1. Localizations for Argentina Implementation Guide
  2. Understanding VAT Withholding by RG 3732 (Release 9.2 Update)

Understanding VAT Withholding by RG 3732 (Release 9.2 Update)

AFIP's General Resolution 3732 modifies RG 2854 of 2010. It defines rates for specific cases and determines how VAT withholding must be calculated:

  • The calculation base for VAT Withholding is the VAT amount specified in the voucher. You define the VAT Calculation Basis in the VAT Withholding Percentages program (P760402A).

    See Setting Up VAT Withholding Percentages.

  • For vouchers where VAT is not identified (that is a Tax Rate/Area record set up with a 0% rate and a tax explanation code different from E), VAT Withholding must be calculated on the estimated VAT amount. In this case, the system obtains that VAT amount by calculating the voucher gross amount, minus the non-taxable amounts minus any discounts; and multiplying the result by the number obtained from dividing the applicable VAT rate by the sum of 100 plus the VAT rate. The formula is the following:

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    The system retrieves the VAT rate to use in the preceding formula according to the following logic:

    1. From the field VAT Rate Not Identified in the Numeric tab of the Additional Tax Rate Information program (P704008A)

      See also:

    2. If the Additional Tax Rate Information is blank, the system retrieves the rate from the processing options for the PO - PCG process - ARG program (P76A570) in the VAT Unidentified tab

      See Setting Processing Options for PO - PCG process - ARG (P76A570)

    3. If the information on both fields is blank, then the system does not calculate the withholding.

When you work with the Create Payment Control Group program (R04570), the system saves the calculation basis amount in the User Amount field (URAT) in the temporary PCG Detail Information Tag Table (F760473A) file. You can review the payment amount and corresponding tax withholdings in the Print PCG Detail - ARG report (R760476A) that the process generates.

See Understanding the Create Payment Control Groups Process for Argentina

JD Edwards Localizations for Argentina only saves the calculation base to a final table (in the URAT field of the A/P Ledger Tag Table - ARG table - F760411A) and uses it to calculate and apply VAT Withholdings, when you work with these programs and processes:

  • V.A.T Withholding Certificate – ARG (R7604522A)

  • Reprint V.A.T. Withholding Certificate - ARG (R7604521A)

See also:

The following reports retrieve and display the information about the calculation basis saved:

  • Withholdings ledger report

  • SICORE report.

See also: