Income tax paid to the government by the income-payer
Part of a series on
Taxation
An aspect of fiscal policy
Policies
Government revenue
Property tax equalization
Tax revenue
Non-tax revenue
Tax law
Tax bracket
Flat tax
Tax threshold
Exemption
Credit
Deduction
Tax shift
Tax cut
Tax holiday
Tax amnesty
Tax advantage
Tax incentive
Tax reform
Tax harmonization
Tax competition
Tax withholding
Double taxation
Representation
Unions
Medical savings account
Economics
General Theory
Price effect
Excess burden
Tax incidence
Laffer curve
Optimal tax
Theories
Optimal capital income taxation
Distribution of Tax
Tax rate
Flat
Progressive
Regressive
Proportional
Collection
Revenue service
Revenue stamp
Tax assessment
Taxable income
Tax lien
Tax refund
Tax shield
Tax residence
Tax preparation
Tax investigation
Tax shelter
Tax collector
Private tax collection
Tax farming
Noncompliance
General
Tax avoidance
Repatriation tax avoidance
Tax evasion
Tax resistance
Tax shelter
Debtors' prison
Smuggling
Black market
Unreported employment
Corporate
Tax inversion
Transfer mispricing
Base erosion and profit shifting (BEPS)
Double Irish
Dutch Sandwich
Single Malt
CAIA
Locations
Tax havens
Corporate havens
Offshore financial centres (OFCs)
Offshore magic circle
Conduit and sink OFCs
Financial centres
Financial Secrecy Index
Major examples
Ireland as a tax haven
Ireland v. Commission
Leprechaun economics
Liechtenstein tax affair
Luxembourg Leaks
Offshore Leaks
Paradise Papers
Panama Papers
Swiss Leaks
United States as a tax haven
Panama as a tax haven
Types
Direct
Indirect
Per unit
Ad valorem
Aviation
Airport improvement
Landing
Solidarity
Capital gains
Expatriation
Consumption
Departure
Hotel
Sales
Stamp
Television
Tourist
Value-added
Dividend
Environmental tax
Carbon
Landfill
Natural resources consumption
Severance
Steering
Stumpage
Excise
Alcohol
Cigarette
Fat
Meat
Sin
Sugary drink
Tobacco
General
Georgist
Gift
Gross receipts
Hypothecated
Income
Inheritance (estate)
Land value
Luxury
Payroll
Pigouvian
Property
Resource rent
Single
Surtax
Turnover
Use
User charge/fee
Congestion
Fuel
Road/GNSS
Toll
Vehicle miles traveled
Corporate profit
Excess profits
Windfall
Negative (income)
Wealth
International
Financial transaction tax
Currency transaction tax
European Union Common Consolidated Corporate Tax Base (CCCTB)
Global minimum corporate tax rate
Tobin tax
Spahn tax
Tax equalization
Tax treaty
Exchange of Information
Permanent establishment
Transfer pricing
European Union FTT
Foreign revenue rule
Trade
Custom
Duty
Tariff
Import
Export
Tariff war
Free trade
Free-trade zone
Trade agreement
ATA Carnet
Research
Academic
Mihir A. Desai
Dhammika Dharmapala
James R. Hines Jr.
Ronen Palan
Joel Slemrod
Gabriel Zucman
Advocacy groups
Institute on Taxation and Economic Policy (ITEP)
Oxfam (UK)
Tax Foundation (US)
Tax Justice Network (TJN)
Tax Policy Center (US)
Religious
Church tax
Eight per thousand
Teind
Tithe
Fiscus Judaicus
Leibzoll
Temple tax
Tolerance tax
Jizya
Kharaj
Khums
Nisab
Zakat
By country
All Countries
List of countries by tax rates
Tax revenue to GDP ratio
Tax rates in Europe
Individual Countries
Albania
Algeria
Argentina
Armenia
Australia
Azerbaijan
Bangladesh
Bhutan
Brazil
Bulgaria
BVI
Canada
China
Colombia
Croatia
Denmark
Finland
France
Germany
Greece
Hong Kong
Iceland
India
Indonesia
Iran
Ireland
Israel
Italy
Japan
Kazakhstan
Lithuania
Malta
Morocco
Namibia
Netherlands
New Zealand
Norway
Pakistan
Palestine
Peru
Philippines
Poland
Portugal
Russia
South Africa
Sri Lanka
Sweden
Switzerland
Taiwan
Tanzania
United Arab Emirates
United Kingdom
United States
Uruguay
Business portal
Money portal
v
t
e
Tax withholding, also known as tax retention, pay-as-you-earn tax or tax deduction at source, is income tax paid to the government by the payer of the income rather than by the recipient of the income. The tax is thus withheld or deducted from the income due to the recipient. In most jurisdictions, tax withholding applies to employment income. Many jurisdictions also require withholding taxes on payments of interest or dividends. In most jurisdictions, there are additional tax withholding obligations if the recipient of the income is resident in a different jurisdiction, and in those circumstances withholding tax sometimes applies to royalties, rent or even the sale of real estate. Governments use tax withholding as a means to combat tax evasion, and sometimes impose additional tax withholding requirements if the recipient has been delinquent in filing tax returns, or in industries where tax evasion is perceived to be common.
