Law firm for withholding tax (WHT)
Payments to foreign entities, such as interest, dividends, royalties or fees for intangible services, may be subject to withholding tax. Below we set out what such a matter requires of counsel and who leads this area at HWW.
What this matter requires of counsel
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Classifies each type of payment separately
Interest, dividends, royalties and fees for intangible services follow different rules. A review begins by settling which category a given payment belongs to, because the rest of the assessment depends on it.
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Verifies the rates applied
Counsel checks whether the withholding tax rates applied match the legislation and the applicable double tax treaties, and whether the documentation relied on supports them.
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Assesses the procedures in place
Counsel examines whether the procedures adopted by the payer support correct collection and settlement of the tax. Assessing procedures complements the review of individual payments.
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Checks the payer's reporting duties
A review should cover collection and settlement of the tax together with the reporting duties the payer performs, so that the picture is not limited to the rate applied.
Further described matters are listed under our track record.
What we have written on this topic
We confirm the scope and the fee before starting work. A paid consultation is not required.