I recently noticed that Withholding tax figures are now showing on the credit side of customer statements (same as receipts). Each invoice appears correctly on the debit side with the total amount invoiced, then a credit entry with the Withholding tax amount also appears. This has resulted in clutter and customers are getting confused with their statements. I’m on the cloud version of Manager and this must have been a recent update. Is there a way I can resolve this issue?
I advise you to re-read the Account for withholding tax on sales invoices | Manager because from your description and screenshot it does not seem that Manager is doing anything wrong here.
To begin with, are you familiar with the principles of accounting for withholding tax?
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There is indeed nothing wrong there in terms of accounting. However, I guess it’s the presentation that may need addressing.
To clarify, I just wanted to gauge your understanding of withholding tax.
I agree that there is indeed a need to better disclose withheld taxes on customer statements to promote transparency.
The issue has been discussed here
I love the way you have presented the statement there in that discussion. It discloses well the withholding tax, yet is clear for the customer to understand. I have a situation where I have been sending statements before and all was well, then suddenly there are now new credit entries which have not been there before. Customers are now finding it difficult to reconcile.
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