3759057 - Withholding tax rounding differs between documents when accumulation is active

• TDS/withholding tax appears not to round up in some invoices even though round-up is configured.
• For the same tax type/code, some invoices round up while others are lower by 1 unit compared to the expected per-document round-up.
• A difference may be observed between simulate and post in invoice apps (for example, simulation shows a lower amount while posting shows round-up, or vice versa).
• No error message is displayed.
  
  "Image/data in this KBA is from SAP internal systems, sample data, or demo systems. Any resemblance to real data is purely coincidental." 

SAP S/4HANA Cloud Public Edition

1. In the Create Supplier Invoice app, use a withholding tax type configured with Round-Up and Accumulation
   In configuration activity Define Withholding Tax Type for Invoice Posting (ID 104225)  withholding tax type is configured with Round WTax Amount Up and Accumulation type is set example Per Year, Starting with Month 4
   
   
   
   
2. Define Rounding Rule for Withholding Tax Type (ID: 104406)   
   
   

Example:

Scenario: Two invoices for the same vendor with WHT code 194J (10% rate)  one in 

First Invoice posted December 2025 (Month 12 of calendar year 2025)

- Base amount: 107,395.00
- WHT Calculation: 107,395.00 * 10% = 10,739.5
- With Round-Up: 10,740 INR ✓ (rounds up correctly)

Second Invoice posted February 2026 (Month 2 of calendar year 2026):

- Base Amount: 107,395.00 INR
- Accumulated Base: 107,395.00 + 107,395.00 = 214,790.00
- Accumulated WHT: 214,790.00 * 10% = 21,479.00
- Less: Already Withheld: 21,479.00- 10,740 = 10,739

- Result: Appears not rounded up, but is mathematically correct based on cumulative calculation

• When accumulation is active, the rounding is applied to the total cumulative withholding tax, not to each individual document. The system then deducts what was already withheld in previous documents.

• In example since the document in question was posted in December 2025 and February 2026, they are within the accumulation period that started in April 2025. Therefore, the system will accumulate all withholding tax postings for the same vendor and withholding tax type from April 2025 through March 2026, which includes the February 2026 document.

  In other words, even though the document date is in early 2026, it is still within an active accumulation period that began in April 2025. The accumulation logic is actively applied to this document.
  
  

  How "Accumulate Per Year, Starting Month 4" Works

  When accumulation is configured to start with Month 4 (April), SAP defines the accumulation period as April of one year through March of the following year — this is a rolling 12-month fiscal cycle, not a strict calendar year.

  This means:

  Accumulation Period

  Covers

  Period 1

  April 2025 – March 2026

  Period 2

  April 2026 – March 2027

• This is standard SAP design
  
  

• Check if the configuration of accumulation for withholding tax type is correct in configuration activity Define Withholding Tax Type for Invoice Posting (ID 104225) in conjunction with Rounding configuration. 
  
  
• The inconsistency in rounding is not a system defect but rather the expected result when accumulation and rounding features interact.

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