This segment is used to specify any allowances or charges related to the complete order response. If allowances and charges are applicable for the same line item they must be indicated using separate repeats of segment group 41.

As the calculation price type (data element 5125 PRI segment) used in the purchase order is always a net price, allowances and/or charges specified in the ALC segment are for information purposes only.

DE 1227: The calculation sequence indicator is used when multiple allowances and/or charges are applicable. If various allowances and/or charges percentages, quantities, monetary amounts or rates are applicable to the same base price, then the calculation sequence indicator will always equal one.

If the various allowances and/or charges are applied against a fluctuating price (constantly because of the application of other allowances and/or charges) then the sequence of calculation is indicated using this data element.

Note 1: A discount is a reduction in price of an item offered on a one off basis. An important distinction to make between a discount and an allowance is that an allowance is a reduction which is offered on a regular basis.

Example :

ALC+A+++1'

Dependency Notes :

DE 1227: If the allowance or charge is not to be applied against a fixed price then the calculation sequence indicator must be included.

DE C214: This composite is only used if the buyer knows the type of allowance or charge.

DE 3055: This data element is only used if an EAN code is used in data element 7161.

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