3777713 - Withholding tax not generated for outgoing payment without invoice - SAP S/4HANA Cloud Public Edition

• Generate withholding tax item directly by posting outgoing payments without invoice.
• The system cannot generate withholding tax item for outgoing payment without invoice even though the withholding tax type is payment based.

SAP S/4HANA Cloud Public Edition

1. Post an outgoing payment to a supplier without creating or referencing a supplier invoice.
2. Ensure the supplier has a payment-based withholding tax type assigned.
3. Observe that no withholding tax item is generated during the payment posting.

For outgoing payments, withholding tax items are generated only when an invoice is paid.

Therefore, if post an outgoing payment to a supplier without a corresponding supplier invoice, the system will not generate a withholding tax item. This behavior is functioning as designed.

withholding tax, payment-based, outgoing payment, supplier payment , KBA , FI-AP-AP-A-2CL , Posting/Clearing/Special General Ledger (Public Cloud) , Problem