SAP Ebooks

AR Invoices and Credit Memos

AR Invoices and Credit Memos

This Process Definition Document Describes the process of Revenue Accounting directly in FI .It means booking of Debit/Credit Notes  in Accounts  without sales order. i.e.Manual booking in Customer Account.

Scenarios considered for Invoices & Credit Memos (Without SO)

Debit Note (FI Invoice)  to Customer against Freight Recovery
Debit Note (FI Invoice) to Customer against Tax less charged in Invoice
Debit Note (FI Invoice)  to Customer against Octroi Recovery
Debit Note against any other Miscellaneous Recoveries
Credit Note to Customer against Price Difference
Credit Note to Customer against Tax excess charged in Invoice
Credit Note against non fulfillment of LD Clause
Credit Notes issued to Project Customer against Reimbursement of expenses incurred by them on our behalf like (Electricity/Water, Fuel etc…)

Parking of Customer Invoice (FV70)

Parking refers to the process where the document that is to be posted into the accounting system is held in the pipeline either awaiting corrections or awaiting approval from the respective authority. Parked accounting documents may be completed/ checked and then posted on a subsequent date. A document can be parked multiple times by different users.

A parked document is numbered in the sequence of posted documents. When documents are parked, financial data is not updated.parking documents can be evaluated in selected reports.

The document currency, payment terms, baseline date, payment method, payment block, cost center etc. should be entered at the time of parking the document.

Posting of Parked Invoice (FBV0)

Parked documents will be available for posting either individually or collectively.  A list of parked documents will be available from the system from which the user can selectively choose documents that are to be posted. Corrections may be made before posting the document.  It is also possible to delete a parked document without posting it.

An overview of the financial entry can be observed in the simulation option. This feature would act as the primary step in identifying any input errors before posting a document.

Parking of Customer Credit Memo (FV75)

Parking refers to the process where the document that is to be posted into the accounting system is held in the pipeline either awaiting corrections or awaiting approval from the respective authority. Parked accounting documents may be completed/ checked and then posted on a subsequent date. A document can be parked multiple times by different users.

A parked document is numbered in the sequence of posted documents. When documents are parked, financial data is not updated. Parking documents can be evaluated in selected reports.

The document currency, payment terms, baseline date, payment method, payment block, cost center etc. should be entered at the time of parking the document.

Posting of Parked Credit Memo (FBV0)

Parked documents will be available for posting either individually or collectively.  A list of parked documents will be available from the system from which the user can selectively choose documents that are to be posted. Corrections may be made before posting the document.  It is also possible to delete a parked document without posting it.

An overview of the financial entry can be observed in the simulation option. This feature would act as the primary step in identifying any errors before posting a document.

Sales Invoice Raised to Customers without Salese Order

Manual Sales Invoice (Debit Note) will be prepared in finance using T-Code FB70.Enter Customer Code, Amount, Tax Code as Debit &Credit Expense GL A/C, Profit/Cost centre. Enter nature/Reason of Debit Note in Text field.

Simulate & Post the document.

Accounting Entries for Debit Note (Manual Invoice)

Debtors Control Account            Dr.
To Vat Payable                Cr.
To Bank Charges Account            Cr.
To Sales Account                Cr.

Credit Note to Customer Other than Sales Return (FB75)

Any Credit notes which is not flowing from integration can pass through FI Module.
These are mainly for
•    Tax Excess Charged in Invoice
•    Wrong Selection of Price Master
•    Any Trade Discount/Cash Discount which was not calculated at the time of Invoice

Enter Customer Code, Amount , Tax Code as Credit & Debit Expense GL Account, Profit /Cost Centre. Enter Nature /Reason for Credit Note in Text field.
Simulate & Post the Document.

Expense     Account            Dr.
To Customer Account            Cr.

Customer Accounting Document Reversal

Customer Accounting  Document can be reversed in two ways.
•    Individual Reversal (FB08)
•    Mass Reversal (F.80)

Following Details must be required for Reversing  a Customer Accounting document(Applicable for Individual & Mass Reversal)

•    Document Number – GL Document Number
•    Document Type – Accounting Document Type
•    Reason for Reversal –Reason for Document Reversal
•    Posting Date – Date of the Document which is posting in Finance
•    Posting Period –Fiscal Period

SAP T Code to be used

Transaction Description    :    Transaction Code

Enter Customer Invoice    :    FB70
Enter Customer Credit Memo    :    FB75
Customer Line item display    :    FBL5N
Reverse GL Document    :    FB08

Mass Reversal GL Documents    :    F.80

Park/Edit Invoice    :    FV70
Park Credit Memo    :    FV75
Post Parked Invoices    :    FBV0
Change Parked Invoices    :    FBV2
Display Parked Invoices    :    FBV3
Reject Parked Invoices    :    FBV6

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