Whithholding Taxes

Types of withholding taxes

Withholding Tax on other payments A withholding tax of fifteen (15%) percent is levied on the following payments made by resident individuals or resident entities including tax-exempt entities: 1° dividends, except those governed by (...)

Dividend

Dividend income, as mentioned in the Law No 16/2005 on Direct Taxes on Income, is subject to a flat tax of fifteen percent (15%). If dividend distribution was subject to withholding tax as stipulated in the law, the taxpayer does not (...)

Penalties and Interest

Failure to Withhold Tax A withholding agent who fails to withhold tax in accordance with law 25/2005 is personally liable to pay to the Tax Administration, as provided for by paragraph 2, Article 48 of this law, the amount of tax (...)