Working with Supplier Withholding in Mexico

To work with supplier withholding in Mexico, you:

1. Set up your system with standard information, such as suppliers and bank accounts.

   See Understanding Setup for Supplier Withholding.

2. Set up the Mexico-specific information required, such as withholding concepts and percentages.

3. Create vouchers to pay.

   You can create a voucher using the Standard Voucher Entry program (P0411) or the Voucher Match program (P4314). You can also work with supplier withholding in Mexico when you split vouchers, use pay when paid, or log vouchers.

   See Entering Vouchers with Supplier Withholding in Mexico.

4. Review the VAT and income withholding concepts that the system assigns to vouchers.

   The system assigns the concepts to the vouchers based on your supplier setup. You use the Withholding Additional Information program (P76M411) to review and modify the withholding concepts.

5. Process payments.

   You can use the manual or automatic payment process to process payments to suppliers.

6. Print the withholding certificate.

   The system automatically prints the withholding certificate when you run the Update process in the automatic payment process. You must manually generate the withholding certificate for manual payments.

Note: Vouchers for pre-payments and the electronic data interchange (EDI) process are not supported for supplier withholding in Mexico.