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Function documentation Business Places (FI)  Locate the document in its SAP Library structure

Use

In Thailand, companies have to register each of their sites (for example, offices and plants) with the Revenue Department. Each site is responsible for collecting its own value-added taxes and preparing its own VAT returns.

In the system, each site is represented by a business place. For more information about the business place concept, see Local Taxation.

Integration

Since the business place's purpose is to collect and report VAT items, it is essentially a Financial Accounting (FI) organizational unit.

However, VAT items are not just created in FI. For example, they can also come from customer invoices in Sales and Distribution (SD) or vendor invoices in Materials Management (MM). The system automatically assigns the original documents (billing documents or material documents) to a business place. Then, when the system creates the appropriate accounting document, any VAT items are assigned to the correct business place too.

If you use SD or MM, you must also customize the business place for use in those components (see Business Places (SD) and Business Places (MM)).

Activities

The following describes how the business place is used in FI only.

Customizing

In Customizing for SAP NetWeaver, choose General Settings → Set Countries → Define Countries, and make sure that the ISO code for Thailand is TH. This activates the business place functions.

Note

If for any reason you want to disable the business place functions, leave the ISO code as TH, and enter XX in the Vehicle Country Key field.

Set up your business places in Customizing for Cross-Application Components, by choosing General Application Functions → Cross-Application Document Numbering → Thailand.

Day-to-Day Activities

Ultimately, each business place has to report all business transactions involving VAT or withholding tax to the Revenue Department. For this reason, every accounting document in the system that contains a VAT item must be assigned to a business place. This procedure is described in detail in each component.

Periodic Processing

Any payments that you make also have to be assigned to a business place, so the payment program is affected as well.

Reporting

Each business place creates its own input and output tax returns, using the accounting documents that have been assigned to the business place.

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