EAP Argentina Localization: Withholding calculation is incorrect when using Tiered based and Minimum Non Taxable Amount (Doc ID 1959698.1)

Last updated on SEPTEMBER 15, 2016

Applies to:

PeopleSoft Enterprise FIN Payables Argentina - Version 9.1 to 9.1 [Release 9]
Information in this document applies to any platform.

Symptoms

The Withholding calculation is incorrect when using Tiered based and Minimum Non Taxable Amount.

STEPS
1.  Pay a Voucher for ARS 12.000 (net amount)

Voucher = 12.000
Less withholding non taxable amount -5000
Base amount = 7000
Then,
Base amount = 7.000
Percent Withheld 18% 1260
Plus Additional Amount 480
Withholding amount = 1.740


The withholding amount should have been:

Voucher = 12.000
Less withholding non taxable amount -5000
Base amount = 7000 (7000 is on the 3rd tiere)
Then, less previous "to basis amount" of the Withholding Rule -4000 (Tiered Based)
Then,
Base amount = 3.000
Percent Withheld 18% 540
Plus Additional Amount 480
Withholding amount = 1.020

Cause

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