Pricing Procedure

[siva_vasireddy2]

Hi All,

       we have a requirement in the pricing procedure as Follows

Previoulsy the Excise Duty is calculated on price-discounts =Net price

Now the Requirement is we need to Include Insurane also in the Net Price like Net Price=price-discounts+insurance

In the Pricing Procedure the Insurance condition type is positioned  after the Excise duty condition types

now if tried to relocate the insurance condition type to the step before step,the calculation is working Fine but the Old Data related to Insurance is effected and showing as Zero

Please guide me how to meet this requirement,shall we go for the Routine in the pricing procedure.

Thanking you

Sivavavsireddy

[Lakshmipathi · Accepted solution]

Have you checked with Business Finance / Excise team ?  Why I am asking is to my knowledge, excise should be calculated only on the assessable value plus packing charge, transportation / freight charges if any.  Insurance should not be considered for arriving the excise duty.  So please check once again with Business Finance and take the concurrence before proceeding with any pricing procedure changes.

G. Lakshmipathi

[siva_vasireddy2 · Accepted solution]

Dear Sir,

           Thank you for quick reply.i have consulted the Finance/Excise Team as per the them this is only the Company's internal Requirement which insurance need to be taken into account for Excise Duty Calculation.

Sivavasireddy

[Lakshmipathi · Accepted solution]

If you make any changes to your existing pricing procedure, it will have impact on existing sale orders also.  So what I would recommend is you go for a new pricing procedure and assign it to your billing type.

G. Lakshmipathi

[siva_vasireddy2 · Accepted solution]

Dear Sir,

           Thank you for the reply.please suggest us if we can go with any Routine in the pricing procedure against the Excise Condition type to calculate the Duty including Insurance also.

There are about 7 pricing procedures the changes need to be made.

Sivavasireddy

[Lakshmipathi · Accepted solution]

Not sure on the implications if you add the logic in your existing routine.  Most probably, I feel, this wont work since as per your original post, excise duty condition type is above insurance condition type.  Please update if you are able to succeed in this task.

G. Lakshmipathi

[siva_vasireddy2 · Accepted solution]

Sir,

   we are doing it in this way

1.Seperate Insurance condition type for insurance is defined and assigned before Excise duty in the Pricing Procedure

2.The Original Insurance condition type will be as it is but Inactive from a Cut-off date

3.The condition records petianing to Original Condition type will be stopped from certain date and New records are created for the Duplicate insurace condition.

Please suggest whether we can go in this way

Siva

[Former Member · Accepted solution]

Hi Siva,

From the above discussion, if this is an internal setup, new insurance condition type should be statistical in nature.

You can customise a new insurance condition type and insert before excise conditions.

The old existing documents should not be a problem since they would have been invoiced and pricing update will not work.

For open orders, it should also not be an issue.

Check this in sandbox / development system.

If this doesn't work then, you can copy existing PP into new name with new insurance condition type and use.

[Former Member · Accepted solution]

Dear lakshmipati sir,

i have doubt regarding your statement. why we need to take asses sable value+packing+transportation charges to calculate excise. why we have to include packing and transportation also tell me one example scenario sir. it will be grateful to you.

warm regards,

jagadeesh

[eduardo_hinojosa]

Hi Siva,

Please, see also SAP Note 201830 - Calculation of the net price of an item.

Regards

Eduardo