sap treasury withholding tax

[Former Member]

Hi,

When  i am trying to create TM01 - fixed deposit creation (nominal interest) - withholding tax is generated

When  doing compound interest creation - no withholding tax is not generated?

What is the reason?

Any config changes need ?

TDS entries:

On Maturity or End of Financial Year, Whichever comes earlier.

Maturity

Bank Account                                                 DR

TDS on Interest/Advance Tax & Interest       DR

FDR Account                                                 CR

Interest receivables Account               CR 

[grigoriy_babitskiy · Accepted solution]

Krishna, check configuration here: SPRO -> Financial Supply Chain Management -> Treasury and Risk Management -> Transaction Manager -> Money Market -> Transaction Management -> Flow Types -> Derived Flows -> ...

Detailed description here:

P.S. When you use compound interest - the original flow is being changed from 1200 Nominal interest to 1150 Interest capitalization. So, here tr. SM34 -> VC_TR_DERFLOWS_5 you have to add new original flow + your tax flow.

[former_member198450]

Dear Raju,

TRXV_WT_ASSIGN is SAP slandered maintenance table for deduction of TDS. In this table you define date, product type, transaction type, business partner, update type, withdrawing tax code etc. So system automatically deduct tax as per maintain rate in tax code. You maintain this table in SM30 t-code.

Regards,

Jain

[Former Member]

Hi,

1) End of financial Year the following entry will be passed. how to do it?

TDS on Interest/Advance Tax & Interest DR

Interest Receivables Account   CR

2) At the end of the year, the Withholding Tax GL account will be closed  & New GL Account will be created for the Financial year

How to handle above scenario?

with regards

raju

[former_member198450]

Dear Raju,

Create a flow type like below example.

Create an update type  and assign the same to flow type

MM9000+

MM9000-

Assign posting 13102 spec to update type.

Answering your 2 question, Change in GL that you have to manually take care.

Please make the customization in below path.

Treasury and Risk Management-Transaction Manager-General Settings-Accounting-Link to Other Accounting Components-Define Account Determination

Hope this answer your question.

Regards,

Jain

[Former Member]

Hi,

SM30 t-code. TRXV_WT_ASSIGN

What is definition of  UpTy.Tax amount

Please explain.

[former_member198450]

Dear Krishna,

its nothing but update type define in system for posting of tax.

[sourabh_muthreja]

hello Jain,

in  SM30 t-code. TRXV_WT_ASSIGN ,

i am one doubt   what is the exactly use for this table ? as in my system is deducted the TDS  same that i maintened   in derived flow, there we are giving percentage rate