Typically, the withheld tax is treated as a payment on account of the recipient's final tax liability, when the withholding is made in advance. It may be refunded if it is determined, when a tax return is filed, that the recipient's tax liability is less than the tax withheld, or additional tax may be due if it is determined that the recipient's tax liability is more than the tax withheld. In some cases, the withheld tax is treated as discharging the recipient's tax liability, and no tax return or additional tax is required. Such withholding is known as final withholding.
The amount of tax withheld on income payments other than employment income is usually a fixed percentage. In the case of employment income, the amount of withheld tax is often based on an estimate of the employee's final tax liability, determined either by the employee or by the government.
circumstances withholdingtax sometimes applies to royalties, rent or even the sale of real estate. Governments use taxwithholding as a means to combat tax evasion...
Backup withholding on dividends and interest. The amount of tax withheld is based on the amount of payment subject to tax. Withholding of tax on wages...
In tax administration in the United States, backup withholding is the sending of a portion of a payment (such as a wage) to a tax authority instead of...
taxes may contribute to underinvestment in human capital, such as higher education. The Australian federal government (ATO) requires withholdingtax on...
The European Union withholdingtax is the common name for a withholdingtax which is deducted from interest earned by European Union residents on their...
local withholdingtaxes are required in those jurisdictions imposing an income tax. Employers having contact with the jurisdiction must withhold the tax from...
company, are subject to a 15% withholdingtax, unless the rate is reduced under a tax treaty. Interest: No withholdingtax is imposed on interest paid to...
expected to be satisfied by withholdingtax. All states impose penalties for failing to file required tax returns and/or pay tax when due. In addition, all...
over-withholding, but penalties might be imposed for under-withholding. Alternatively, or in addition, the employee can send quarterly estimated tax payments...
Act on WithholdingTax for Foreign Wage Earners with Special Expertise (1995), a withholdingtax of 35% is levied instead of State income tax on earned...
Indonesian National Laws, honorarium recipients are subjected to withholdingtax under Income Tax Article 21. When honorarium is paid to an employee, such as...
of tax burden to non-citizens or non-residents). The tourist industry typically campaigns against the taxes. It is separate from value-added tax and...
assess income tax by filing tax returns. Advance payments of tax are required in the form of withholdingtax or estimated tax payments. Taxes are determined...
get tax refunds even if they owe zero income tax. This is due to withholding calculations and the earned income tax credit. Because withholding is calculated...
International tax law distinguishes between an estate tax and an inheritance tax. An inheritance tax is a tax paid by a person who inherits money or property...
following direct taxes: Company Income Tax, Personal Income Tax, WithholdingTax, Presumptive Tax and Property Transfer Tax. Company Income Tax The general...
required to withholdtax on payment for the property. Withholding may be reduced from the standard 15% to an amount that will cover the tax liability,...
dividends are taxed as income to the shareholders. Corporations property tax, payroll tax, withholdingtax, excise tax, customs duties, value added tax, and other...
whose proper tax is not fully settled through withholding to self-assess tax and make payments prior to or with final determination of the tax. Self-assessment...
shareholders pay tax on dividends, two withholdingtax provisions may apply: withholdingtax on foreign shareholders, and "backup withholding" on certain domestic...
Tax Office which employers receive excerpts of for the purpose of withholdingtax on paid income. If an employee's data indicate membership in a tax-collecting...
waived the right to a lower withholding rate[clarification needed], then the covered expatriate is charged a 30% withholdingtax on their deferred compensation...
shareholder, though a tax obligation may also be imposed on the corporation in the form of a withholdingtax. In some cases the withholdingtax may be the extent...
alphabetically, with total tax revenue as a percentage of gross domestic product (GDP) for the listed countries. The tax percentage for each country...
shifting (BEPS) corporate tax tool, used mostly by U.S. multinationals to avoid incurring European Union withholdingtaxes on untaxed profits as they...
Global Information
