How To Fix 67088 - No withholding amount for incidental costs with alternative payee

SAP Error Message - Details

• Message type: E = Error

• Message class: 67 - Loans Messages - Financial Assets Management

• Message number: 088

• Message text: No withholding amount for incidental costs with alternative payee

What causes this issue?

Incidental expenses which are not to be paid by the main borrower can
not be withheld since otherwise the corresponding posting is incorrect
and the system can not accurately determine the net amount for the main
borrower.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 67088 - No withholding amount for incidental costs with alternative payee ?

  The SAP error message 67088, which states "No withholding amount for incidental costs with alternative payee," typically occurs in the context of withholding tax processing in SAP, particularly when dealing with incidental costs and alternative payees. Here’s a breakdown of the cause, potential solutions, and related information:
  Cause:
  
  Alternative Payee Configuration: The error often arises when an alternative payee is specified for a transaction, but the system cannot determine the withholding tax amount for incidental costs associated with that payee.
  Missing Withholding Tax Data: The withholding tax data for the alternative payee may not be properly maintained in the vendor master data or may be missing for the specific transaction.
  Incorrect Tax Code: The tax code used may not be configured to handle withholding tax for incidental costs.
  Transaction Type: The type of transaction being processed may not be set up to allow for withholding tax calculations.
  
  Solutions:
  
  
  Check Vendor Master Data: Ensure that the vendor master data for the alternative payee is correctly maintained, including the withholding tax type and relevant tax information.
  
  Go to the vendor master record and verify the withholding tax information.
  
  
  
  Review Tax Code Configuration: Check the configuration of the tax code being used in the transaction. Ensure that it is set up to handle withholding tax for incidental costs.
  
  You can do this in the SAP configuration under Financial Accounting (FI) > Financial Accounting Global Settings > Withholding Tax > Withholding Tax Types.
  
  
  
  Maintain Withholding Tax for Incidental Costs: If incidental costs are involved, ensure that the withholding tax settings for these costs are properly defined in the system.
  
  This may involve checking the settings for the specific withholding tax type and ensuring that it is applicable to incidental costs.
  
  
  
  Transaction Type Settings: Verify that the transaction type being processed allows for withholding tax calculations. If necessary, consult with your SAP configuration team to ensure that the transaction type is set up correctly.
  
  
  Consult Documentation: Review SAP documentation or help notes related to withholding tax processing to ensure compliance with the required settings.
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance on withholding tax processing.
  Transaction Codes: Familiarize yourself with relevant transaction codes such as:
  
  FB60: Enter Incoming Invoices
  FB70: Enter Outgoing Invoices
  FBL1N: Vendor Line Item Display
  
  
  Testing: After making changes, perform a test transaction to ensure that the error does not reoccur.
  
  If the issue persists after checking these areas, it may be beneficial to consult with your SAP support team or a functional consultant who specializes in financial accounting and withholding tax processes.