1、withholding Tax a withholding tax,also called a retention tax,is a goverment requirement fo the payer of an item of income to withhold or deduct tax from the payment,and pay that tax to thehttp://goverment.Inmost jurisdictions,withholding tax applies to employment income.Many jurisdictions al...
For each company code, you can decide whether you want to use classic or extended withholding tax. Since the extended withholding tax option includes all the functions of classic withholding tax, SAP recommends the use of extended withholding tax (see below: Table of Classic and Extended Withhold...
In Accounts Receivable, the company code itself is subject to tax, and the customers that do business with this company code deduct withholding tax and pay this over to the tax authorities on the company code’s behalf. In both cases, the business partner of the person/entity subject to tax...
The concerned Business partner master data for the Supplier/Vendor must be affixed with the applicable Tax Type and Tax Code. This is maintained in the BP role Supplier (Fin. Accounting) -> Company Code Data-> Vendor: Withholding Tax. Please ensure that “Subject to Withholding tax” checkbox...
In Administration -- Setup -- Financials -- GL Account determination check in Purchase Tab. Have you ticked on the Withholding Tax. Or Subject to Withholding Tax Indicates that the vendor is subject to withholding tax. Only available for vendors and if you have selected Withholding Tax on the...
For every business transaction on vendor accounts, you specify whether it is subject to withholding tax or not. You use the field status definition for the posting key and for the reconciliation account to do this, by suppressing the fields for withholding tax or defining them as optional fields...
scenario: Vendor invoice posted with withholding tax, entry recorded is Vendor Cr 900 Withholding tax payable Cr 100 Expense account Dr 1000 Where withholidng tax payable is a GL account where all withholding tax payabe is credited for all vendors subjected to withholding tax. In the system ...
1. GL Account Type –This field has to be consistent across source & target systems. Balance Sheet Accounts map to Balance Sheet Account in CFIN P&L Account without Cost Element in source map to Nonoperating Expense or Income account in CFIN ...
i am facing the problem while Down payment, it is giving the error message as Withholding tax amount exceeds total bank line item amounts. Message no. 7Q320 I have checked the Gl accounts, in gl accounts Relevant to cash flow check box already selected. If i change the vendor account (...
Classic: only pass ACCOUNTPAYABLE-W_TAX_CODE Extended: pass at least ITEMNO_ACC, WT_TYPE (withholding tax type) and WT_CODE (withholding tax code) In either case you should check your Customizing for tax calculation time (invoice or at payment time or at invoice and payment time). Regards...