Open receivables can be written off in full or, if a partial amount of the open receivables is to be waived, the open receivables can be written off as a partial amount of the open items.
You can specify the partial amount to be written off in the Write Off Items transaction FP04. Partial write-offs must be explicitly permitted in customizing along with a write-off reason.
When an item is written off, the written-off document items are cleared and a write-off document is created. The system automatically posts the expense or revenue accounts defined in customizing.
When a write-off documents is reversed, the receivables or payables are open again.
You can define rules for adjusting tax during write-offs. If the posted expense account is tax-relevant, the system also adjusts the posted tax during write-off.
You can set the indicator that determines that the check rules are not used with the appropriate authorization.
[1] Receivable Posting
[2] Payment in FI-GL (incoming bank statement)
[3] Payment in FI-CA (payment lot processing, partial payment)
[4] Write-off the receivable
[1] Receivable Posting
[2] Payment in FI-GL (incoming bank statement)
[3] Payment in FI-CA (payment lot processing, partial payment)
[4] Mark the receivable as doubtful
[5] Individual value adjustment
Steps [4] and [5] generate FI-CA documents without business partner items, which are relevant only for general ledger accounting.
[6] Write off the receivable
[7] Reset the doubtful entry
[8] Reset the individual value adjustment
The write-off history is automatically updated during write-off.
The write-off history can also be automatically updated during mass write-off, depending on authorization.
The write-off history records the reversal of a write-off document as well.