What is the different between withholding tax type and
withholding tax code?
Answers were Sorted based on User's Feedback
Answer / kishore
WHT Type contains the base for calculating wht i.e gross,net
etc and at the same time whether the wht tax is accumulated
or not and certificate numbering, rounding off rules etc for
both invoice and payment posting and come to WHT code
contains the percentage to calculate the tax
WHT Type we mention the base and WHT code we maintain the %
to calculate the tax we link these two to calculate the tax.
Is This Answer Correct ? | 22 Yes | 0 No |
Answer / nirav
Withholding Tax type is Tax type which you want to apply on
Invoices.or on the net amount.i.e TDS on Contractor,TDS on
Rent, Proff Fess.
where withhoding tax code meanse from which rate you want
to deduct TDS. say suppose if you select 194C(TDS on
contractor) there is two code Gross up 2% or on net amount
2%
Is This Answer Correct ? | 6 Yes | 0 No |
Answer / pathurivenki
Hello,
Withholding tax:-
The withholding tax for an invoice or a down payment is
calculated at header level. That is, only one withholding
tax code can be used for a down payment or invoice. This
implies that an invoice cannot contain items with different
withholding tax rates. It can, however, contain one or more
items with the same withholding tax rate and one or more
items with no withholding tax. This can be handled by
specifying the base amount on which withholding tax is to
be calculated. On account of calculation at header level,
companies have to instruct their suppliers not to include
items with different withholding tax rates in a single
invoice, but issue separate invoices for different tax
rates.
With extended withholding tax, you can process withholding
tax from both the vendor and customer view.
In Accounts Payable, the vendor is the person subject to
tax, and the company code is obligated to deduct
withholding tax and pay this over to the tax authorities on
the vendor’s behalf. In Accounts Receivable, the company
code itself is subject to tax, and the customers that do
business with this company code deduct withholding tax and
pay this over to the tax authorities on the company code’s
behalf. In both cases, the business partner of the
person/entity subject to tax deducts the tax and pays it
over to the tax authorities.
Regards,
Venkat
pathurivenki@gmail.com
Is This Answer Correct ? | 5 Yes | 3 No |
what is auto clearing? and what is use of in real time environment?
How entry pass into cost center and profit center? Plz. give the transaction code.
Is there any additional configuration required for account-based profitability analysis as compared to costing based profitability analysis?
What is the SCREEN VARIENT for Document Entry.and the Transaction Code for this.
Hi All. IN AR once the first dunning is sent to the client, after that how the system will know the next dunning need to be sent?
Explain what a transaction in sap terms?
while settlement of internal order in TC-KO8G THE ERROR GIVE AS NO FUND CENTRE is entered.Though the original document is having assignment to fund centre & also we have one to one relation with cost centre & fund centre.
chart of dep is a client level or country level
difference between base line date and value date?
I have maintained several w.tax in the system but when I want to select one of them so that it gets deducted from the entry in F-02. How can it be deducted as I am not getting any option to select one of the W.Tax that have been configured?
Settlement of Internal Orders?
Explain the entire process of invoice verification from gr to invoice verification in sap with accounting entries?