07-18-2009, 04:21 AM
Dear,
Regardless of my previous reply,
If payment is to be made after 2 months then Under case 1 , option 2 is correct and Under Case 2, option 1 is correct.
Now a question may arise from your side that how would WHT be adjusted under both of the cases , remember , practically under these cases, on these transactions, WHT is adjusted in the return of the next Tax Year.
However, under case 1,regardless of the provisions of Law, option 1 is also correct, since deduction is certain and payment of WHT may be made after transacton has been taken place, Under case 2 deduction is not certain and not likely to be occurred, so WHT - Debit, is not seems to be logical, furthermore, this alternative will fail, should the goods are returned to supplier,( or by custmer)
hence, to adjust WHT in the next year is more feasible.
Best Regards,
