on 09-16-2014 2:22 PM
Hi,
When i am trying to create TM01 - fixed deposit creation (nominal interest) - withholding tax is generated
When doing compound interest creation - no withholding tax is not generated?
What is the reason?
Any config changes need ?
TDS entries:
On Maturity or End of Financial Year, Whichever comes earlier.
Maturity
Bank Account DR
TDS on Interest/Advance Tax & Interest DR
FDR Account CR
Interest receivables Account CR
Krishna, check configuration here: SPRO -> Financial Supply Chain Management -> Treasury and Risk Management -> Transaction Manager -> Money Market -> Transaction Management -> Flow Types -> Derived Flows -> ...
P.S. When you use compound interest - the original flow is being changed from 1200 Nominal interest to 1150 Interest capitalization. So, here tr. SM34 -> VC_TR_DERFLOWS_5 you have to add new original flow + your tax flow.
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Dear Raju,
TRXV_WT_ASSIGN is SAP slandered maintenance table for deduction of TDS. In this table you define date, product type, transaction type, business partner, update type, withdrawing tax code etc. So system automatically deduct tax as per maintain rate in tax code. You maintain this table in SM30 t-code.
Regards,
Jain
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Hi,
1) End of financial Year the following entry will be passed. how to do it?
TDS on Interest/Advance Tax & Interest DR
Interest Receivables Account CR
2) At the end of the year, the Withholding Tax GL account will be closed & New GL Account will be created for the Financial year
How to handle above scenario?
with regards
raju
Dear Raju,
Create a flow type like below example.
Create an update type and assign the same to flow type
MM9000+
MM9000-
Assign posting 13102 spec to update type.
Answering your 2 question, Change in GL that you have to manually take care.
Please make the customization in below path.
Treasury and Risk Management-Transaction Manager-General Settings-Accounting-Link to Other Accounting Components-Define Account Determination
Hope this answer your question.
Regards,
Jain
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