2019198 - Error Message : Determination Of Withholding Tax Code Failed for Country India Tax Event Withholding.

SAP Knowledge Base Article - Public

2019198 - Error Message : Determination Of Withholding Tax Code Failed for Country India Tax Event Withholding.

Symptom

While posting supplier invoice with Withholding Tax code you get an error message: Determination Of Withholding Tax Code Failed for Country India Tax Event Withholding

Reproducing the Issue

1. Go to Supplier Invoicing work center.
2. Select Invoices and Credit Memos view.
3. Select option All Documents in  Show field and type your desired document ID in Find field and click the Go button.
4. Select your document ID and click the Edit button.
5. Click View All button, go to Items tab.
6. Check line items where Tax code has chosen as 2 - Non Taxable Acquisition (Service).
7. Go to the Withholding Tax Details sub tab and you can see that system has automatically populated the Tax Rate as **%.
8. Click Check button and you get this error message:
Item 2: Determination of withholding tax code failed for country India tax event Withholding Tax

Cause

In the supplier master you have defined combination of Withholding Income Tax with Tax Rate Type as Others. But the same combination you have not maintained in the Business Configuration, under the activity Withholding Tax – India

Resolution

  1. Go to Business Configuration work center.
  2. Click Implementation Projects view.
  3. Click Open Activity List button.
  4. Go to Fine-Tune tab and select the activity Withholding Tax - India, click Go button.
  5. Click Open button.
  6. Click Check withholding tax codes, click Add Row and create your desired tax code under Available Tax Codes.
  7. Go to Details tab and define your desired Tax Type, Tax Rate Type and Income Type.
  8. Finally click Save and Close button.

Keywords

KBA , SRD-FIN-GL , General Ledger , How To

Product

SAP Business ByDesign all versions