<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/tc/onlinemanual/000455" xml:lang="en">
   <Header>
      <Title>Withholding tax on payment postings</Title>
   </Header>
   <ProcedureSection ID="on.payment">
      <SectionTitle>Postings for withholding tax on payment of the purchase
		invoice</SectionTitle>
      <Steps>
         <StepsIntro>The purchase invoice has a group tax code which includes a
		  VAT tax code and all types of withholding tax. The <GUIRef href="/baanerp/tc/mcs/tcmcs0136s000#tcmcs036.tvat" role="manual">Tax Type</GUIRef> of the tax code of is <GUIRef href="/baanerp/tc/domains/tvat#on.payments" role="option">On Payments</GUIRef>.</StepsIntro>
         <Step>
            <StepTitle>Purchase invoice registration</StepTitle>
            <Paragraph>If you register the purchase invoice, LN creates these
			 postings:</Paragraph>
            <TABLE border="1" width="80%" borderstyle="default"
                   space-and-orientation="indented-estimated">
               <TBODY noTR="4">
                  <TR no="1" isLast="false">
                     <TH width="88" rowspan="1" colspan="1">Amount</TH>
                     <TH width="191" rowspan="1" colspan="1">Debit/ Credit</TH>
                     <TH width="203" rowspan="1" colspan="1">Ledger account</TH>
                     <TH width="203" rowspan="1" colspan="1">Defined in session</TH>
                  </TR>
                  <TR no="2" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Costs</TD>
                     <TD width="191" rowspan="1" colspan="1">Debit</TD>
                     <TD width="203" rowspan="1" colspan="1">Account of the invoice line</TD>
                     <TD width="203" rowspan="1" colspan="1">Depends on the setup.</TD>
                  </TR>
                  <TR no="3" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Interim
					 VAT on payments</TD>
                     <TD width="191" rowspan="1" colspan="1">Debit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.iavp" role="manual">Purchase Tax on Payments (Interim)</GUIRef> of the <GUIRef href="/baanerp/tc/domains/ktax#vat" role="option">VAT</GUIRef> tax
					 code</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000" role="session">Posting Data for Tax Codes (tfgld0171s000)</GUIRef> or <GUIRef href="/baanerp/tf/gld/tfgld0170s000" role="session">Posting Data for Multiple Tax Codes (tfgld0170s000)</GUIRef>
                     </TD>
                  </TR>
                  <TR no="4" isLast="true">
                     <TD width="88" rowspan="1" colspan="1">Accounts payable</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">ACP control account</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/acp/tfacp0110m100" role="session">Accounts by Financial BP Group (tfacp0110m100)</GUIRef>
                     </TD>
                  </TR>
               </TBODY>
            </TABLE>
            <Paragraph/>
         </Step>
         <Step>
            <StepTitle>Purchase invoice payment</StepTitle>
            <Paragraph>If you finalize the payment of the purchase invoice, LN creates these
			 postings:</Paragraph>
            <TABLE border="1" width="80%" borderstyle="default"
                   space-and-orientation="indented-estimated">
               <TBODY noTR="9">
                  <TR no="1" isLast="false">
                     <TH width="88" rowspan="1" colspan="1">Amount</TH>
                     <TH width="191" rowspan="1" colspan="1">Debit/ Credit</TH>
                     <TH width="203" rowspan="1" colspan="1">Ledger account</TH>
                     <TH width="203" rowspan="1" colspan="1">Defined in session</TH>
                  </TR>
                  <TR no="2" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Accounts
					 payable</TD>
                     <TD width="191" rowspan="1" colspan="1">Debit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/acp/tfacp0515m000#tfacp015.leac" role="manual">Control Account</GUIRef>
                     </TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/acp/tfacp0110m100" role="session">Accounts by Financial BP Group (tfacp0110m100)</GUIRef>
                     </TD>
                  </TR>
                  <TR no="3" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Interim VAT on
					 payments</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.iavp" role="manual">Purchase Tax on Payments (Interim)</GUIRef> of the <GUIRef href="/baanerp/tc/domains/ktax#vat" role="option">VAT</GUIRef> tax
					 code</TD>
                     <TD width="203" rowspan="6" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000" role="session">Posting Data for Tax Codes (tfgld0171s000)</GUIRef> or <GUIRef href="/baanerp/tf/gld/tfgld0170s000" role="session">Posting Data for Multiple Tax Codes (tfgld0170s000)</GUIRef>
                     </TD>
                  </TR>
                  <TR no="4" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">VAT
					 receivable</TD>
                     <TD width="191" rowspan="1" colspan="1">Debit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.vacp" role="manual">Purchase Tax</GUIRef> account of the <GUIRef href="/baanerp/tc/domains/ktax#vat" role="option">VAT</GUIRef> tax
					 code</TD>
                  </TR>
                  <TR no="5" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Social contribution payable</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.vacp" role="manual">Purchase Tax</GUIRef> account of the <GUIRef href="/baanerp/tc/domains/ktax#social.contrib" role="option">Withholding Social Contribution</GUIRef> tax code</TD>
                  </TR>
                  <TR no="6" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Social
					 contribution expense</TD>
                     <TD width="191" rowspan="1" colspan="1">Debit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.ascc" role="manual">Social Contribution (Company Expense)</GUIRef> account of the <GUIRef href="/baanerp/tc/domains/ktax#social.cont.exp" role="option">Social Contribution (Company Expense)</GUIRef> tax code</TD>
                  </TR>
                  <TR no="7" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Social contribution payable</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.vacp" role="manual">Purchase Tax</GUIRef> account of the <GUIRef href="/baanerp/tc/domains/ktax#social.cont.exp" role="option">Social Contribution (Company Expense)</GUIRef> tax code</TD>
                  </TR>
                  <TR no="8" isLast="false">
                     <TD width="88" rowspan="1" colspan="1">Income tax payable</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">
                        <GUIRef href="/baanerp/tf/gld/tfgld0171s000#tfgld071.vacp" role="manual">Purchase Tax</GUIRef> account of the <GUIRef href="/baanerp/tc/domains/ktax#income.tax" role="option">Withholding Income Tax</GUIRef> tax code</TD>
                  </TR>
                  <TR no="9" isLast="true">
                     <TD width="88" rowspan="1" colspan="1">Bank</TD>
                     <TD width="191" rowspan="1" colspan="1">Credit</TD>
                     <TD width="203" rowspan="1" colspan="1">Account selected for the
					 transaction type used for the bank in <GUIRef href="/baanerp/tf/cmg" role="module">Cash Management</GUIRef>.</TD>
                     <TD width="203" rowspan="1" colspan="1"> </TD>
                  </TR>
               </TBODY>
            </TABLE>
         </Step>
      </Steps>
   </ProcedureSection>
   <RelatedTopics>
      <SectionTitle>Related topics</SectionTitle>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000456" role="manual">Withholding tax paid periodically - postings</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000430" role="manual">Withholding tax postings</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000429" role="manual">To process tax declarations</Link>
      </RelTopic>
   </RelatedTopics>
</ManualTopic>