Accounting for a specific expense in Automotive Industry

[Former Member]

Hi to everyone

We currently on the implementation of SAP at a motor vehicle dealership. I would like to know how I will account for registration fee of a car when doing an invoice.

Registration fee is paid by the dealer on behalf of the client. This registration should appear on the invoice but should not accounted in the turnover of the dealer as this sum is paid on behalf of the client.

How would you create registration fee? As an item? which category? and on what tax code would you allocate it.

Thanks

Kentish

[former_member583013]

You could create Regitration with Item Level G/L instead of basing it on a Item Group / Warehouse. this can be done by going to the Item Master, Inventory Tab and chaging Set G/L Accounts By - Item Level

This will let you change the GL account at the row level for each warehouse.

Setup a Special Price for this Item so that it gets 100% discount at the row level when you add to the marketing document.

This way the cost would go to COGS and no revenue will be realized at it is discounted 100%

Suda