SAP Knowledge Base Article - Public

2155974 - Withholding Tax Amount Not Displayed In Payment

Symptom

You created a supplier invoice containing withholding tax. While creating a new payment for this invoice, the system does not show withholding tax on the payment screen.

This document is applicable for country India, China and Egypt.

Reproducing the Issue

  1. Go to Payables work center
  2. Select the Supplier Accounts view
  3. Search for the supplier for which the invoice was posted
  4. Click on View
  5. Go to Trade Payables tab and Invoice/Payments Sub tab
  6. Search for the invoice
  7. Click on Pay Manually By and select the relevant payment method
  8. In the Open Items - grid, you will find the column for Withholding Tax Amount
  9. When you select the invoice, Withholding Tax Amount is 0,00 and does not show the value as displayed in the invoice.

This results in different value for the payment than the invoice.

Cause

For India, China and Egypt as per legal requirement, withholding tax is due at the invoicing and not relevant for the down payments /payments.

Hence at invoice level it will show the withholding tax amount and during posting it will make an accounting entry. During the payment the system will show the withholding amount as zero.

Resolution

As withholding tax is due only at the invoice level. System does not show withholding amount at the time of payment. This results in the different amount as open amount.

Open Amount = Total Gross Amount - Withholding Tax Amount

Hence System works as designed.

Keywords

KBA , SRD-FIN-ACP , Payables , How To

Product

SAP BUSINESS BYDESIGN 1708 ; SAP Business ByDesign 1502 ; SAP Business ByDesign 1505 ; SAP Business ByDesign 1508 ; SAP Business ByDesign 1511 ; SAP Business ByDesign 1602