Calculating ISS Withholding

After the system completes the validations, it:

1. Retrieves the ISS withholding information from the ISS cache.

2. Retrieves the ISS rate for the city, service and voucher GL date from the Taxes Setup by City and Services table (F76B409).

3. Retrieves the exempt percentage for the supplier/city/service combination from the Services ISS Exempt table (F76B106).

   If the exempt percentage is 100, the system processes the voucher but does not calculate ISS withholding.

4. Calculates the ISS withholding based on the ISS rate and exempt percentage for the city and service.

   The system accumulates the ISS withholding by service and city.

5. After all voucher lines are processed, writes two lines to the F0411 table for each voucher and service — a positive line that is paid to the fiscal authority and a negative line for the same amount that is deducted from the voucher amount that is paid to the supplier.

6. Writes a line for the tax in the Voucher Additional Information Brazil table (F76B0411) for each voucher and service.

7. Writes a value to the Voucher Tax Processed File table (F76B4012) to indicate that the voucher was processed for ISS withholding.

8. Writes lines to the Withholding by City and Service Detail table (F76B415) for each service type.

   The system also writes the national service code to the F76B415 table if the code was set up.

Note: In the rare situation in which the calculated tax exceeds the amount of the first pay item, the amount for the first item becomes a negative amount. You must manually adjust the pay item according to your procedures.