SAP Knowledge Base Article - Public

3475439 - Credit Memo with Other Payable Clearing with No Payment Included in Withholding Tax Run - Israel


You notice a clearing between a Supplier Credit Memo and Other Payable included in the withholding tax run that should not be there because it does not involve a payment. 


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Reproducing the Issue

  1. Go to the Payables Work Center.
  2. Go to the Supplier Accounts view.
  3. Select the Supplier XXX (XXX refers to the Supplier Account ID) and click on View.
  4. In the Trade Payables tab, select Cleared Items form the dropdown and search for the Clearing ID 123 (123 refers to the Clearing ID).

You can see that this is a clearing between a 'Credit Memo' and 'Other Payable', without a payment included.

  1. Now go to the Tax Management work center.
  2. Go to the Withholding Tax Return view.
  3. Select the Tax Return ID YY (YY refers to the Tax Return ID) and click on view.
  4. Navigate to the Tax Return Tab. Select the line item of the Supplier XXX and click on Details.

You can see that clearing 123 is included in the run even though it does not include a payment, and you expect that this clearing should not be included in the withholding tax run.


    The clearing of a Credit Memo with Other Payables is not the correct way of clearing. Instead, you need to offset it using the Agreed Settlement option.



    Below are the steps to be followed to offset Credit Memo with the help of "Agreed Settlement" from the Payment Difference Reason:

    1. In the Payables work center, open the Supplier Accounts view.
    2. Select a supplier and click View.
    3. Search the Credit Memo using the document number.
    4. Click on Clear Manually and clear the selected credit memo
    5. In the New Manual Clearing view, Select the Manual Clearing and Adjust the applied net amount to 0.
    6. Enter the Amount and Transaction details in the Other Discounts/Credits as in open amount clearance.
    7. Select Agreed Settlement from the Payment Difference Reason drop down option.
    8. Click on Clear. The Clearing Status is changed to Completed.

    See Also

    Clearing of Credit Memo - Israel | SAP Help Portal


    Credit Memo, Other Payable, Withholding Tax Run, Agreed Settlement, Clearing , KBA , SRD-FIN-GLO-TAX , GLO - Tax Declaration , How To


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