Vendor Invoice with exchange rate type T and M, rate difference is posted back to AP

[former_member709767]

Dear SAP master,

We are having problem with exchange rate type T and M. In OB08, we have maintained the rate as follow:

In VAT and WHT setup, we also set tax transaction using T rate. So we expect during posting:

- WHT and VAT lines are using T rate

- Expense and AP Vendor lines are using M rate

- The rate difference is posted to a separate GL account

But during posting of FI Vendor Invoice (T-code FB60) the rate difference is not absorbing the full difference. Exchange rate difference from VAT is posted to a separate GL Account, but Exchange rate difference from WHT is posted back to AP Vendor line, as screenshot below:

Please advice what setup did we missed? Thanks beforehand

[fatah_yasin]

Hi Morevin,

Have you finally solved this problem?

May I know how you solved it? Since I have the same problem with you currently.

Appreciate your help, thank you.

[sanilbhandari]

This seems to be an old thread. May be you post a new question which could help get you responses faster

[former_member709767]

Please help if anyone have other suggestion.

[former_member709767]

Hi All

Please help on the issue, still not resolved. How to setup to make Exchange Rate difference (rate M vs T) from Withholding Tax is absorbed by P&L Account? Currently its absorbed to Vendor account. Thanks

[former_member709767]

Hi Gustavo

Yes, current system behavior the ExRate difference (rate M vs T) from Withholding Tax is not absorbed by P&L Account. How to setup to make it absorbed by P&L Account?

[Gustavo_Vazquez]

Manually enter Amount in LC in vendor line :-s

kind Regards

[Gustavo_Vazquez]

Hi,

The ExRate from VAT is absorbed by P&L Account.

The ExRate form WT tax (T) is used in calculation but discounted from Vendor Amount in Document/Local Currency.

Kind Regards

[former_member709767]

Hi All

I think in short, my question would be: For Withholding Tax line item, why is it the exchange rate difference between M rate and T (Tax) rate is absorbed to the AP Vendor line item, instead of to the Gain/Loss Account? We already setup T-code OBA1 (KDF) and includes Withholding Tax GL accounts.

And in T-code OBC8, the translation for tax items is setup as 1 (Manual exchange rate entry possible)

Please help...