Bank Charges

Banks levy a service charge on each transfer that they process. The amount of the service charge is based on:

• The actual amount of the transfer (also referred to as the treating amount).

• Whether the transfer is an express or letter transfer.

• Whether the transfer is an internal or external bank transfer.

• Whether the transfer is an internal or external branch transfer.

Either the customer or the supplier agrees to pay the bank charges. The amount of the transfer is the total payment amount minus the bank charges and tax.

In addition, the service charge for each bank transfer is subject to consumption tax. In some cases, the addition of the consumption tax on the amount of the transfer moves the transfer into another treating charge category. When this happens, the transfer becomes subject to a lower service charge, and the business must recognize an adjustment for the transfer.

The bank transfer type is payee-specific and is stored in the F750401 table. You can access the information that is stored in this table by choosing Regional Info from the Form menu of the Supplier Master Information form.