Understanding UTEs for SUSS and Contractor Withholding

When a supplier is a UTE (temporary enterprise union), SUSS withholding is calculated individually for each member of the UTE according to the percentage of participation in the UTE. The system prints withholding certificates for each member of the UTE. You specify the participation percentage for each member of the UTE. If any member of the UTE is a direct supplier of the company, payments to that supplier are included in the SUSS withholding calculation when payments are made to the UTE.

You can add, change, or delete UTE members if:

• No payment has been made to the UTE.

• A payment has been made and has been voided.

• A payment is made and has been posted.

You cannot make changes to the UTE membership if a payment is in process.

To set up suppliers as members of UTEs for SUSS withholding:

• Set up the UTE as a supplier in the JD Edwards EnterpriseOne Address Book system.

  You identify the address book record as a record for a UTE by setting up a system 01 category code. You can use any category code and any value in that category code. When you set up the UTE for SUSS withholding in the UTE Type Composition program, you specify the category code that identifies records as those for UTEs.

• Set up an address book record for each member of the UTE.

  It is not necessary to assign an address book category code to the individual members of the UTE.

• Use the UTE Type Composition program to identify the members of a UTE and the percentage of participation in the UTE

The system stores the information about the UTE, the members, and the participation amounts in the UTE Members Type table (F76A401).