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From SAP MM side, How Branches under Plants will be treated as during GST Implementation?

Apr 27, 2017 at 04:12 PM


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Former Member

Hi Guys,

One of my clients is related to Financial Service Industry and currently from MM point of view, we are maintaining 16 company codes and 16 plants respectively. However, each Plant are having many branches. Example: If Plant is based at Mumbai then Branches/Locations under that Plant are at Pune, Lucknow, Delhi, Hyderabad etc.

Now as per GST, how we will treat these Locations to be as? With reference to interstate & intrastate policy as in GST, do we have to convert these innumerable branches to Plants??

Please guide.

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2 Answers

Best Answer
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Former Member May 19, 2017 at 09:04 AM


Interesting question!!

By Branches/ locations, I didn't understand it in the MM perspective enterprise structure.

If possible, the FI guy can select an appropriate condition table where region is specified. After the pricing procedure is set, condition records can be maintained, to correctly pickup the GST rates based on location/region. Give the correct tax code while creating the PO in the invoice tab of Item detail section and condition record will do the rest of the work. Usually, tax calculations are not done in the pricing procedure from MM side ( in purchasing) but from FI side through the above said TAX code.

Please have a word with your FI Lead and feel free to share your ideas here.

Warm regards

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Anjaneyulu jalakuri May 19, 2017 at 12:26 PM


those locations treated as a intra - state. (i'm not sure about this ) yes we need to treat those non home branches to plant wise and in the access sequence play a role in while picking tax code..

and tax rates are maintained at plant level ( taxes are based in region )..

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