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FD interest capitalization

former_member226654
Participant
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Dear All 

I have one requirement where our client is capitalizing  the interest on FD

and we are calcualting tds also

Now our clinet want that when they are passing the entry for FD interest  capitalizing by T-code TBB1, they want that tds amount to be reduced from interest capitalization amount

let us say interest capitalization amount is 100 and tds amount is 10,

while doing TBB1, interest capitalization should be 90

 

Best regards

Bajaj pankaj

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

HI Pankaj,

There are 2 ways of doing this:

1. Please see note 528502. You can make the Derived flow for TDS as relevant for position and in TBB1 the net Interest capitalization will be posted. A BADi is also delivered with this note, which you can use to modify cashflow.

2. The second method works if you are posting to sub ledger accounts and extended withholding Tax is activated in FI.

You have to maintain the tax codes in View TRXV_WT_ASSIGN via SM30 for the product type . transaction type, BP and the relevant update types for iNterest Capitalization / TDS flow. Also in BP you have to maintain the tax info in the tab Customer: Withholding Tax.

Regards,

Nikhik

Answers (0)