Saudi Arabia Tax Agency Issues Tax Information Bulletin on Withholding Tax Under DTAs

The Saudi General Authority of Zakat and Tax Jan. 23 issued a tax information bulletin clarifying application of withholding tax rules in accordance with DTAs. Topics covered include: 1) the application of DTAs concluded with foreign countries with respect to withholding tax imposed on nonresidents who receive payments from resident taxpayers or permanent establishments in Saudi Arabia; 2) the scope and application of withholding tax provisions under local tax systems and international tax treaties; 3) the types of nonresident income subject to withholding tax, such as dividends, royalties, and technical service fees; 4) tax deduction rates for different types of ...