Dear Experts,
Please go through the below scenario and share your valuable inputs.
Given the scenario and requirement kindly suggest best possible options to handle the below scenario.
Scenario
- Head office is in US and a company code created in US to handle HQ operations.
- Similarly Branch office is in India and a company code is created in India to handle the Branch operations.
- Company is on ECC 6.0, New GL is not implemented , however company uses Special Purpose Ledger.
- Head Office and Branch Office Company codes use same Chart of Accounts.
- Branch office books are consolidated with Head office books to prepare Financial statements in USGAAP
- However for India GAAP, the differential valuation entries are passed outside SAP
- Accordingly India GAAP Finanacial statements are currently prepared outside SAP.
- Hencforth, Head office dont want differential entries to be posted in SAP ,
as these entries would impact Head office books during consolidation.
- Fiscal Year Variant for HQ/Branch is K5 ( Calendar Year with Year Dependent Periods 4,4,5)
- Branch office has small operations - Currently FI-GL, FI-AP , MM modules are implemented
Expectation
- With effect Dec 2013, all the valuation difference for India GAAP, should be posted in ECC 6.0 in the Branch Company Code
- Differential entries posted in branch Company Code should not impact the US GAAP or Head Office Books while consolidation.
- Branch office wants , Dec 2012 valuation difference closing entries, to appear in ECC 6.0 after this new solution.
Regards,
Sanjai