Forex gain / loss entry in group currency

[Former Member]

Dear Expert

In additional local currency for company code setting [ OB22] , we have maintained 1^st local currency “ AED” [Currency Type 10 – Company code currency ] and Second local currency “ INR” [ Currency Type 30 – Group Currency ]. As a result , we are getting  all the transaction  both in AED and INR . Because of additional local currency in system , we have maintained Exchange rates for Group Currency as well as stated below : -

But the problem we are facing during clearing of open items .

For example , if a invoice in raised on 01.04.2012 of AED 1000 , it will convert value in Group currency based on exchange rate maintained , AED 1000 x 15.10 = INR 15100 and a payment is also made on 01.05.2012 of AED 1000 , again that will convert the same in group currency AED 1000  x 16.10  = INR 16100.

Now when we are trying to clear above open items , system is trying to post entries in FOREX GAIN / LOSS Account in INR  ie. Group Currency.

Which we do not want to post in  Group Currency . 

regards

Vinay

FI/CO

[Former Member]

Dear Vinay Prasad,

System will post diff only group currency, just think AED 1000 and payment also AED 1000. But in

Group currency 1000*15.10= INR 15100 and at the time of payment 1000*16.10= INR 16100.

Here we got only group currency because of ex rate diff t code: OB08.

So that value post zero in local curr(co code curr) and diff in second local curr (group curr)

Regards

Mani.S

[Former Member]

Dear Expert

Agreed but this is the case of one of our subsidiary and in that case we do not want to post forex gain / loss entries.

Is there any way out to by pass such posting for subsidiaries ?

regards

Vinay

FI/CO

[orhan_]

Any solution here? I have the same issue