Permiited Payye advantages

[sandeep_pv]

Hi,

Suppose I have a main vendor and 5 permitted payees for it.

1. Why I am not creating all permiited payess as diferent vendors?

2. Why I cannot use Invoice payee rather than permitted payee?

3. What are the advantages of using permitted payee?

Please advice.

Thanks.

[Marssel700 · Accepted solution]

Dear,

1. They are different vendors. If they don't, the are no need to do that.

2. You can use it. I usually recommend using payee in document, because the users have to enter or choose the payees deliberately.

3. Depends on the business process and commercial agreements between vendors

Regards

[sandeep_pv · Accepted solution]

Thanks.

I have one PO vendor which have lot of invoice payess , say 10 invoice payees.

1.So if I have to suggest a good procedure, then is permitted payee a better option?

2.Can we use invoice payee in this scenario?

Please explain in detail.

Thanks,

[Marssel700 · Accepted solution]

1.So if I have to suggest a good procedure, then is permitted payee a better option?

Yes. Creating invoices for many vendors, you might define a vendor record that will receive the payment. You can even create a new record to be a payee of the group.

Enter the FK02. In option: payment transactions in the segment of the company, and click the 'permited payee'. You will assign all vendors records that be used as payee. During the Invoice change, look at the matchcode field of earlier definition to chosse vendor what will be the payee.

2.Can we use invoice payee in this scenario?In this case you can create an invoice for more than a vendor via miro.

In this case you may create an invoice for more than one vendor by miro, however you can't do it in same run. You must execute Miro with the invoice value for each individual vendor until be equal to the main invoice sum.

To define different vendors from the 'PO', enter in 'details' tab and fill the field 'Different Invoicing Party' with chosen vendor.

let me know if I was clear

Regards

[sandeep_pv · Accepted solution]

Thanks.

My scenarios are like this.

I have the main vendor and 10 different invoice payees for this.

The main vendor provided the services for $1000.

But we are not sure who will sent the invoice. Suppose Invoice payee A sent the invoice for $1000.

Next time main vendor provided services for $2000 through a different PO and invoice payee B sent the invoice.

In this case while generating PO we dont know who will send the invoice.

1. In this case what will happen if we use invoice payees?

2. And what will happen we create permitted payees?

3. Which is the best practice SAP suggests?

Please advice.

Thanks

[sandeep_pv · Accepted solution]

This message was moderated.

[Marssel700 · Accepted solution]

1. In this case what will happen if we use invoice payees?

You will create a PO and receive vendor material, then create vendor invoice for another master record. There is absolutely no problem, because the Vendor invoice entered is the only relevant process for accounting.

2. And what we create Will Happen Permitted payees?

The vendor bank account will be posted. Once again accounts won't be affected, since clearing Document got same vendor that has created the Invoice.

3. Which is the best practice SAP Suggests?

This is a standard process. It is perfectly applicable since it suits the logistical and financial accounting needs.

I'll give you an example: Here in my state (Pernambuco - Brazil) when we make a PO from another state, we have taxes to government, not to vendor. thus we use regularly Invoice payees. recommend you do a test with your end user. Display results for an accounting analyst and check his comments.

Good luck and go deep.

[sandeep_pv · Accepted solution]

Thanks Marssel for your suggestions.

Do you know any scenario where we use permitted payees for PO vendors?

And if you use then why can't we just use invoice payee.

May be I am asking the question again and again but still can't understand the difference between same.

If you find any document for this then let me know.

Thanks