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payment terms

hi all

client has given me these details of payment terms....

how to consider these in system....

Case-1

100% payment shall be made after completion of job.

All the taxes, duties, Works Contract Tax, ESI, PF (in case of non-availability of contractor's PF & ESI Account No.) etc., as applicable shall be deducted from each running bill.

Any other advance or adhoc payments, if paid, will be deducted from the bills.

Case-2

Full payment will be paid against your bills duly verified by our site manager in charge of the jobs on 100% completion.

Case-3

95% payment shall be made against monthly running bills for the measured job in progress.

-- 75% adhoc payment of monthly running bill shall be released within 7 days of submission of bill and balance within 30 days of submission of bill after certified by IGL including recommendation of adhoc.

5% of each running bill shall be kept as retention money (for the Defect Liability Period as specified in the LOI). However, the same shall be released against performance bank guarantee (on IGL format) of equivalent amount after virtual completion of job to the satisfaction of representative of IGL/ Consultant.

All the taxes, duties, Works Contract Tax, ESI, PF (in case of non-availability of contractor's PF & ESI Account No.) etc., as applicable shall be deducted from each running bill.

Any other advance or adhoc payments, if paid, will be deducted from the bills.

Payment against final bill will be released within 15 days after approval of bill by IGL / consultant, duly verified. Final bill will be submitted within 15 days of virtual completion of the work.

Case-4

10% advance along with work order.

80% progressive payment based on mutually agreed milestone to be decided in Kick Off Meeting.

10% After successful commissioning of plant.

The billing shall be done on pro-rata on the above basis.

Case-5

Payment will be released against monthly bills duly certified by IGL’s engineer.

Service tax @ 12.24% shall be paid extra against submission of MODVATABLE invoice

TDS/ESI/PF etc will be deducted at source as applicable.

Case-6

-- 90%of Job Order Value shall be paid to contractor as progress payment on monthly basis against measurement of progress achieved based on mutually agreed terms.

TDS, ESI, PF etc., as applicable shall be deducted from each running bill.

--10% of Job Order Value shall be retained as Retention amount against Performance

till Defect Liability period.

"--Service Tax as applicable , will be paid extra.

However, this amount can be released to contractor after Completion of job, on submission of bank guarantee as per IGL format of same amount valid till defect liability period.

"

--75% adhoc payment of monthly running bill shall be released within 7 days of submission of bill and balance within 30 days of submission of bill after certified by IGL including recommendation of adhoc

Case-7

100% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc) along with submission of performance bank guarantee as per IGL format for 10% of basic order value.

Case-8

(a) 10% advance against submission of advance bank guarantee as per IGL format

(b) 15% against submission of drawings

(c) 65% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..

(d) 10% against submission of performance bank guarantee as per IGL format

Case-9

(a) 10% advance against submission of advance bank guarantee as per IGL format

(b) 15% against identification of major raw material

(c) 65% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..)

(d) 10% against submission of performance bank guarantee as per IGL format

Case-10

(a) 10% advance against order acceptance

(b) 80% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..)

(c) 10% against submission of performance bank guarantee as per IGL format

Case-11

(a) 10% advance against against order acceptance

(b) 15% against approval of drawings

(c) 65% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..)

(d) 10% against submission of performance bank guarantee as per IGL format

Case-12

(a) 10% advance against order acceptance

(b) 15% against identification of major raw material

(c) 65% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..)

(d) 10% against submission of performance bank guarantee as per IGL format

Case-13

(a) 90% against Performa Invoice

(b) 10% against submission of performance bank guarantee as per IGL format

Case-14

(a) 25% advance against order acceptance

(b) 65% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR etc..)

(c) 10% against submission of performance bank guarantee as per IGL format

Case-15

(a) 15% advance against submission of advance bank guarantee as per IGL format

(b)15% against approval of drawings

(c) 50% against dispatch documents (i.e. Invoice, Excise Invoice, copy of LR, etc..)

(d) 10% against mechanical completion

(e) 10% after commissioning and against submission of performance bank guarantee as per IGL format

SAP mm

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1 Answer

  • Posted on Aug 23, 2007 at 10:53 AM

    Hi,

    You first have to freeze the Text so as to make it within 50 characters keeping in mind to make it contain all the important features .Than categorise it alphetically or in any other order as relavant .Than in Materials Management-Purchasing -Vendor Master -Define Terms of Payment add one by one with detail as required.

    Dhruba

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