Known Limitations of the Withholding Tax SuiteApp

Important:

This topic pertains to withholding tax in NetSuite accounts that do not have the SuiteTax feature enabled. If you are using a NetSuite account where the SuiteTax feature is enabled, go to Withholding Taxes in SuiteTax.

Withholding tax is no longer being updated for new features and reports in accounts that do not have the SuiteTax feature. All version upgrades of the Withholding Tax SuiteApp include fixes for reported issues only.

The Withholding Tax SuiteApp has the following limitations:

• It is not compatible with the SuiteTax feature. For information about withholding tax in SuiteTax, see Withholding Taxes in SuiteTax.

• The SuiteApp supports a maximum of 400 withholding tax codes per nexus only. For more information, see Setting Up Withholding Tax Codes.

• It does not apply withholding tax to the following line items:

  • Description item type

  • Subtotal item type

  • Group item type

  • End of Group line (the amount of the group item)

• It does not support the Installments feature. Withholding tax cannot be applied to invoices with installment terms.

• It does not support bulk processing of invoices. You must edit and save each invoice to trigger the calculation of withholding tax. For more information, see Recording Withholding Taxes on Transactions as a Seller.

• It can only process up to 1000 bills or invoice records and 1000 open bills or invoices.

• It does not support the Void Transactions Using Reversing Journals feature. You cannot void a bill payment with withholding tax using reversing journals.

• Header discounts are not supported when withholding tax is set to record on accrual in sales transactions. For more information, see Setting Up Withholding Tax Preferences.

• The Pay Tax Liability functionality in NetSuite cannot pick up withholding tax amounts posted to an account that is not a tax control account. For more information, see Setting Up Withholding Tax Types.

• Cash discounts are not included when computing the withholding tax amount. For information about applying discounts on a bill payment, see Step 7 of Withholding Taxes on Bill Payments. For information about applying discounts on a payment for an invoice, see Step 6 of Withholding Taxes on Payment Acceptance.

• When importing transactions using CSV and SOAP web services, withholding tax cannot be applied to a cheque transaction for a customer. For information about withholding tax errors that you may encounter when using CSV import and SOAP web services, see Withholding Tax Error Codes.

• Localized withholding tax reports are only available in accounts with a Philippines nexus. For more information about the withholding tax reports provided by the Withholding Tax SuiteApp, see Withholding Tax Reporting.

• Automatic provisioning of withholding tax codes is available to Philippine nexus only.

• Withholding tax recalculates on nexus change triggered by changes related to entity, address, or subsidiary. If the nexus change is related to adding or editing a One Stop Shop (OSS) item, withholding tax will not be recalculated.

• Withholding tax values are not displayed on Payment type line items in View mode. You can only view the withholding tax values when creating or editing a payment.

• When saving a bill payment record, a bill credit is created with withholding tax regardless of the approval status.

• The computation of withholding tax only works when processing transactions through the following method:

  • NetSuite User Interface

  • Scheduled Script

  • CSV Import

  • Web Services

Related Topics

• Withholding Tax Overview
• Setting Up Withholding Tax
• Creating or Customizing Roles to Use Withholding Tax Features
• Setting Default Withholding Tax Codes
• Applying Withholding Taxes on Transactions as a Buyer
• Recording Withholding Taxes on Transactions as a Seller
• Importing Withholding Tax Transactions
• Withholding Tax Reporting
• Withholding Tax Troubleshooting Guide

General Notices