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Jan 26, 2021 at 07:26 AM

How to set up branch company in SAP

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We use ECC6 now

And for legal reason, we need to set up branch company in another city in the same country

For this branch company, it's not a legal entity, it has seperate tax registration number differ from mother company.

Mother company is the only customer to the branch company, and branch company will charge service fee to mother company; branch company will purchase non stock material and asset from 3rd party and mother company.

Branch company need to issue VAT invoice and deduct input VAT as well.

We need to provide consolidation report for mother company, and also need to consoliate mother company and other companies for group level.

From my point of view, we need to define a seperate company code for the branch company, and assign to the company ID same with mother company.But it will cause the consolidation complicated. Could you please suggest a easy way to solve this issue.

Thanks

Best Regards