Understanding the Setup for Supplier Address Book Records

ISS is a withholding tax that is applied to individuals from whom you purchase services. You must set up your suppliers' address book records before you can process ISS withholding. When you set up the supplier address book records, you specify whether the supplier is subject to ISS withholding and the type of service that the supplier provides.

You use the standard software program to enter basic address book information, then use the Address Book Additional Information - Brazil program (P01012BR) to enter Brazil-specific information. You must complete the information on the ISS Tax Information tab for suppliers who are subject to ISS withholding. The system saves the values that you enter for ISS withholding to the Address Book Additional Information table (F76B101).

Some suppliers might be exempt from paying ISS contributions for specific services in specific cities. You can set up an exempt percentage for a specified city/service combination in the Services ISS Exempt program (P76B106). You access this program from the Address Book Additional Information - Brazil form. The system saves the exemption information to the Services ISS Exempt table (F76B106) and uses the information when you calculate ISS for vouchers for the supplier. The system applies the exemption to each voucher line that has the same city/service combination.