
To recognise revenues either as event or based on time, SAP developed SD Revenue Recognition (SD RR) functionality in 2005. Many SAP Customers have been using the same since then and it has been a stable component. As soon as the new regulations from IFRS15 came along, SAP introduced the new functionality SAP Revenue Accounting and Reporting (SAP RAR). The purpose of SAP RAR is to handle the new IFRS15 regulations announced on 28 May 2014 with an effective date of 1 January 2018 in countries that adhere to both US GAAP and IFRS. This SAP RAR is available as an add-on and can be implemented in SAP ECC 6.0 with enhancement package 5 or SAP S/4HANA. For integration with SD, we require software component SAP SALES INTEGR SAP RAR 1.0