Withholding Taxes

Automatically Withholding Taxes

Prerequisite

To automatically withhold taxes:

  1. Enter invoices:

  2. Apply withholding tax to invoices:

    Payables automatically applies withholding tax based on your setup: either during Invoice Validation or during payment processing.

    Payables groups invoice distributions and creates Withholding Tax type distributions depending how the Automatic Offsets option is set. The Withholding Tax type distributions are negative amounts unless the invoice is a credit/debit memo.

    In addition to creating the withholding tax distributions, Payables also: