R12: SLA: How To Set Up the Journal Line Type for Withholding Tax To Derive a Particular Account Flexfield Segment (Company, Department, Sub-Account, Product ..etc) From the Item Expense Line? (Doc ID 2993428.1)

Last updated on DECEMBER 17, 2023

Applies to:

Goal

 Scenario

1. The option for "Apply Withholding Tax" is set up with "At Invoice Validation Time".
   Navigation:
   Payables responsibility - Setup - Options - Payables Options.
   
   
   
2. The Accounting Flexfield is set up with these Segments*:
   
   Account Segment 1 = Company
   Account Segment 2 = Department
   Account Segment 3 = Account
   Account Segment 4 = Sub-Account
   Account Segment 5 = Product
   
   *The 'Segments' names could be different depending on the Accounting Flexfield Segments.
   
   Navigation:
   Payables responsibility - Setup - Flexfields - Key - Segments
   Search for: Application - General Ledger and Flexfield Title - Accounting Flexfield
   Under the Code section search for the Accounting Flexfield.
   Then, click on Segments
   
   
   
   
   
3. The Withholding Tax code is set up with GL Account Combination: 01-000-1332-0000-000, and the Sub-Account is Account Segment 4: "0000"
   
   
   
   
   
4. The user creates the AP Invoice with 2 Item lines having the following Account Combinations, validates the AP Invoice, and the Withholding Tax are created:
   
   
   
   
   The Sub-Account(s) for Item Expense are having Account Segment 4: "2101" and "2110".
   
   
   
5. The user runs Online Create Accounting or concurrent program Create Accounting.
   
   The following accounting are generated:
   
   Navigation:
   Payables responsibility - from Invoice Workbench - Clicks on Reports - View Accounting - Subledger Journal Entry Lines
   
   
   
   
   
   
6. The user's requirement to have the Withholding Tax accounted with the same Sub-Account(s) derived from Item Expense lines:
   
   

Solution

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