Withholding tax is a tax on vendors, which does not create sales tax transactions. Withholding tax calculated on vendor payments is a liability. Therefore only balance sheet accounts or liability accounts are valid accounts for posting withholding tax.

Withholding tax is reported in fixed reports.

  1. Click > > > .

  2. Expand the node and select the checkbox.

  3. Click > > > .

  4. Create withholding tax codes with values and limits.

  5. Click > > > .

  6. Create withholding tax groups and attach the relevant withholding tax codes on the tab.

See Also