PO is for Supplier A and Payment Supplier B

[jairam.apps]

Hi all,

This is an immediate requirement.

We have a PO created for Vendor A, but vendor A assigned payment to a new Vendor B.
Now Vendor B wants the check to be payable to it and not vendor A and they don?t want to change the PO too.
As far as I know, in Oracle, the check has to cut to whatever vendor the PO is created under.

This change in assignment of payment is a legal arrangement that we have to abide by.
Is there a feature in Payables by which the checks can be made payable to a different name without changing the PO.

If it can be possible, please provide the steps to to setup this issue.

Solutions Tried:
****************
Add another pay site under the existing vendor so that the payment would go to the new Vendor.
But this doesn?t change the first line on the check which is "Payable to Vendor A".

In case we do not have any such feature in Oracle, the only solution I can think of would be to wire the money to Vendor B
and continue to have the payment and PO in Oracle as payable to Vendor A.


Regards,
Jairam
jairam.apps@gmail.com

[jairam.apps]

Hi friends,

I need this functionality in 11.5.10.2.

Thanks in advance.

Jairam.

[AmanKhan]

HI Jairam,

I think its not possible in AP as we cant define relationships b/w suppliers as we can define in AR.

Lets c if anyone know some workaround.

thanks,
Aman

[yfuente]

Hi,

The booking and matching of the invoice should be done for Vendor A from a legal perspective, although another Vendor B or Subsidiary company can do the payment on behalf of Vendor A.

Your solution should be dealt with during the payment process and not during the booking of the transaction.

A workaround could be that you handle all transactions with Vendor A and than create a credit to reflect a transfer to Vendor B.
You can do this on transaction level (invoice by invoice) or you generate a lump sum credit and a new creation of an invoice for Vendor B.

Hope this is a possible workaround.

Rgrds,
YF

[anu_uma]

Hi,

Invoice has to come from the Vendor A and the payment can be made in the name of Vendor B where as in the system the payment will be for the Vendor A only. You can develop a report to cut the check in the alternative name of Vendor B

It is possible but the records will show the details of invoices and payments in Vendor A name only

[joythomas]

Jairam .
There are many workaround solutions in Oracle application to accomplish your Requirement . These workaround depends upon the the legal requirements of the country and the reason of the paying to a third party and the volume of the Third party Payments . If this is a tax with holding type or a granishment , you can use Tax with holding concept and make the payment to a third party.
Look at this attached metalink note
https://metalink2.oracle.com/metalink/p ... ,helvetica

134097.1 Extended Functionality in Oracle Payables Without
Custom Code

This is a very helpful note .
and let me know, are you using the AR /AP netting .

(This note talks about the 1099 , this is applicable to America only . ( Form 1099 is a form promulgated by the Internan Revenue Service ( IRS,American Tax Autority )and is used in the United States Income Tax System to to report various types of income other than wages, salaries, and tips (Which is not reported on W2 - This is a document in USA to report your Your wages , Salaries and tips )

Thanks
Joy Thomas

[sqardan]

You can Add a descriptive flexfield on the payment screen with the value of vendor B, customize the payment check (beneficiary name) to read from the Descriptive Flexfield.
This way the invoice is paid in ORACLE and the payment check went to the real beneficiary (vendor B)