This document briefly explains the required configuration process and, the end-user’s transactions with respect to Withholding Tax Configuration in SAP which is commonly known as Tax Deduction at Source (TDS) in India. Following processes is covered in this guide with screenshots:
- Maintain Withholding Tax Countries
- Define Withholding Tax Keys
- Define Withholding Tax Codes
- Portray Dependencies Between Withholding Tax Types
- Define Min/Max Amounts for Withholding Tax Codes
- Assign Withholding Tax Types to Company Codes
- Activate Extended Withholding Tax
- Define Accounts for Withholding Tax to be Paid Over
- Check Recipient Types