Oracle R12 – Withholding Tax (WHT) in AR – how to account for it
Withholding tax (WHT) is not Tax! it’s the withholding of tax from a payment to a supplier. With standard functionality in AP to handle WHT, how do we handle the WHT on an AR invoice? We don’t need to actually withhold anything on the AR invoice but what we do need to do in the majority of cases is to inform the customer how much WHT should be applied and then ideally to automate the WHT application when receipting cash.
at eBiz Answers, we have managed to put together a solution that does just this using the tax engine. If you are interested in finding out more then please contact us.