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Adding Local GAAP Adjustments & Reporting Functionality Within SAP FI

I am currently working at a company based in the US that has been on SAP for over 11 years.  The company is on ECC 6 and is using the Classic General Ledger.  The company has one Production-level instance of SAP and uses one Chart of Accounts that everyone uses.   We have a situation (Brazil SAP implementation) where we will have to make Adjustments to the Financials for Local GAAP purposes.  Our goal is to keep the integrity of the US GAAP statements but also provide functionality to all foreign locations to make Local GAAP/IFRS adjustments within SAP and to have that rollup within a local set of Financial Statements within SAP.

During our brainstorming on this issue we came up with an idea of using a Specific General Ledger Account Range for Local GAAP Adjustments.  In summary, the General Ledger Account Structure would be defined as follows.

GL Accounts, Account Group, Part of US GAAP Consolidation

100000 to 399999, Balance Sheet, Yes

400000 to 899999, Income Statement, Yes

910000 to 939999, Local Adjustment Balance Sheet, No

940000 to 989999, Local Adjustment Income Statement, No

With this setup, the Local GAAP values in Total would be the sum of US GAAP Value (GL Account 100000 to 899999) + any Local GAAP Financial Adjustments (GL Account 910000 to 989999). 

I am hoping I can get some advice on setting up Local reporting functionality within SAP since I do not have any first-hand experience in this area.  I would think we would need new Account Groups, new Financial Statement Versions, Validation Rules for Journal Entries, etc., but I do not know all of the SAP Configuration Transactions necessary to carry out this task.

Please advise of any resource materials I can refer to for setting this functionality up and any practical items I should consider.



Former Member

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