EAP: Withholding Surcharge Amount does not calculate Withholding correctly

(Doc ID 2263548.1)

Last updated on JUNE 05, 2017

Applies to:

PeopleSoft Enterprise FIN Payables - Version 9.2 to 9.2 [Release 9]
Information in this document applies to any platform.

Symptoms

Withholding calculation does not include Surcharge Amount.

STEPS
1. Withholding Rule setup
  - Percent Withheld is 1%
  - Surcharge is 10.40 %
2. Set Withholding Entity setup
3. Set Withholding Type setup
4. Set Withholding Type setup
5. Set Withhold Jurisdiction
6. Set Business Unit Categories setup
7. Set Business Unit Withholding setup
  - Add the new Withholding Entity
8. Created new Supplier
  - Ensure Withholding Supplier Information is properly setup
9. Create a Voucher for 20000 for the newly created Supplier
  - Ensure that Withholding Information is as setup and shows the newly created Withholding setup in previous steps
10. Run Voucher Posting
11. Check generated Accounting Entries:
  
  Merch Amount = $20,000.

  Expected Withholding Calc:
 
  Withholding tax= $20000 * .01 = $200
  
  Surcharge = 10.4% * 200 = $20.80

  Expected Total Withholding is $200 + $20.80 = $220.80

  Withholding Liability on Voucher Accounting Entries is $200 and not $220.80, as expected.

Changes

 

Cause

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