Intercompany Billing

[Former Member]

In The Intercompany billing, from where does the system takes up the destination country into consideration in billing.

Is it from company code or plant or something else?

Thanks in advance

[Former Member]

Hi Sen,

For Intercompany sales, there are two ways needed to take consideration. One is the billing flow and the other is logistical finished goods flow. The important thing is to identify from which cc the Finished Goods is sold to which cc or end customer and how FG flows between plants.

For example, CC 1000 in US (plant 1000, sale org 1000) and CC 2000 (plant 2000, sale org 2000) in HK. CC1000 needs to sell FG to HK local customer, you can use sales org 2000 under cc 2000 to sell FG owned by cc1000 and this will trigger an intercompany sales. Two invoice will be generated first is from CC1000 -> CC2000 and second CC2000->end customer. while the first one will use transfer price.

In summay, cc is the key to identify the intercomapy sale flow and the flow between cc should be defined in your system.

Pls award if the answer is helpful.

Eric