(Collection, Monitoring, Audit, Payment Confirmation And Tax credit).
(Collection, Monitoring, Audit, Payment Confirmation And Tax credit).
(Collection, Monitoring, Audit, Payment Confirmation And Tax credit).
Withholding Taxes are basically taxes paid to the Federal or State Government on documents ( also known as instruments for the purpose of the Stamp Duties Act[SDA]) such as Conveyances on Sale, Bills of Exchange, Promissory notes, Agreements, Contracts or even documents such as Letters and Certificates of admission, Instruments of Apprenticeship, Insurance Policies etc. The payment of Stamp Duties is backed up by legislation the law being the Stamp Duties Act 1939 (as amended by numerous Acts and various resolutions and contained in Vol 22 Cap 411 LFN 1990) which also provides a list of documents in its Schedule and the duty payable on each of them.
READ MORE ...Withholding TAX (WHT) is an advance payment of income tax deductible at source on specified transactions.
It can be
applied as a tax credit against income tax liability in most instances.
The relevant provisions are in the CITA, PITA, PPTA,
and WHT Regulations.
The rate of WHT on Agency Banking reduced to 5% when paid to a corporate recipient resident in a treaty country.
The rate of WHT on divdend reduced to 7.5% when paid to a corporate recipient resident in a treaty country. recipient resident in a treaty country. In the case of individuals, 10% is applied on dividend.
The rate of WHT on Agency Banking reduced to 5% when paid to a corporate recipient resident in a treaty country.