Dear Consultants,
We have a scenario, where we must pay a vendor against an invoice and deduct the WHT at payment in a fiscal year. As per legislation, the deduction has a criterion which is:
|
S.No |
Gross Amount of Rent invoice |
Rate of Tax |
|
1 |
Where the gross amount of rent invoice does not exceed |
Nil |
|
2 |
Where the gross amount of rent invoice exceeds Rs. |
5% of the gross amount exceeding Rs. 300,000. |
|
3 |
Where the gross amount of rent invoice exceeds Rs. |
Rs. 15,000 plus 10% of the gross amount exceeding Rs. |
|
4 |
Where the gross amount of rent invoice exceeds Rs. |
Rs. 155,000 plus 25% of the gross amount exceeding |
Withholding tax to adjust against payments as per slabs defined with the fixed and variable portion
As per this criterion, we have to withhold the amount against the payment we are going to make as you can see this withholding has some fixed amount and some variable amount o deduct/adjust. How will we configure it?
Thanks
