| Multicompany purchase invoice matchingIn a multicompany structure in LN, purchase invoice
matching is possible in any financial company of the structure, provided that
the companies share the correct tables for this purpose. Multicompany purchase invoice matching is needed to support: The use of a shared service center for Accounts
Payable Central handling of purchase invoice entry, invoice matching
and payment for multiple financial companies. VAT registration in multiple EU countries If a company’s activities that are subject to value added
tax (VAT) in an EU country other than the member country in which the company
is registered exceed a specified threshold, the company is legally obliged to
be VAT registered in that other EU country. In a multicompany structure, a dedicated financial company
is created for each foreign VAT registration. Usually, the purchase offices in
which the purchase orders are entered are not linked to such financial
companies. If the purchase invoice matching can be performed in the
‘VAT registration companies’, the costs of the purchase order are automatically
charged to the company of the purchase office. If this matching scenario is
used, it is no longer necessary to create an internal invoice between the two
financial companies.
Posting principles The posting principles that apply to this method of purchase
invoice matching are as follows: - The costs directly related to the purchase order and/or
inventory are posted in the financial company of the purchase office. Some
examples are the price variance, the FTP result, and additional costs posted at
matching.
- The results from the open entry are posted in the financial
company in which the purchase invoice is registered and matched. Some examples
are the currency result, the payment discount, the late payment surcharge, the
payment difference.
Purchase invoice matching setup To support the two purposes a very flexible purchase invoice
matching setup is required, as follows: - A shared service center for Accounts Payable requires a setup
in which the orders from purchase offices linked to a number of financial
companies are all matched to the purchase invoices in one financial company: a
many to one relationship.
- VAT registration in multiple EU countries requires a setup in
which the purchase invoices in various ‘VAT registration companies’ can be
matched to purchase orders from purchase offices that are linked to any of the
financial companies in the multicompany structure: a many to many relationship.
Note To support multicompany purchase invoice matching, the
companies involved must share these tables: tfacp240, tfacp245, tfacp250, and
tfacp251. Multicompany purchase invoice processing In a multicompany structure, the following rules apply to
purchase invoice matching. Order-related purchase invoices The following applies to order-related purchase invoices
including self-billed invoices: - A purchase invoice can be entered in any financial company
that shares the required tables with the financial company of the purchase
office. During invoice matching, LN offers only those orders and receipts that
are linked to the financial company in which you match the invoice.
- Additional costs posted during matching are by default
posted in the financial company of the purchase office. If these costs must be
posted in the financial company in which you match the invoice, you can enter
the company number in the Target Company field in the Matched Purchase Invoice/Statement Line Transactions (tfacp1133s000) session. VAT is
considered to be related to the invoice and is therefore posted in the
financial company in which you match the invoice. An exception is
non-refundable tax (expense tax), which is considered as a cost related to the
order and is posted in the financial company of the purchase office.
- Cost items are considered to be related to the purchase
order and are posted in the financial company of the purchase office. The
expense account for cost items can be specified at the order entry or at
purchase invoice entry. In the latter case, the costs are first posted to an
interim account in the financial company of the purchase office. In teh Accounts Payable module,
the costs can be posted to specific expense accounts. In the financial company
of the purchase office, the interim account must then be reversed. By default,
the costs are posted to the actual expense accounts for the financial company
of the purchase office. You can change the company number in the Matched Purchase Invoice/Statement Line Transactions (tfacp1133s000) session.
Cost invoices Cost invoices can be registered in any financial company. In
the transaction details, you can associate a financial company with the cost
account. This triggers the generation of an intercompany entry to transfer the
costs to the correct financial company.
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