| # Withholding tax paid periodically - postings Postings for withholding tax paid periodically by tax declaration Step 1. Purchase invoice registration If you register the purchase invoice, ERP LN creates the following postings:
Amount | Debit/ Credit | Ledger account | Defined in session
--- | --- | --- | ---
Costs | Debit | Account of the invoice line | Depends on the set up.
VAT receivable | Debit | Purchase Tax account of the VAT tax code | Posting Data for Tax Codes (tfgld0171s000) or Posting Data for Multiple Tax Codes (tfgld0170s000)
Social contribution payable | Credit | Purchase Tax account of the Withholding Social Contribution tax code
Social contribution expense | Debit | Social Contribution (Company Expense) account of the Social Contribution (Company Expense) tax code
Social contribution expense | Credit | Purchase Tax account of the Social Contribution (Company Expense) tax code
Income tax payable | Credit | Purchase Tax account of the Withholding Income Tax tax code
Accounts payable | Credit | ACP control account | Accounts by Financial BP Group (tfacp0110m100)
. Step 2. Purchase invoice payment If you finalize the payment of the purchase invoice, ERP LN creates the following postings:
Amount | Debit/ Credit | Ledger account | Defined in session
--- | --- | --- | ---
Accounts payable | Debit | Control Account | Accounts by Financial BP Group (tfacp0110m100)
Bank | Credit | Account selected for the transaction type used for the bank in Cash Management. |
. Step 3. Periodical withheld income tax and social contributions declaration If you submit the periodical withheld income tax and social contributions declaration, ERP LN creates the following postings:
Amount | Debit/ Credit | Ledger account | Defined in session
--- | --- | --- | ---
Withheld income tax payable | Debit | Purchase Tax account of the Withholding Income Tax tax code | Posting Data for Tax Codes (tfgld0171s000) or Posting Data for Multiple Tax Codes (tfgld0170s000)
Social contribution payable | Debit | Purchase Tax account of the Withholding Social Contribution tax code
Social contribution payable | Debit | Purchase Tax account of the Social Contribution (Company Expense) tax code
Interim withheld income tax and social contributions payment | Credit | Interim Tax Payment Account of the tax declaration master. | Tax Declaration Master (tfgld1620m000)
. Step 4. Periodical withheld income tax and social contributions payment If you proces the payment of the withheld income tax and social contributions declaration, ERP LN creates the following postings:
Amount | Debit/ Credit | Ledger account | Defined in session
--- | --- | --- | ---
Interim withheld income tax and social contributions payment | Debit | Interim Tax Payment Account of the tax declaration master. | Tax Declaration Master (tfgld1620m000)
Bank | Credit | Account selected for the transaction type used for the bank in Cash Management. |
. Related topics Withholding tax on payment postings Withholding tax postings To process tax declarations |