Chapter 64: Oracle Fusion Tax Implementation

Creating 194I Section Withholding Tax in Withholding Tax Regime

Tax Regime Code: INDIA TDS1 (Need to select the Right Regime, we created in Last step)

Configuration Owner: ABC CORP (Need to Select the BU Name for which we want to use this Tax).

TAX CODE: INDIA_TDS_194J (TAX Name we need to enter, can enter any name but should be logical).

TAX NAME: INDIA_TDS_194J (TAX Name we need to enter, can enter any name but should be logical).

Start Date: Same Date as we entered in the Tax Regime.

Tax Information:

Geography Type: Country 

Tax Currency: INR

Tax Precision: 0 (We don’t want the Tax in Decimal).

Chapter 64: Oracle Fusion Tax Implementation

Control and Defaults: 

Tax Point Basis : Invoice 

Tax Inclusion Method: Standard noninclusive 

Allow override and Entry of inclusive tax lines : Yes

Allow tax rounding overrise: Yes

Allow entry of Manual Tax Lines : Yes

Tax Exceptions and Exemptions:

Allow Tax Exceptions : Yes

Allow Tax Exemptions : Yes

Validation Type: ORA_IN_PAN

Validation Level: Warning

Chapter 64: Oracle Fusion Tax Implementation

TAX Rule Defaults for Taxes:

Place of Supply : Ship to , use bill to if ship to is null.

Tax Applicability : Not Applicable.

Tax registration : Bill-from party.

Chapter 64: Oracle Fusion Tax Implementation

We need to create the 'INCOME TAX AUTHORITY' supplier first and then assign this supplier as below under the Tax Authorities

Chapter 64: Oracle Fusion Tax Implementation

We need to enable this Flag 'Enable for Transaction' for each taxes in tax header as below.

Chapter 64: Oracle Fusion Tax Implementation