Procuring material for free of cost but I'm paying tax amount , excise duties and freight amount.

[ramesh_reddy25]

Hi gurus,

I have one requirement please suggest me how to map in sap.

Procuring material for free of cost but I'm paying tax amount , excise duties and freight amount.

Create PO with selecting FREE tab, if I select,PO value will be null, Condition tab won't appear and I can not enter any condition type value in PO. Tax value will calculate on net price( net price is zero.)

How to map this in SAP, please suggest me

Thanks and regards

Ramesh reddy

[Former Member · Accepted solution]

Hello Ramesh,

Pls note below solution for your scenario :

- ME21N - as Free PO. Tick mark FREE item.

-Post Excice duties pertaining to this material by JV - J1IH. Additional exice duty. ETT-DIEX will get hit. Pls maintain proper G/L's to DIEX. Exact entry like J1IEX will be posted.

- While posting MIRO, post freight & cenvat clearing a/c on G/L & material tabs. Use G/L & Material tab to post excise duty & freight amount logically. Although material is of FOC, you have to post fright amount to mateterial stock value.

-Note, Cenvat clearing a/c has tick mark on "post automatically" in FS00. You need to remove the same.

Hope this will help you.

Regds,

Nilesh

[ramesh_reddy25 · Accepted solution]

Hi Nilesh,

Please elaborate the answer, suggest the following speps are correct or not, tell me the correct steps

1) I will create free PO( activating FREE tab) with tax code in invoice tab.

2)MIGO for PO- Excise duties enter manually in excise tab.

3) J1IH- Additional excise- I/p fields as GR number, Comany code, plant excise grp, RG23A.

4) MIRO- Which G/L I need to select and what amount i need to enter,

               Material TAB- what amount? freight amount I need to enter.

5) is there any further steps?

Please help me

Thanks

Ramesh

[Former Member · Accepted solution]

Hi Ramesh,

for step4, suppose you need to pay vendor total 2000 Inr.

break-up will be - 1000 freight value + 1000 excise duties which you have taken credit by J1IH.

Follow below steps :

-Enter PO in MIGO.

-Go to material tab - Enter material code, plant & debit amount 1000 which is freight.

-As fregith amout should be routed through Freight clearing a/c, go to G/L tab,

-Enter Freight clearing a/c - Cr - 1000

-As you want to pay to vedor, again enter Freight clearing a/c - Dr - 1000

-As you want to pay excise duties to vendor, enter, Cenvat clearing a/c - Dr - 1000

-System will show balance as 2000- at top.

-Enter amount 2000 and simulate MIRO. Entry will be like this :

   Vendor a/c   - CR -   2000-

   Material a/c  - DR -   1000

   Freight clearing a/c - CR -  1000-

   Freight clearing a/c - DR -  1000

   Cenvat clearing a/c - DR -  1000

-Post MIRO.

Hope this will solve your problem.

Regds,

Nilesh

[ramesh_reddy25 · Accepted solution]

Thanks Nithesh,

I will check and come back for more help if required.

thanks

ramesh

[Former Member · Accepted solution]

Hi Ramesh...till no reply on the same...pls confirm.

[ramesh_reddy25 · Accepted solution]

Hi nitesh,

Thanks for your valuable reply,

Your answer also will solve my problem, but We went for other option.

1. Will create Standard PO with value but I will maintain 99.99% as discount. (So value almost negligible).

   Tax amount will calculate on PO value, Freight also I will include.

2. In MIGo- I will enter excise duties manually.
3. MIRO- I will do payment for exact amount what I suppose to do invoice.

Thanks

Ramesh

[Former Member · Accepted solution]

Hi Ramesh,

this solution is also fine and it was in my mind..

but, one important point to remember in this that after GR-MIGO, your GR/IR clearing a/c wil get hit by 0.01 inr...

you need to clear this by MR11.

Hope, you got it..happy to help.

Rgds,

Nilesh

[former_member192897]

If you check Free Item indicator then Condition tab will be disappeared automatically as there will be no invoicing.

Enter Notiable price 0.01 etc in PO then have inserted the freight condition and run one cycle in dev server. Insert the excise conditions at MIGO or J1IEX.

[ramesh_reddy25]

Hi asok,

If I enter 0.01 in net price, suppose my quantity is 10000 then the PO net value will be 100.

This is not applicable to my scenario, because I'm getting material free of cost.

Thanks

ramesh

[Former Member]

So Create A condition type make it statistical That means it will hit your material account or anywhere....

So you can carry out your further Calculation without any issues.

Thanks,

Shiva

[former_member192897]

Yes, Create one Condition type and put tick against Statistical and try then.

[Former Member]

What is the message you are getting can you please tell me...

If possible post the screenshot.

Thanks,

Shiva

[ramesh_reddy25]

Net price must be greater than 0

Message no. 06218

If I make Error to warning, then It will applicable to all POs, user will make mistakes..I don't want this

thanks

ramesh

[Former Member]

That is not suggested Wait i will check in my system.

Thanks,

Shiva

[Former Member]

What we have done is we are deleting the Pricing Condition Type Manually (For this you need to tick the delete option in M/06). And we are activating another Base price condition which is statistical.

1) Enter the value of PB00 -- 01(whatever it is)

2) Select your new condition type ZPB0 - Enter the value

3) Delete your PB00 Condition type.

So if you dont enter PB00 there wont be any error

Net price must be greater than 0.

Since system will fetch from ZPB0 cindition

Thanks,

Shiva.

[Former Member]

What we have done is we are deleting the Pricing Condition Type Manually (For this you need to tick the delete option in M/06). And we are activating another Base price condition which is statistical.

1) Enter the value of PB00 -- 01(whatever it is)

2) Select your new condition type ZPB0 - Enter the value

3) Delete your PB00 Condition type.

So if you dont enter PB00 there wont be any error

Net price must be greater than 0.

Since system will fetch from ZPB0 cindition

Thanks,

Shiva.

[ramesh_reddy25]

Did you deleted PBOO from Pricing calculation schema.?

Do you maintained separate calculation procedure for this process.?

Thanks

Ramesh

[Former Member]

no i have not deleted PB00 from Pricing Procedure in M/08.

In M/06 for the Condition type

Add Delete Indicatior.

Create a Similar Condition Type.

and Delete this PB00 Condition type after enter the Z Condition type Price.

Thanks,

Shiva

Message was edited by: shiva prasad

[Former Member]

Here You need to create another condition type (For Example ZPR0) copying PR00 and in the Pricing Procedure Make it as statistical. Make PR00 as 0 and ZPR0.

Then you need to calculate the Taxes and Other Frieght considering on ZPR0 Condition.

Revert any issues.

Thanks,

Shiva

[ramesh_reddy25]

Hi Shiva ,

I can not give PB00 price as 0( zero), system will through an error message

Thanks and regards

Ramesh

[former_member192897]

Create a New condition type and insert it in Pricing procedure with statistical checkbox.