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What is condition REA1 Rebate Accruals for in Sales Condition Contract? (S/4HANA Cloud)


I have got problems understanding standard function of sales rebate in S/4HANA Cloud.

The standard test script of best practice scope item 1B6 tells that two condition records,RES1 - Rebate and REA1 - Rebate Accruals, need to be maintained in sales condition contract - 0S01 Sales Rebate.

However, I could not see how REA1 works in the rebate settlement.

For example, I set up a condition contract for customer A of condition RES1 with 3% rebate, while I maintained 2-% as REA1 (the minus sign is auto added by system).

The sales volume calculated is $1,000.

The settlement result as credit memo calculates the net to be paid is $1,000 * 3% = $300, with tax together to be counted into amount.

In this case, I didn't see how the condition REA1 2-% affects the result.

Thanks in advance!


Fancy Zou

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  • Best Answer
    Posted on Aug 20, 2019 at 01:50 PM

    Dear Fancy Zou

    Could you please check if you use the condition type REU1 (Rebate Unlikelihood) ? if yes is it set to 100 % ? Notice that 100% unlikelihood means that you have a likelihood of 0%

    That means that no accruals are built up.

    If no accruals are built up during the delta accruals settlement, no accruals are to be resolved during partial or final settlement.

    Do not use condition type REU1 in the condition contract or use it with a value < 100%.

    Best Regards


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  • Posted on Oct 31, 2019 at 10:51 AM

    Hi Enda,

    There is no REU1 condition type. Just maintained REA1 and RES1. I am confused what is the use of REA1 condition type. When we see settlement document, system is considering only RES1.


    Rajesh V

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