Withholding tax reporting

Taxpayers must submit a report to the tax authorities of the vendors that have received payments and the tax withholding that was performed. Typically, these vendors are classified by vendor type and transaction type. Taxpayers must also provide each vendor with a report or letter confirming the tax that has been withheld in the period

Argentina specifics

The SICORE application program is used to track and report VAT withholdings for social security and income tax withholdings. Data can be downloaded and used electronically.

The Administración Federal de Ingresos Públicos (AFIP) requires taxpayers to submit electronic withholding tax information. Data is required in the prescribed text file format.

  • Income tax withholding
  • Value Added Tax (VAT) withholding
  • Sistema Unico de la Seguridad Social (SUSS) withholding
  • Impuesto sobre los ingresos brutos (IIBB) - Turnover tax withholding

How Infor meets the requirement

For this requirement, you must pass the Tax Jurisdiction Code in the xpath SupplierInvoiceHeader/Tax/TaxJurisdicationCodes/Code. The State code must be published in the xpath. In LSP, there is a translation table available that is based on the data sent in the BOD.

Add the supplier invoice as indicated in the requirement. Run the corresponding payment cycle for the created invoices. Two PayableTracker BODs are created after the Electronic Payment Creation batch job is successfully run. One tracker is for the payment and another tracker is for the Adjustment, which contains the withholding information for that invoice. These two tracker BODs are consumed by LSP and the required withholding reports can be generated in LSP.

Payable Tracker: Tax Regime code is the PayablesInvoiceWithholding field. IncomeWithholdingCode is mapped to the xpath PayableTracker/PayableTrackerLine/Tax/UserArea/Property/NameValue[@name='lcl.TaxRegime']. When publishing it in the BOD, the characters must be truncated to 4. If the withholding code is WHTC01, it must be published as WHTC, but only in that node.

We are not passing tax node in the Adjustment Tracker BOD when the value in PayableTrackerLine/Tax/Amount is equal to zero and the rate in the xpath Tax/Calculation/RateNumeric is not equal to zero.

Receivable Tracker: After applying the payment to the invoices, specify the withholding tax information in the adjustments section by providing the IncomeWithholdingCode and the document number.

The Receivable Reason Code must have Tax Withholding as the Receivable Adjustment Reason Type. This code is used to provide withholding information in receivable payment adjustments.

Setup must be done on LSP for the document types, tax jurisdiction, and tax codes. See Infor Localization Services Platform User Guide.

For the list of required BODs, see BODs.