TDS Change in Billing document

[Former Member]

Dear friends

My client has creadted few service order in last month that time 2% TDS.

Current month they have changed the TDS from 2% to 0%.

Client create biling document l for the last month sales order, billing take 2% TDS.

but my client want 0% TDS in bill

kindly give the solution for solve this issue.

Regards

Paul.S

[Former Member · Accepted solution]

Hi,

Please assign the new WHT codes to customer master and

Please try to run the (applicable) following program. System will adj. the WHT amount in the document.

RFWT0010

RFWT0020

Thanks

Prasada

[Former Member · Accepted solution]

Hi,

what is WHT codes? could you explain in detail .

Regards,

Paul.S

Edited by: subburaj Paulraj on Sep 21, 2009 5:58 AM

[Former Member · Accepted solution]

Hi!

WHT codes means Witholding Tax codes.

These are defined by FI consultant & are assigned to customer/vendors in the respective master data.

for customers - it is maintained in the company code data under the witholding tax tab

for vendors - it is maintained under the witholding tax accounting tab

Example of few WHT Codes are as :

E1 Invoice-Sec 194A-Int other than Security

E2 Invoice-Sec 194C-Contractor

E3 Invoice-Sec 194C-Advertisement Contracto

E4 Invoice-Sec 194C-Sub Contractor

E5 Invoice-Sec 194H-Brokerage/ Comm

E6 Invoice-Sec 194I-Rent

E7 Invoice-Sec 194J-Proffesional Fees

E8 Invoice-Sec-195 Non Resident Payment

EA Payment-Sec 194A-Int other than Security

EB Payment-Sec 194C-Contractor

EC Payment-Sec 194C-Advertisement Contracto

ED Payment-Sec 194C-Sub Contractor

EE Payment-Sec 194H-Brokerage/ Comm

Bascially, Withholding tax is an amount withheld by the party making a payment to another (payee) and paid to the taxation authorities. The amount the payer deducts may vary, depending on the nature of the product or service being paid for. The payee is assessed on the gross amount, and the tax to be withheld (the withholding tax) is computed in that assessment. The purpose of withholding tax is to facilitate or accelerate collection, by collecting tax from payers rather than a much greater number of payees, and by collecting tax from payers within the jurisdiction rather than payees who may be outside the jurisdiction.

Regards

Tejpal Singh