CIN - TCS configuration in SAP

Question

Dear Friends,
We are facing problem in creating the withholding tax for TCS. As per Income tax TCS Basic is 1% for scrap sales, Education Cess (ECS) on TCS is 2% and Higher Education Cess (SEC) is 1% on TCS.
I have created 3 withholding tax codes(T1 for TCS base, T2 for ECS and T3 for SEC). My SD consultant have maintained the condition type for all three (JTCS, JTEC & JTSE) as statistical and J1IW for FI posting. I have maintained the GL accounts for Transaction type OFF and WIT for each tax codes. in VK11 we have maintained the material on which the TCS to be calculated and the rate 0f 1%. We have also maintianed for ECS and SEC @2% & 1%.
The issue we are facing is when we are creating the sales order, in the sales order condtion type the total taxable (TCS, ECS and SEC) is calculating perfectly. While processing the Invoice the accounting entry is happeing only for TCS and not for ECS and SEC. I am also not finding any entries for Challan update.
Can any one help me what are all configuration set up i am missing. I am working 1st time with CIN. Don't have much idea what are all step to be followed. I am very greateful for your inputs.
Regards,
Devendran

Answer 1

Hi,
You need to check account determination configuraiton for WHT.
Go to the menu:   Financial Accounting > Financial Accounting Global Settings > Withholding Tax > Extended Withholding Tax > Postings > Define Accounts for Withholding Tax to be Paid Over
You should have specified GL a/cs for each of the three tax codes you have created.
If you had selected posting indicator, then you may also need to specify Offsetting account.  For this in the same section, go to menu Define Accounts for Withholding Tax Offsetting Entry.
Note that you need to specify GL accounts separately per tax code.
Hope this solves.
Muru