WHT (withholdind tax) – is a tax collection mechanism whereby tax is deducted at the source of income by the payer and remitted to tax authorities on behalf of the recipient. It is commonly applied to payments to non-residents, as tax collections from an overseas income recipient would be administratively challenging. Besides reducing the risk of non-compliance and underreporting of income, by putting the onus on payers to withhold tax, it allows tax authorities to collect taxes in a timely and efficient manner. In summary, WHT allows a country to collect its share of taxes, especially from foreign parties, without going outside of its jurisdiction.
Our services
As an experienced team of tax advisors, tax experts and lawyers who deal with WHT, we can help you in the following matters:
- Analysis of transactions for the purposes of withholding tax obligations.
- Verification of your settlement as a withholding taxpayer / remitter.
- Analysis of the fulfilment of the conditions enabling the application of the withholding tax exemption / preferential withholding tax rate including, among others, analysis of source documentation.
- Audit of genuine business activity of taxpayers – analysis of source documentation.
- Support for documenting substance of entities based abroad (taxpayers).
- Preparation of an internal procedure for withholding tax settlements and due diligence
- Support for filing a claim for refund of overpaid withholding tax.
- Support for submitting application for WHT exemption binding rulings or WH-OSC statements.
- Assistance in dealing with authorities on withholding tax matters.
- Assistance in meeting compliance obligations, e.g. preparation of IFT, CIT-10Z forms
- Organizing training for staff in finance, tax, legal and other departments.
- Representation in proceedings before public administration bodies and administrative courts.
- General WHT advice.