Buy-Import-Export Premium Grade UGANDA VANILLA BEANS                           Buy-Import-Export Un-Refined Raw SHEA BUTTER 

Witholding tax for short contracts

by jjamba james
(Kampala ,Uganda )

Question
a. If a company enters into a contract with a consultant and is a) Resident of Uganda b) Nonresident ; at what rate will the Withholding Tax be charged ?

b. If there are short but many of the same contracts in one accounting year, what rate will the Withholding Tax be charged?

Answer: Cases where a person/company effecting a payment to a resident consultant or payee the percentage of income withheld is 6%.

This is withheld on consultancy services and contractual fees.

For cases where the payment being effected from a person or company (payee) to a non resident consultant (payee), the percentage of that income that is supposed to be withheld by the company is 15%.

This is important information to note, the payer (company in this case) 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.

Comments for Witholding tax for short contracts

Average Rating starstarstarstarstar

Click here to add your own comments

Aug 22, 2011
Rating
starstarstarstarstar
Thresthold withholding tax
by: Anonymous

What is the threshold for withholding tax?

Click here to add your own comments

Return to Frequently Asked Questions about Uganda Taxes & News.





Haven't yet found what you Want...?

If you haven't yet found what you were looking for or you need detailed information about the subject matter on this page

then...

feel free to ask our business travel consultants.



Enjoy this page? Please pay it forward. Here's how...

Would you prefer to share this page with others by linking to it?

  1. Click on the HTML link code below.
  2. Copy and paste it, adding a note of your own, into your blog, a Web page, forums, a blog comment, your Facebook account, or anywhere that someone would find this page valuable.