#COE#RFL01- What is the difference between withholding tax jobs?

[MounaAndre]

Dear  All, 

I tried two jobs for the Withholding tax to better understand their usefulness and the scenarios in which they can be used: 

1- Recreate and Change Withholding Tax Data with 0% Witholding TaxRate

2- Adjustment of Withholding Tax Information to Relevant Types

Despite the SAP documentation, it is still unclear to me because the result I am supposed to get is not really what I am getting.

I suspect that it is me who does not fully understand how it works.

Can someone explain the use cases and the difference between these two jobs to me, or point me towards some blogs, please?

Many thanks!

Mouna

SAP S/4HANA Cloud Public Edition Finance 

[Chris1973]

Hello @MounaAndre, may I ask what business case did you want to achieve? Best regards Chris

[MounaAndre]

Hello @Chris1973

In general, I would like to better understand these jobs, because there is information to fill in but it is not clear what it does.

If a specific case is needed, for example:

When changing the withholding tax code in the BP  but the supplier invoice has already been created Or when it has already been paid

The second case is when the BP is not subject to withholding tax but we have configured it after creating the invoice or after payment.

Each time, I ran both jobs and saw no change in either the test or the real mode.

Hence my question: what are they for and what is the difference between the two?

Thank you for your help. 

Best regards, 

Mouna

[Chris1973]

Hello @MounaAndre 

Thank you for your clarification.

Please review these references for more details:

Withholding Tax, Withholding Tax Postings, Withholding Taxes, Withholding Tax Configurations

In summary, both jobs you mentioned are part of the Withholding Tax follow-up and Correction Framework in public cloud. They only work when the original invoice already contains withholding tax information. So, basically, they don’t add WHT to invoice at the time you post or even if you later update th BP WHT status.

The notable difference is recreating WHT with 0% is used to rebuild WHT on documents you have posted with WHT type but 0% rate, whilst adjusting to relevant type updates WHT info when the determination logic changes but only if the document already has WHT type.

Conclusion matches your test outcomes of neither job producing results because the invoice had no WHT at all.

Hope this provides the desired clarification. Let me know if you have further questions.

Best regards

Chris