Account Payable Clearing Account
Manual Clearing (SAP session F-44)
This process is used where No withholding tax (TDS) deducted on down payments.
Through this session we can clear vendor invoices against Vendor Credit note or on-account payment or down payments.
On selection of process open items, a list of all the open line items in the vendor sub-ledger is displayed at a global level.
To also include the down payments (advance payment) made we need to select the appropriate special GL indicator to get a complete display.
Open items can be adjusted either partially or fully.
Manual Clearing (SAP session F-54)
This process is used where withholding tax (TDS) is deducted on down payments.
This session is used for any clearing of advances paid where TDS is deducted while paying this advance.
On selection of process open items button, a list of all down payments made to the vendor is displayed at a global level.
We have the option to select the invoice and clear the down payment in this session.
Through this session advance payment amount is moved from the “advances” GL (asset) to vendor sub ledger GL (liability). This can be further cleared using session F-44.