Account Withholding Tax

Overview

Withholding Tax is a tax imposed on individuals or entities on income received or earned in a tax year. On sales or purchase transactions, almost all of which are subject to withholding tax at the time of payment. Therefore, this add-on was created to help users record Withholding tax on every sale or purchase transaction.

Screenshots

How to use it?

1. Create a new tax data as per normal, but also check "Withholding Tax" checkbox in Advanced Options tab.



2. You can configure withholding tax on product form by selecting "Apply Withholding Tax" checkbox and choose Withholding Tax data.



3. When you create customer invoice or vendor bill, if you have configured withholding tax on the product, it will fill withholding tax in field Withholding Tax automatically.



4. In customer invoice or vendor bill, the withholding tax will not be recorded in the journal items of the customer invoices or vendor bill created.



5. The withholding tax will appear on the withholding line when we register payment. Withholding line will be filled automatically with the value according to the tax formula that we configured in taxes master data.



6. On the journal items of payment document, there will be a withholding tax account on the journal item with a value according to the tax amount.

Installation Dependencies

To install this module, you need to install Accounting module.

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