Chapter 61: Oracle Fusion Tax Implementation

Creating Withholding Taxes Under Withholding Tax Regime

Types of Taxes under Withholding Tax Regime

1.INDIA_TDS_194C

2.INDIA_TDS_194H

3.INDIA_TDS_194I

4. INDIA_TDS_194J

5. INDIA_TDS_195

Step1: - Go to Manage Taxes task and will go to this below Page, as below. Click on the ‘+’ icon to create the New Taxes under the Withholding tax regime ‘’India TDS1’.

Creating Withholding Taxes Under Withholding Tax Regime

INDIA_TDS_194C

INDIA_TDS_194H

INDIA_TDS_194I

INDIA_TDS_194J

Creating 194C 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: INDIA_TDS_194C (TAX Name we need to enter, can enter any name but should be logical).

TAX: INDIA_TDS_194C (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).

Creating Withholding Taxes Under Withholding Tax Regime

Control and Defaults: 

Tax Point Basis : Invoice 

Tax Inclusion Method: Standard noninclusive 

Allow override and Entry of inclusive tax lines : Yes

Allow tac 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

Creating Withholding Taxes Under Withholding Tax Regime

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.

Creating Withholding Taxes Under Withholding Tax Regime

Now We need to create the Tax Authorities as below.

Creating Withholding Taxes Under Withholding Tax Regime

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

Creating Withholding Taxes Under Withholding Tax Regime

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

Creating Withholding Taxes Under Withholding Tax Regime