Withholding Tax Queries

ykcheong

Good day to you.

Here is my scenario:-

Vendor ABC - invoice A1000 [5,600 with SST 12% and 5% witholding tax (realised upon payment)].

In Payment Journal, I have selected the following:-

i) Account Type = Vendor
ii) Account No. = ABC
iii) Amount = 5,600
iv) Apply-to Doc. No. = A1000
v) Bal. Account Type = G/L Account
vi) Bal. Account No. = 12103
vii) WHT Business Posting Group = STANDARD
viii) WHT Product Posting Group = 5%

When I post the above entry, the system prompts 'G/L inconsistency error'.

Next, I changed the "Bal. Account Type" to Bank Account and "Bal. Account No." to XYZ. I can managed to post the above entry.

For Withholding tax calculation to work, is the "Bal. Account Type" must be Bank Account?

Thank you.

Best regards,
YK Cheong

ykcheong

Good day to you.

I have solved the problem.

The “Gen. Posting Type”, “Gen. Bus. Posting Group” and “Gen. Prod. Posting Group” must be blank for this G/L Account No. (e.g. 12128) in the Chart of Accounts.

Best regards.