OBYA - Intercompany transactions

[Former Member]

Hi,

I would like to better understand the scenarios where the clearing accounts in transaction "BUV" (Tcode OBYA) should be set as GL postings and vendor postings.

I am very familiar with settings in OBYA as Dr (40) & Cr (50) of GL accounts. When an intercompany transaction is posted, the system uses the clearing account specified here for the missing leg in each of the CoCodes.

The above set up would also work if the paying company code is different in AP. I understand that trading partner fields can also be populated with the above setting.

I am not clear on scenarios where the interco clearing accounts are specified as vendor accounts. Any information that would help me to better understand this would be great.

Thanks,

SD.

[Former Member]

Great question! I think you define intercompany customers/vendors in OBYA, as opposed to clearing GL accounts, when several entities under one umbrella have contracts between them in such a way that they need to generate intercompany receivables/payables when they transact with each other. Meaning, the need to generate sub-ledger entries. If there is no such need, you just assign a clearing GL account in OBYA. At a consolidated level (when you add up the numbers of all entities at the corporate level for external reporting purposes), the balance in clearing account should automatically net to zero.

[Former Member]

Thanks for your reply, It was helpful in understanding little bit better.

--SD.