Category in Withholding Tax Setup

When you create Withholding Tax codes in SAP Business One, there is a field called ‘Category’ where you have to fill it by choosing Invoice or Payment. Do you know the differences between these categories? SAP Business One Tips – Category in Withholding Tax Setup If you select Invoice, The withholding tax calculation appears in the invoice and is recorded in the journal entry when the invoice is added. For example, you select Invoice as Category for Wtax 2304: SAP Business One Tips – Category in Withholding Tax Setup Then when you create an AR Invoice transaction in SAP Business