Changing base amount of withholding tax in SD

[guido_iturriaga]

Hi everyone, the requirement I have is to change the base amount of the withholding tax in the invoice posting.

I already applied two notes that relate to withholding tax in SD:

• 178824 - Withholding tax from SD for countries other than Argentina

        No problem.

• 801839 - Withholding tax from SD: Determination of base amount

The problem I face is with the withholding tax base and offset that is calculated in the SD pricing procedure and posted as a tax to a separate account in FI.

¿Is there any other way to change the base amount of the withholding tax besides applying the note 801839?

Thanks for the help,

Guido Iturriaga

[Shiva_Ram]

Your message was not clear, for example when you want to change the base amount for capturing withholding tax, is it all the time or only certain specific cases or not.

Regarding the OSS note that you have mentioned looks quite elaborative and may be a good solution for your scenario. Adding appropriate routine, with required logic, in the pricing procedure may help your scenario. Again the members need to understand your requirement clearly before providing the suggestions.

Regards,

[guido_iturriaga]

Hi Shiva, you are right I don’t demonstrate any scenario, this requirement should be used in every billing document, for example:

Scenario A

Price                    2,000 USD

Discount A             -500 USD

Net value             1,500 USD

Withholding tax A   5%

The ideal result is that the amount of the withholding tax A is 100 USD (base amount: 2,000 USD) but it takes the one determined in FI configuration, the options are net amount, modif. net amount, gross amount (net + tax), tax amount and modif. tax amount. And “adding appropriate routine, with required logic, in the pricing procedure” doesn’t work because when posting to FI it only takes the one determined previously in FI.

As you can see the only way to change the base options of net or gross amount is related with posting to a tax account. That’s why the note 801839 - Withholding tax from SD: Determination of base amount doesn’t apply because my client requirement doesn’t accept this posting to a tax account.

Thanks for the inputs,

Guido Iturriaga