Calculate withholding tax automatically in expense reports

Microsoft 365 roadmap 573304 · Expense Agent · in preview · roadmap status “In development”, phase General Availability

What Microsoft says

Organizations can automatically calculate employee withholding taxes (WHT) as part of the expense report process. When employees submit expenses that are subject to withholding tax requirements, the system applies the appropriate tax calculations directly within the expense report workflow. Key capabilities include: Automatic withholding tax calculation for employee expense transactions that require tax deductions. Calculate single or multiple withholding taxes for each category, based on you setup. Calculations can also be simple or compound. Calculate thresholds based on different periods for records, documents, categories (period accumulation), and total (period accumulation). Base calculations on gross or net amounts.

Dates

• General availability: April CY2027 (2027 release wave 1)
• Public preview: October CY2026
• On the roadmap since 2026-09-30, last changed 2026-09-30

Covered by

Matched by Haiku among videos and Learn pages in the same galaxy system, checked against the roadmap ids and the evidence text. Every link below was reviewed by Opus.

Videos

• What’s new in Expense Agent: Calculate WHT for Expenses (2026 release wave 2): Withholding Tax for Employee Expenses at 0:06; Withholding Posting Setup for Employees at 1:44; Multiple Withholding Tax Groups per Category at 2:44; Gross and Net Withholding Tax Calculation at 3:32; Configurable Withholding Tax Thresholds at 3:32; Withholding Tax Entries in Preview Posting at 5:52; Withholding Tax Calculation Timing (Invoice vs Payment) at 7:22; Employee Card Withholding Tax Fields at 10:11; Expense Category Withholding Tax Configuration at 10:46
• What’s new in Expense Agent: Overview (2026 release wave 2): Withholding Tax for Employees at 13:10
• Microsoft Ends Business Central Release Plans: What Changes?: Dynamics 365 Business Central Expense Agent - Withholding Taxes at 7:37

Microsoft Learn

• Set Up Expense Categories, Rules, and Policies
• Set up withholding tax

Source: Microsoft 365 roadmap. Status words follow the roadmap.