u should understand the difference between withholding and actual taxes.
As per the law which came in effect on 1/1/2010, for those companies that are doing work in the country without being registered / don't have CR/ the owner of the contract will withhold either 5% or 7% (depends on the activity)of the total payment on monthly basis.
This amount will be paid to the tax authority before the 15th of the following month.
In my opinion, this is to encourage foreign companies to establish a base office in the country.
u should understand the difference between withholding and actual taxes.
As per the law which came in effect on 1/1/2010, for those companies that are doing work in the country without being registered / don't have CR/ the owner of the contract will withhold either 5% or 7% (depends on the activity)of the total payment on monthly basis.
This amount will be paid to the tax authority before the 15th of the following month.
In my opinion, this is to encourage foreign companies to establish a base office in the country.