RE:[sap-log-mm] Frieght Purchase Orders

Posted by Sap Land Monday, 26 September 2011 12:34

Posted by manojr
on Sep 26 at 3:36 PM

Thanks Satish for your reply.

Is it possible to add service Tax on Freight in PO when we use a freight condition( with different vendor) in material PO?

---------------Original Message---------------
From: Satish Patankar
Sent: Monday, September 26, 2011 6:54 AM
Subject: Frieght Purchase Orders

It is always better to have freight costs included in material purchase PO to get the material stock valuation right.

But you also have to look at business considerations. For example in the case you have explained, obviously the equipments are purchased under projects, or as AUC (Asset Under Construction). In such cases the transport cost may be tracked separately, since finally when you capitalize, all costs will get included.

The transportation cost is expected to be high, and you need to track service tax on it separately so that you can get benefit in tax returns.

Regards.
Satish.

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