DOCUMENT SPLITTING in new GL in SAP ERP

One of the new features in new GL is 'Document Splitting'. Document Splitting enables you to create financial statements based on Profit Centers, Business Areas or Segments.When the document splitting is activated SAP splits line items according to splitting rules.



For Example : If a company is having two segments named A and B and Document Splitting is activated, then the common expense will be bifurcated among segment A nd B.

In Document Splitting the line item can be split on in the 'GL View'  and not in the 'Entry View'.

ENTRY VIEW
	Item	Amt	Profit Center
31	ABC Co	2500
40	Audit Fees	1500	X
40	Consulting Fees	500	Y
40	Tax	500
GL VIEW
	Item	Amt	Profit Center
31	Payable	1875	X
40	Audit Fees	1500
40	Tax	375
31	Payable	625	Y
40	Consuting Fees	500
40	Tax	125

In the above example we can see that the Tax is bifurcated among segments X and Y in the proportion of the related expenses ( Audit Fees -1500 and Consulting Fees 500 ).

Document splitting can be activated for each client and can be activated or deactivated for each company code.All company codes for a client can use only one document splitting method.The default procedure for document splitting is 0000000012 (Modifiable).  But the important thing to be noted is that once document splitting is done it is not possible to reverse it at a later period of time.