Dealer invoice- How to adjust margin of Dealer in MIRO

[Former Member]

Dear All,

We are facing a problem in dealer invoice issue, that the dealer has send 2 invoices , one invoice contains the assessable value & the duties calculated on the same & other invoice which contains total of previous invoice & the margin of the dealer. We have to make payment to vendor on the basis of 2nd invoice. While doing MIRO we put duties as per the first invoice, therefore the amount not matching up with the final invoice of vendor . So how can we make payment to vendor including his margin. As margin is around 70K.

Kindly provide solution for the same

Regards

Anupam

[Former Member]

You need to understand dealers scenario, your most of the queries will be resolved.

Search on SDN, you will get 100 of sanswers on dealers scenario.

[Former Member]

Hi,

The simple approach i wold suggest is you amend your PO as per dealers scenario wherein total PO value =sum of both the invoices, line item value = total PO minus cst/vat, do GR edit excise base and click MRP indicator and adjust duties, Post MIRO for combined values.

[Former Member]

Can you please elaborate on Line item Value ?? & what will be my GR Excise base ??

[jpfriends079]

Discussion moved. Please use Internationalization and Unicode instead of SAP ERP - Logistics Materials Management (SAP MM) for CIN related queries.

[former_member192897]

Would you let us know the duty values for first excise invoice and second invoice.

[Former Member]

First Invoice shows value of 824375 Rs & the second invoice shows value 884494 Rs (amount to be paid)

Duties Values in first invoice are

BED - 94,689.00

ECS - 1894    

SECess - 947

[former_member192897]

Why did he sends you the Second invoice. Could be be some more clear. Generally in Trader procurement PO created with value inclusive of Excise duty.

While posting GRN or Capturing Excise invoice we have to change the Excise base value as well Excise duties and post the GRN or Excise invoice by ticking the MRP indicator.

Here you said you are received two invoices One with Trader Excise invoice and second mentioning Margin. Its a bit confusing. So could you provide some more details like what is the Margin. Is it a Second stage delar process or what. Please let us the business process.

[Former Member]

Dear Ashok,

We ask for the first invoice just to check what exact duties he has paid.. We are only concern with the second invoice of total amount. .

Now What is happening here the duties which he has paid is on the lesser assessable value, if at the time of GR we tick the MRP Indicator the base value doesn't matches with the base value of dealer's invoice because the component of Margin is also added into this. So kindly let me know how should i post such document

[former_member192897]

In that case you should consider the Second invoice and enter the Base value as well Excise duties thorugh MIGO or J1IEX. First post a GRN with No Excise and once you get the Vendor second invoice then you capture excise with respect to Material document as you wanted to pay based on Second Excise invoice.

Apart from the above solution you have a provision to make adjustments in MIRO itself (if First invoice is considered during MIGO). You only need to check the accounting entries here whether they are acceptable by your business.

[Former Member]

While posting the MIRO, i have change the base amount & try to post the same, but arroung 17000 amount is going into Material account. I am using tax code with excise duties + CST 2%

[former_member192897]

Can you brief us your scenario. Is it a trader procurement with 2% CST tax code assigned in PO with PO value inclusive of Excise duty. Is CST a decuctible condition type.

Against which excise details you have entered during MIGO or J1IEX first vendor invoice or Second? Have you selected the tax code in MIRO.

[Former Member]

Yes PO value is inclusive of excise duty. CST is a Not Deductible.  yes we have selected tax code in MIRO, as while creating PO wrong tax code was selected.

[former_member192897]

What was selected in PO?

[Former Member]

they have selected tax code inclusive of excise duties without CST

[former_member192897]

Do you mean CST was not there and during MIRO it has come in picture. Or like it was already inventoried during GRN. Please take help of Fi team or FI consultant and make necessary adjustments in MIRO or pass a JV if required. If Direct postings to Material or GL account is active in Config then you can also make use of that..

[Former Member]

They are currently doing the same, by direct posting in Material & G/L Account. but they don't wan this method to continue.. is there any other way to do it ??

[former_member192897]

I dont think so. But, still i am confused on Margin price? What is the exact difference in Vendor invoice 1 and 2.

[Former Member]

approx 60K

[former_member192897]

In that case Select No Excise during GRN and once you get the second invoice Capture excise invoice with respect to Material document and Post the same. Do you have any concerns in this regards.

[Former Member]

how will it impact???

[former_member192897]

You didnot answer to my question. Do you have any concerns if you do "No excise entry" during MIGO and Capture Excise invoice with respect to Material document in J1IEX after getting the Second or Original invoice.

Regarding impacts, why donot you try it yourself in the system and check for Accounting part.

[Former Member]

Sure i'll try that, but my concern is about CST value where should i adjust or post it .

[Former Member]

how do we click MRP indicator in that case