What is point of title passage in SAP FI - Financial Accounting?

SAP Term: point of title passage

• Component: FI

• Component Name: Financial Accounting

• Description: Location tax jurisdiction where ownership of goods is formally transferred.

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• Key Concepts: 
  Point of Title Passage (PTP) is a term used in SAP Financial Accounting (FI) to describe the transfer of ownership of goods from one party to another. It is a process that occurs when goods are sold and delivered to the buyer. The PTP is the point at which the seller transfers ownership of the goods to the buyer, and the buyer assumes responsibility for them. 
  
  How to use it: 
  In SAP FI, PTP is used to record the transfer of ownership of goods from one party to another. This is done by creating a document called a Goods Receipt (GR). The GR is used to record the receipt of goods from the seller and the transfer of ownership to the buyer. The GR also records any taxes or other charges associated with the transaction. 
  
  Tips & Tricks: 
  When creating a GR in SAP FI, it is important to ensure that all relevant information is included. This includes the date and time of the PTP, as well as any taxes or other charges associated with the transaction. It is also important to ensure that all parties involved in the transaction are correctly identified. 
  
  Related Information: 
  The PTP process in SAP FI is closely related to other processes such as Goods Issue (GI) and Invoice Verification (IV). GI is used to record the delivery of goods from the seller to the buyer, while IV is used to verify that all invoices associated with a transaction have been paid.