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Who is to withhold tax?

Question: Who is to withhold tax?

Answer:
Withholding tax is deducted from a payment (income) to a payee.

The person who makes the payment is supposed to withhold tax from the payment and thus that person is known as the withholding agent.

Withholding tax is a form of income tax deducted at source by one person upon effecting a payment to another.

The withholding agent (person effecting the payment) is supposed to make the payment of tax.

The payer must remit to the Commissioner General the tax withheld on or before the 15th day of the month following the month in which the payment subject to withholding tax is made.

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