Changes to Down Payment functionality in version 8.8: The first area affected is the reconciliation of down payment requests. For more information on how this was done prior to 8.8 see the following link

In this blog we will cover how the down payment behaviour has been enhanced in version 8.8 and how it compares to previous versions.

In the 8.8 Release Family, you can now link a down payment request to the final invoice at the time you create the invoice, instead of in the banking module, as it was in earlier versions of SAP Business One, reducing the steps needed to complete the process. It allows for the linking of partially paid down payment requests and provides an option to close any down payment request that will no longer be paid.

(Screenshot – UK loc. – 8.81 Patch 7)

Another change in this area was made to VAT codes. In SAP Business One 8.8 the methodology for dealing with different VAT codes in down payment invoices or requests and the related final invoices has been changed. The system also allowed this in versions prior to 8.8 but the calculation of the VAT amount in the final invoice has been brought in line with local requirements in 8.8 to account for localized legalities and business processes.

(Screenshot – UK loc. – 8.81 Patch 7)

Please note that the VAT calculation in the final invoice will vary depending on the localization used.

In the area of Reporting the open items list report now also shows down payments that have been paid, but can still be linked to final invoices. These were not available in previous versions.

(Screenshot – UK loc. – 8.81 Patch 7)

One of the biggest changes was to the Czech, Hungarian, Polish, and Slovak localizations where you can now link down payment invoices and down payment requests together on the final invoice.

(Screenshot – PL loc. – 8.81 Patch 7)

The accounting posting for the down payment request process has been changed for all countries except China, the Czech Republic, Hungary, Japan, Korea, Poland, Russia, and Slovakia.

A new down payment interim account has been added in the business partner master data, accounting tab.

(Screenshot – UK loc. – 8.81 Patch 7)

When, for instance, an incoming payment in relation to a down payment request is posted, the interim account is debited for the total amount of the request. The down payment clearing account is credited for the net amount. For example:

Dr. Cash                                100

Cr. Accounts Receivable (BP)                    100

Dr. DP Interim Account            100

Cr. DP Tax                                             10

Cr. DP Clearing Account                           90

Once the request is drawn in a final invoice, both accounts are offset. The DP interim account is credited for the amount incl. Tax while the DP clearing account is debited for the net amount.

Dr. Accounts Receivable (BP)    100

Cr. Final Invoice Tax                              10

Cr. Sales / Revenue                               90

Dr. DP Clearing Account           90

Dr. DP Tax                             10

Cr. DP Interim Account                          100

And finally the user interface for linking the down payment invoices or requests (Down Payments to Draw window) has been enhanced to show all the information needed to cover the whole business process.

(Screenshot – UK loc. – 8.81 Patch 7)

New NetWeaver Information at

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