Tds excemption by amount.

[Former Member]

Dear All,

     Some of our vendors are getting TDS exemption by amount. It is like this UP to 20000000 exempted rate for 01.04.2014 to  31.03.2015 .01% and after that normal rate.

In 2014 I created a new TDS  tax code  and tax type  and in formula for calculating TDs created the exemption rate as below and it was working fine last year.

But  on for 01.04.2015 to 31.03.2016 he has produced a new certificate for 15000000 .01 % and after that normal rate of 2%

I have created a new line item in the  header data formula with the tax code starting from 01.04.2015 and in the given the formula same as done in the last year  and assigned to the vendor master but while posting getting the  below error. kindly give solution

[former_member219217]

SAP has introduced this functionality and we have implemented the same successfully. Pls go through note 1945137 and implement all the prerequisite and notes referred in note 1945137.

Regards,

Ramnik

[Former Member]

Dear

Ramnik Ruprai,

       Sorry for the delay. We actually tried to implement the note but SAP_FIN 617 component was missing in our box. and also EHP level is 0.

[former_member219217]

Hi,

Then it will involve a lot of prerequisite checks of notes. We were already on EHP7 so we were able to implement this functionality.

Regards,

Ramnik

[m_madhu]

HI SK,

Note no 1945137 is valid for below SPL.

|VALID FOR                                                            

|

|Software Component   SAP_APPL                      SAP Application  

|

| Release 600          SAPKH60019 - SAPKH60024                        

|

| Release 602          SAPKH60207 - SAPKH60214                        

|

| Release 603          SAPKH60306 - SAPKH60313                        

|

| Release 604          SAPKH60406 - SAPKH60414                        

|

| Release 605          SAPKH60503 - SAPKH60511                        

|

| Release 606          SAPKH60601 - SAPKH60610                        

|

| Release 616          Until                    SAPKH61605                                |

------------------------------------------------------------------------

Refer

the attached documents and follow the steps accordingly before applying the code

corrections.

------------------------------------------------------------------------

|Manual

Activity                                                      

|

------------------------------------------------------------------------

|VALID

FOR                                                             |

|Software

Component   SAP_FIN                                          |

| Release  617          SAPK-61701INSAPFIN - SAPK-61703INSAPFIN        

|

------------------------------------------------------------------------

Refer

the attached documents and follow the steps accordingly before applying the code

corrections.

Regards

Madhu M

[Former Member]

Hi you have miss the check button as Tax agent so the system is showing that error even we have come across the same error .you have to tick the tax agent check box in the configuration

[Former Member]

Dear inayat khan,

Thank you inayat khan Can you guide me where to give tax agent check box in configuration. But last year this particular tax code was calculating correctly.

[former_member198650]

Hi Sajitha,

First the run program RFWT0010 in SE38 for the vendor by removing test run. After that do posting.

Regards,

Mukthar

[Former Member]

Dear Mukthar,

Thank you for your immediate reply . I have created a new vendor for testing purpose and assigned the tax code.

[former_member198650]

Hi Sajitha,

Does system calculate the TDS correctly?

Regards,

Mukthar

[Former Member]

Dear Mukthar,

   It is not working . While running the RFWT0010 in SE38 no data is updating . It is a new vendor no posting happen to that vendor also. kindly my concern is why system is not calculating the formula in the current year.

[former_member198650]

Hi Sajitha,

Share screen shot of TDS formula assigned from 01.04.2015 for the w.h.tax type.

Regards,

Mukthar

[Former Member]

Dear Mukthar

kindly see the screen shot. The same way has given last year also and it was calculating correctly.

[former_member198650]

Hi Sajitha,

Have you maintained withholding tax details in the vendor master? And also check in the master data whether liable check box selected against the w.h.type in it. And also check at the time of assigning withholding tax type to co.code, have you selected "with/tax agent" check box.

Regards,

Mukthar

[Former Member]

Dear Mukthar and inayat khan,

   I find out the issue . In the company code assignment to tax type I have given period from 01.04.2014 to 31.03.2015  that is why it is not calculating this year. I extended the year range and it is working. Thank you very much for your support.

Issue solved.