Withholding tax and gross-up: Difference between revisions

Withholding tax and gross-up (view source)

18 bytes removed , 5 December 2023

no edit summary

82,853

edits

@@ Line 1: / Line 1: @@
 {{a|boilerplate|{{image|Rickroll|jpg|I'm [[never gonna gross you up]].}}}}
 ==Withholding tax==
-{{a|boilerplate|}}A form of [[tax]] in which the payer of an amount of money (often interest payment or a dividend) is must withhold a portion of that payment and remit it to the tax authorities on the payee's behalf.
+A form of [[tax]] in which the payer of an amount of money (often interest payment or a dividend) is must withhold a portion of that payment and remit it to the tax authorities on the payee's behalf.
 Certain kinds of tax are susceptible to withholding: taxes on interest and dividend payments, for example, as these are neatly determinative and may be clipped a pre-specified rate without any pause for thought. Other taxes are less suitable for withholding: General income tax obligations, the net levels of which depend on one's whole income over a year, for example. These can’t realistically be claimed by withholding, but that won’t stop tax attorneys [[For the avoidance of doubt|avoiding non-existent doubts]] about the risk that some revenue authority, somewhere in the world, contrives some way of doing it.