How to adjust the balance of AP down payment,if we have received the remaining balance back?

[former_member608333]

Hi Dear Experts, Please help me with AP down payment criteria when the down payment partial adjust against invoice and the vendor refund the due balance amount through check or cash.

My scenario is:

Made a down payment for 50K and made payment of said amount.

AP Invoice was only 48K, (linked 48K of down payment to AP Invoice)

I need to record 2K returned by my vendor.

[former_member599925]

Hello,

Following is the proposed Solution to Make such Entries

Step 1: Create A/P Down Payment Invoice.

Step 2: Create Outgoing Payment. Please note that while creating Outgoing Payment don't select A/P Down Payment Invoice against which payment is to be made . Instead select On Account Payment and amount will be same as A/P Down Payment Invoice and add the document.

Step 3: When you receive Vendor Invoice, you will get actual AP Invoice Amount that is less than amount you paid to Vendor. Once you get the actual Amount, Make internal reconciliation for the vendor with Outgoing Payment and A/P Down Payment Invoice. Now reconciliation amount will be same as Vendor Invoice Amount.

In this stage SAP Create auto Journal Entry and allow you to make Incoming Payment from the Vendor.

Step 4: Add AP Invoice as per Vendor Invoice and link A/P Down Payment Invoice while adding it.

Step 5: Now A/P Down Payment Invoice will be remained open for pending amount which needs to be taken back from the Vendor. Create AP Credit Memo based on the A/P Down Payment Invoice.

Step 6: Create Incoming Payment. Please note that while adding Incoming Payment select Vendor as option

Regards,

Shrikant Mandavkar