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Withholding Tax Calculator

Work out withholding tax instantly with clear inputs, formula shown and shareable results.

About Withholding Tax Calculator

Cross-border payments attract withholding at the statutory rate unless a tax treaty provides a lower one. The beneficial rate normally requires a residence certificate and a declaration of no permanent establishment.

Formula

Withholding

Withheld = payment × min(statutory rate, treaty rate)

Worked example

With the default values below, Withholding Tax Calculator returns Tax To Withhold of $200,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Payment To Non-Residentminimum 0
2,000,000
Statutory Withholding Rateaccepts 0–50 %
20 %
Treaty Rateaccepts 0–50 %
10 %

Results

Tax To Withhold
$200,000.00
Net Amount Remitted
$1,800,000.00
Saving From The Treaty Rate
$200,000.00
Rate Applied
10.00%

Step by step

  1. 1Values used
  2. 2Withholding
  3. 3Tax To Withhold= 200,000.00
  4. 4Net Amount Remitted= 1,800,000.00
  5. 5Saving From The Treaty Rate= 200,000.00
  6. 6Rate Applied= 10.00

Assumptions and limits

  • The result is derived only from the 3 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, fees or charges or compounding frequency into account.
  • Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • Tax figures are estimates based on the rates, caps and thresholds you enter. Real rules differ by jurisdiction and change every year, and personal circumstances alter the outcome. This is not tax or financial advice — confirm with a qualified adviser.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Tax figures are estimates based on the rates, caps and thresholds you enter. Real rules differ by jurisdiction and change every year, and personal circumstances alter the outcome. This is not tax or financial advice — confirm with a qualified adviser.

Frequently Asked Questions

What documents are needed for the treaty rate?

A tax residency certificate from the payee's country plus a declaration of beneficial ownership and no local establishment.

What if the payee bears no tax?

Contracts often require grossing up, so the payer bears the withholding and the cost rises accordingly.

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Withholding Tax Calculator – Calculate Tax To Withhold