Understanding Manual Payments for Brazil (Release 9.2 Update)
When you enter manual payments for Brazil using the Payment With Voucher Match program (P0413M), the system verifies that tax lines exist for INSS, ISS, FUNRURAL, and IRPJ contributions, and then launches the Manual Payment Withholding Registration program (P76B4900). The system creates the tax lines for INSS, ISS, FUNRURAL, and IRPJ when you run the Tax Calculation ISS, INSS, FUNRURAL and IRPJ program (R76B4310). You must run this program before you enter manual payments.
The Manual Payment Withholding Registration program enables you to enter tax amounts for IR (if not previously calculated), PIS/PASEP, COFINS, and CSLL withholding amounts. After you complete the Manual Payment Entry form in the Payment With Voucher Match program, the system displays the Manual Payment Withholding Registration form. The form shows the existing voucher lines and enables you to add lines for the tax withholdings.
The Manual Payment Withholding Registration form includes header fields for Currency and Currency Exchange Rate. Additionally, columns for the taxable amount and tax amount appear on the form for domestic or foreign currency.
If your payment is in a foreign currency, the form includes columns for Foreign Taxable Amount and Foreign Tax Amount. You enter the amounts in the foreign currency. The system converts the foreign currency amount to a domestic amount using the exchange rate for the payment, generates the withholding lines, and writes the domestic amount for the withholding to the F0411 and F76B0411 tables.
If you enter the payment in the domestic currency, the system does not show the foreign currency columns.
In addition to calculating tax lines, the Calculation ISS, INSS, FUNRURAL and IRPJ program includes processing options in which you specify minimum withholding amounts. The Manual Payment Withholding Registration program uses the withholding amounts for validations. For IR levied on individuals, the system compares the payment withholding amount with the specified minimum amount. For IR levied on a corporate entity, the system compares the voucher withholding amount with the specified minimum amount. If the voucher or payment withholding amount is less than or equal to the specified minimum amount, the system displays a warning message.
When you click OK on the Manual Payment Withholding Registration form, the system makes these table updates:
Tax Caluclation |
F0411 |
F76B0411 |
F76B4017 |
|---|---|---|---|
Withholding amount over specified minimum |
Y (Yes, table is updated) |
Y |
Y |
Withholding amount below or equal to specified minimum |
N (No, table is not updated). |
N |
Y |
For Withholding Method 2, specified minimum withholding amount in the processing options is blank |
Y |
Y |
Y |
For Withholding Method 2, specified withholding amount in the processing options is negative or invalid |
Error: If the processing option value is invalid, you must enter a correct value before you can enter manual payments. |
Error: If the processing option value is invalid, you must enter a correct value before you can enter manual payments. |
Error: If the processing option value is invalid, you must enter a correct value before you can enter manual payments. |
For both withholding methods, the system accumulates the gross amounts and contribution amounts paid by the month, tax ID of the supplier, and tax ID of the company for tax types IR and INSS. For Withholding Method 2, the system also accumulates the gross amounts and contribution amounts paid by month, tax ID of the supplier, and tax ID of the company for PIS, COFINS, and CSLL contributions.