Withholding Tax on USA/Puerto RIco localization

[Félix_Toribio]

Good evening everyone, i come to you with a question:

Does a database on USA/Puerto Rico localization allows for using withholding taxes? If so, could you provide with a SAP note that says if it is (or rather isn't) possible?

#SapBusinessOne

[Felipe_Lima]

Hi @Félix_Toribio ,

There is nothing in the SAP documentation (U.S and Puerto Rico) regarding withholding tax, so saying it is not applicable to this localisation may be a correct assumption.

Additionally, withholding tax generally does not apply to commercial transactions between businesses in the U.S. I think it might be applicable to wages, interest and other financial transactions, and these wouldn't have a specific routine in SAP B1 to get posted with such details.

I hope it helps.

Best regards,
Felipe