I want to split my revenue from sales in two portions, how can i do this SAP 9.0

[former_member392795]

Dear Gurus

Please advice me how to map the following senario:

I make a AR invoice for sale of a certain item, i will actually only entitled to receive commision on this sale and 70% of the sale revenue is payable to third party. I want to split my revenue on AR invoice basis so that when i make a particular sale, 30% is booked as my commision income and rest is booker as my payable to third party. JE would be like this:

      Customer ...Dr.

                          Commission Income.....Cr

                          Payable .....................Cr

Looking forward for your prompt reply

Regards

Ghufran

[former_member205766 · Accepted solution]

Hi

It is not possible in standard SAP Business One.  You can map only Revenue Drawer G/L Accounts in G/L Account Determination. 

As per my suggestion you can invoice whole amount to Revenue Account.  Then you can post the adjustment JE to transfer the value to Payable Account.

Thanks

With Regards

Balaji Sampath

[former_member392795 · Accepted solution]

is there any way i can add an automatic JE along with the sales JE for commision ?

[former_member205766 · Accepted solution]

Hi

Yes.  You can achieve this via Addon Customization check with your technical team.

With Regards

Balaji Sampath

[frank_wang6 · Accepted solution]

The sales tax code method does allow you to split ur A/R into Revenue + A/P (Liability).

But u prefer an independent JE to finish the transaction mentioned by Balaji, and i believe u dont need to have add-on, but it can be implemented by Post Transaction Notice + a simple DI API program. Definitely not hard, can be done in a few hours.

Frank

[former_member392795 · Accepted solution]

Issue in using sales tax method is if I am charging a thing for $100 to a customer, and my commission is 30% of it and rest is third party payable. if i make tax =30% it charge customer 130 instead of 100

[frank_wang6 · Accepted solution]

ha, u didnt get my first reply. in that case, ur sales price has to be ur commission, and ur tax rate should be 233.3333%.

Then your A/R will be $30 * (1 + 233.3333%) = $100. $30 is in your revenue, and $70 is going to ur your designated tax liability account (depending on your tax code setup).

[former_member392795 · Accepted solution]

Dear Frank

Nice work arround!! how did u calculate 233.333%? because my commision is different item

[frank_wang6 · Accepted solution]

sale price * (1 + tax rate) = final charge on customer. in ur case,

30 * (1 + x) = 100. the x should be 2.333333. that's 233.3333%, right?

Frank

[frank_wang6]

On accounting side, it is not necessary to do the way you describe, and SAP doesnt support that directly.

But you can still use distribution rule to at least split the revenue transaction into a few revenue transactions. And later on you can report that based on your distribution rule. This is one way.

Another way i can think of you treat your 3rd part as the Tax collector, and by modifying the sales price and tax rate, at least you get GL posting happens on both revenue account and a liability account.

Frank.