com/saphelp_45b/helpdata/en/34/60b19dae724effe10000009b38f91f/content.htm

Thanks,

Jignesh Mehta

Answers (1)

Answers (1)

Former Member
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If the manufacturing facilities in abroad, you do not need to pay any excise duty in India and if VAT or CST (Sales tax) in india will apply if you sell it from India to within india. Hence you do not need to file any tax return in India for plants in abroad.