Central Invoice

For withholding types with posting at payment time, there is additional control possibility for a country with Vehicle country key ‘RA’: Central Invoice. (customizing path: Financial accounting ® Financial accounting global settings ® Withholding tax ® Extended withholding tax ® Calculation ® Withholding tax types ® Define withholding tax types: Posting at payment.

It has an important effect on the calculation of the withholding tax for this type, which is described in the following. The possible entries are:

The full withholding tax is posted in the first partial payment on the open item for this withholding type. This is used for the VAT withholding tax in Argentina.

Consider an open item (invoice) together with some other open items (credit memos, debit memos, down payment clearing lines) related to it via the invoice reference field. If this open item is paid together (with a subset of) the related items (some of the related items may not be selected due to special select options entered by the user) the systems uses the sum of the withholding tax base amounts of all these selected items for the calculation of the total withholding tax amount. For a withholding type with ‘WT 1st part. payment’ the total withholding tax amount is posted with the first partial payment.

Furthermore, for the withholding tax base minimum check the system uses the total sum of the withholding tax base amounts of the open item together with all related items, selected or not.

The withholding tax posted in a partial payment of an open item is distributed proportionally to the payment amount on this open item for this withholding type. This is used for the Earning Tax withholding tax in Argentina.

Consider again the case of an open item (invoice) together with some other open items (credit memos, debit memos, down payment clearing lines) related to it via the invoice reference field. If this open item is paid together (with a subset of) the related items (some of the related items may not be selected) the systems uses the sum of the withholding tax base amounts of all these selected items for the calculation of the total withholding tax amount. In a partial payment on the invoice the related items are deactivated (see below) and the total withholding tax base amount is weighted with the quotient of the partial payment amount and the total line item amount of the invoice and the selected related items. In contrast to the previous case ‘Withholding Tax with the 1st partial payment’ this withholding tax base amount is also used for the base minimum check!

For this setting the user may set the flag base check on level of payment document. If this flag is set, the system uses the total withholding tax base amount of all items paid in the payment under consideration. It has to be used for the Gross Income withholding tax in Argentina.