***TDS on Advance**

Hi,
Iam testing TDS on advance. its working fine at DP entry (f-48)( W/TAX ALSO GOT CREDITED HERE)
but while at clearing the DP (f-54) its not debiting witholding tax. ( there is no line item created for this.
How can get the W/tax line item here in F-54... CRITICLE

Hi
In the Configuration you need to follow these steps
1. Create Business Place
2.Create Section Code
3.Assign Business Place to Factory Calender (this step will be in between Business Place and Section Code creation steps)
4.Define Withholding tax type for Payments -->Select the last option Central Inv. Prop.
5.While doing Down Payment(F-48) and Invoice(MIRO,MIR7,F-43, etc) Give Business Place & Section Code
6.In F-54 , Double Click the Down Payment document and check whether the amt is displayed in Transfer Posting Column and at the Total Amount in the down and then Document SIMULATE.
Here the Tax amounts will be Debited.
Regards
Venkat

Similar Messages

  • Withholding Tax(TDS) on Advance(F-48) and On Final Payment-F-53

    Hi Expert,
    I am facing an issue related to TDS, on vendor advance. Its little different scenario, However rule is whichever is early.
    Requirement is like this, generally they deduct TDS on down payment and in case of final Payment. No TDS at the time of invoice booking.
    For example- Down payment made to Contractor Rs 200 @ 2%, Total invoice value was Rs 1000. TDS to be deducted on advance will be Rs 4. Invoice booked for Rs 1000.
    Hence at the time of payment F-53, system should deduct TDS Rs 16 on Rs (1000-200) Rs 800. How can we achieve same while making payment F-53?
    If I have to do same thing in case of invoice (FB60) then I can change TDS base value manually and put Rs 800 then system will calculate automatically.
    From configuration point of view I have ticked on-
    Change view “Withholding tax type definition-posting at time of paym. Under this ticked both option one by one even its not working.
    No centre invoice
    Central inv.prop
    Regards,
    K.Prasad

    Dear Mukthar,
    I tried but its not working.During Payment system is adjusting TDS automatically which we paid on Advance but during payment,TDS on  final payment is not clearing and not assigned amount is not getting zero.
    Step 1: Advance Amount Rs 1000@ 2%
    Step 2:Invoice Booked of Rs 5000,no TDS during Invoice booking but  payment withholding Tax code was ticked during Invoice booking,as you suggested.
    Note:Total Invoice value is Rs 5000 out of which Rs 1000 made as an advance.Please see-step 1.
    Step 3:F-54 advance clearing against above Invoice
    Step 4: Payment of Rs.4000 subject to TDS
    Here is problem,system is calculating TDS on Rs 4000@2% which is correct but not assigned amount is not getting zero.
    How to clear this?
    Once you click on INR net 4,900 blue line,then amount entered gets 5000.
    Now click on WH tax tab,which is showing everything correct. but question is how to clear Rs 80 and not assigned field make Zero.Which is our requirement. If not assigned become zero then issue resolved.
    Hope you understand my problem.
    If i click on difference posting and simulate then -Not assigned tab gets Zero but it create one open item with Document types-KZ, which again is a issue to clear and you cannot clear.And if you simulate it then system is reversing TDS on advance and final total TDS is crediting this time.Till here no issue. Here is simulation entry-
    This you are able to get only once you click on difference posting but in FBL1N with document type KZ Rs 80 would be appear and that you cannot clear anyway.
    Vendor Master detail:
    Hope you understand my problem,if you run this scenario then you would have more clarity however I covered all process. 
    Regards,
    Prasad

  • Configuration of tds on advance payment  to vendor and adjustments?

    Can someone please help me in configuring sap for tds on advance paid to vendor and adjustments.
    Will be happy if you could send me screen shots

    Hi,
    Fo configuring Advance payments sterps if as same as the invoice posting types  and little differences are there
    Configure as per the step Define withholding tax payment posting types.
    Regards,
    Kanike

  • How to deduct tds on advance payment IN SAP

    How to deduct tds on advance payment to vendors.

    Hi Kishore,
    You need to define the Extended Withholding Tax type based on payment. Assign WHT code to WHT type and complete the relevant configuration. Below link will help you to config WHT in SAP.
    http://help.sap.com/saphelp_470/helpdata/en/e5/0781474acd11d182b90000e829fbfe/content.htm
    Assign WHT type and code in vendor master data.
    Standard SAP will start deducting WHT on downpayment.
    Hope it helps.
    Thanks,
    Deepanshu

  • Calculate 10% TDS on advance rent for vendor related Real Estate contracts

    Hi Experts,
    In my current RE-Fx implimentation project for a retail client; I need to calculate 10% TDS on advance rent payable to vendor.
    What withholding tax configuration needs to be done & maintained to calculate 10% TDS on advance rent for commercial Lease-In contracts?
    Thanks
    Shantanu Kar

    Hi,
    There is no special Withholding tax configuration required for SAP RE-FX. All you need to do is check with your FI consultant for all relevant configurations and tax codes created for invoice and payment for section 194I, maintain the tax codes at the vendor master.
    At contract creation you have to maintain the withholding tax lines at posting parameters tab by pulling the information from the partner data. The withholding tax will be considered at periodic posting.
    Regds,
    Hardik Sharma

  • Screen shot help for withholding tds on advance?

    can someone please help urgently
    When the withholding tax type is mapped to vendor master record it gives an error saying that entries in table T0 59Z not existent.I need to develop screen shots for " advance to Vendor& TDS on advance"

    HEllo,
    Firstly please check in your customizing that you activated the
    extended withholding tax functionality by following this path in
    the IMG:
    financial accounting global settings
      -> Comapny code
        -> Activate the extended withholding tax
    Also, there is an additional field "W/H tax catagory" which should be
    optional in your account group settings. Please check this by using
      Transaction: OBD3
        -> Clicking the relevant account group
          -> Company code data
            -> W/H tax data.
    Please note that when you create/change vendor master data, if you
    navigate to the withholding tax screen, you have to FIRST enter the
    withholding TYPE. Additionally, you may enter a withholding tax CODE
    (defined for this withholding type), which is going to be proposed when
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    code without having entered the withholding TYPE, the foreign key check
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    Have you check if the tax type exist in T059Z?
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    REnan Correa

  • TDS on Sales Invoice and TDS on Advance Payment

    Hi All
    Can any one explain the below WHT scenario.
    "If we get advance payment from customer and after some time (15days) we have posted an sales invoice against him. Now on which amount we have to deduct TDS. (At the time of Advance from Customer we have deducted TDS).
    Again we have to deduct TDS on Sales Invoice or not?
    Thanks
    Chandra

    Hi Chandra,
    First of all, TDS means Tax Deduction at Source and so it does not apply to receipts from customers. It applies only in case where we pay to our vendors. While we receive the payment from our customers, its the customer who deducts the TDS and not we. We only book the total Invoice that we book as revenue and take the TDS certificate at the end of the year from the customer and submit it to the IT dept. By submitting the TDS certificates, we need not pay tax to the extent of TDS certificates.
    So its only when we make advance payment to our vendors/sub-contractors or while booking the invoice of our vendors (whichever is earlier) that we have to deduct TDS.
    Hope you understand this. Kindly revert if u need further information.
    Regards,
    CA. Karthik Narayan N S
    SAP-FICO Consultant

  • TDS on Advance payment

    TDS deducted on advance get reversed when we clear advance with invoive. but how the system should work in case there is a change in the rates of tds deducted between the two. For example, Advance made in march for Rs 10000, tds deducted @ 10 % 1000.
    Now Invoice come in April for 30000/-, rated for TDS got changed (by budget) from either to 15% or 5%. We have made the approipriate tax codes and assigned them to the vendor master. But at the time of invoice processing TDS  is deducted on whole 30000 @ either 15% or 5%.
    Invoice                    15 %                 5%
    TDS                     4500                   1500
    F-54, Clearing of advance agt. Invoice, TDS will be reversed           1000                                         1000
    Net TDS             3500                                         500
    This is how system respond.
    However, what should happen functionally is
    Advance posting                                                                        1000                                         1000
    Invoice  [ 30000-10000] 20000                                                     3000                                         1000
    Total should be                                                                          4000                                         2000
    I have checked JV, etc. but nothing is giving appropriate answer, Pl suggest on that.

    Hi
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  • TDS at Advance Posting

    Dear Experts
          TDS is not deducting at the time of advance posting.I got this message.
    "Withholding tax amount exceeds total bank line item amounts.
    Message no. 7Q320"
    best Regards
      Kalim

    Dear
    Check relevant to cash flow for that particular bank GL A/c in third tab in t.code FS02
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  • Deduction of TDS while clearing Advance payment through F-53

    Hi Gurus,
    I deducted TDS on Advance payment of 10000 and then deducted TDS on Invoice of 50000 with base amount as 40000.
    Now, when i am clearing this invoice and advance payment through F-53 to pay the remaining balance, system is again deducting TDS on Advance payment.
    Please tell me how can i solve this issue.
    Thank You

    hii
    here the steps u need to follow is
    1. while making the down payment TDS is deducted
    u make down payment through f-48.
    2. post invoice through FB60. here when u r going to the withholding tax tab u need to delete the payment tax codes. if u do not delete than the tax will be deducted during the payment..
    3. now go to F-54 and transfer the advance payment to normal by clearing special G/L
    here when u clear the down payment the TDS deducted at he time of down payment will also be reversed.
    4. now finally go to F-53 and make the outstanding payment to your vendor ..
    so in this steps there wont be duplication of TDS pain.. u will be paying only once that is at the time of invoice.
    Hope u got ur answer
    assign points..
    sejal singh

  • F-48 TDS On vendor Advance Payment.

    Dear All.
    I am facing one problem. I want to deduct the TDS on advances made to vendor.
    My entry is like this.
    50    Axis Bank-5272-Pmnt        81,340.00-
    29A  Rajesh Systems                83,000.00
    50    TDS on Contract-194         1,660.00-
    Is this entry correct ?
    Why vendor is not getting net after deducting TDS ?
    I have some doubts like,
    Is it correct the deduction of TDS on Vendor Advance ?
    TDS on vendor advance & TDS at the time invoice will deduct two times ? Is it a part of business process ?
    If it is possible to deduct the TDS at the time of advance payment made to vendor what settings I need to do ?
    In above accounting entry why vendor not having amount net after deduction ?
    Your help will be great on this.
    Regards,
    Sharvari Joshi.

    Dear,
    q. Is this entry correct ?
    a. the Your TDS deduction seems to be correct.
    50 Axis Bank-5272-Pmnt 81,340.00-
    29A Rajesh Systems 83,000.00
    50 TDS on Contract-194 1,660.00-
    The WT base amount depends on the setting You defined into Your relevant WT type ( Net, Mod. Net Amount, Gross, Tax amount..).
    q. Why vendor is not getting net after deducting TDS ?
    because when you define the WT at payment time, the System clears the entire vendor payable and reduces the bankitem by the wt amount and posts an additional withholding tax line.
    q.Is it correct the deduction of TDS on Vendor Advance ?
    a. if You define for your vendor a Wt type at the payment time, during the Down payment posting, that is a payment in advance, the TDS will be correctly deducted.
    q. TDS on vendor advance & TDS at the time invoice will deduct two times ? Is it a part of business process ?
    a. no during the Down payment, the wt type at the invoice time will not be considered at all.
    q. If it is possible to deduct the TDS at the time of advance payment made to vendor what settings I need to do ?
    You have to define a wt type at the payment time, linked it to the company code and to a reveval G/L Account and define it into Your vendor master data.
    I hope this can help You.
    Mauri

  • Automatic clearing of Advance while booking invoice

    Hi
    How can I clear the advance payment at the time of Booking invoice.
    I don't want to run F-54 separately for clearing the advance payment.
    I also want to have WHT (TDS) entries passed at the time of booking invoice.
    Is there any way? Can anyone suggest the TCode for the same.

    HI Kapil
    you have to follow the standard method of
    F-47-DPR
    F-48-DP made (with TDS on advance paid)
    MIRO-Invoice posting with TDS amount
    F-54 Advance clearing  against Invoice
    No other short cut for this.

  • TDS Error

    Dear Experts,
    The follwoing error is showing at the time Vendor Certificate Form 16 A.
    1. it is not calculating tds SH Ecess amount in Cess Column for the TDS deducted at the time of invoice after clearing with down payment.
    Eg: If at the time of  Advance it deducts 10/- tds shecess and at the time of invoice 30/- ecess . in vendor certificate it is showing 10/- tds in advance payment . but at the time of invoice it is not showing the 20/- .
    2.And for the same challan in Quarterly E Filing the SH Ecess is calculating in ECess Column perfectly but the TDS base amount column is not coming . The total amount it is showing perfect.
    Suggest me aasap.
    Thanks in advance
    Radhika

    Hai,
    You cannot use j1injv for reversal,It has to be used only for adjusment.
    If used for reversal,you will face problem at the time of j1inchln.
    Raghav

  • TDS on Outgoing Payment

    Hi All,
    I have gone through many threads but not able to find proper solution for a general scenario which will be requirement of many customer.
    Scenario:
    Is very simple. I have make Payment to Vendor on Acount ( Advance Payment) on which i need to deduct TDS.
    As per TDS Manual nothing is mentioned how to manage this scenario.
    While defining TDS code in WT window there are 2 options ( Invoice / Payment). If the payment option is selected and Payment is made nothing happens
    I am aware i have to make AP downpayment for this and then make outgoing payment which unnecessaryliy increase one step for user.
    Just want to confirm is there any direct way to apply TDS while making pyament on account.
    Response will be appreciated.

    Hi,
    3.6 Payment on Account
    Navigation: - Banking  Outgoing Payment TDS on advance payment can be deducted through outgoing payment based on u201CPayment on Accountu201D selection.
    Points to remember:-
    Vendor (Subject to Withholding Tax) should be selected.
    WTCode of u201CPu201D type should be chosen.
    u201CPayment on Accountu201D check box should be checked.
    These are the lines from TDS add on manual -2007B if you make above settings then while posting the on account payment when you enter the amount in amount field in the header automatically the withholding tax fields are enabled and when you chose the category the witholding tax will be calculated and posted when you add the document
    Please check it,This scenario is addressed by the manual
    thanks
    Md.nazeer Shaikh

  • TDS deduction at the time f-48

    Hi,
    WHenever we are trying to post advance payment to vendor and deduting the TDS system is not calculating and posting the TDS. Automatically payment block is appearing. and thus withholding tax tab is also not opening.
    I checked all the settings but unable to get the clue.
    Regards,
    Uday

    For TDS on advance first of all you will have to check that you have maintained the correct TDS codes in vendor master - FK02 or XK02 .
    Secondly ensure that you have put the tick on liable in the vendor master against the TDS codes .
    As far as IMG settings are concerned you will have to check the following nodes :
    SPRO - Financial accounting new - withholding tax - extended wht - calculation - wht type - wht type for payment posting .
    Check and revert if still having issues .

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