We serve to simplify the application of double taxation agreements as well as provide due tax relief for our clients.
What we Offer
We firmly believe in providing value added solutions to our clients which means you will always benefit from our services.
Double Taxation Relief
Withholding tax is a statutory tax that is levied on a company when they are performing services in a region where they are a non-resident. The onus of collection rests with the local receiver of services to withhold a portion of between 5% to 35% of the payment value when paying a foreign supplier.
As a foreign supplier this leaves you in a position where you may be double taxed – once in the country where your services were performed and additionally in your local jurisdiction where you are taxed on worldwide income.
Tax relief in your local jurisdiction is possible with the compliant documentation that S Tax extracts. We ensure that you have all the requisite compliant documentation for your cross-border transactions to ensure that you receive the tax relief that is due.
Double Taxation Agreement Application
Double taxation agreements are in place primarily to determine the taxability of certain services as well as to reduce the withholding tax rates that are applied to these services.
In numerous circumstances, the allocation of services as well as the application of the due withholding tax rate is not applied correctly by the receiver of services in the country in which they are provided.
S Tax assists with prospectively reducing the withholding tax rate applied to the correct rate, as well as instituting recovery, retrospectively, for prior incorrect withholdings.
Additionally, we assist companies in drafting a variety of agreements to ensure that the description of the service is allocated into the correct withholding tax category, reducing your withholding tax liability.
S Tax has the experience and know-how of how to deal with difficult tax challenges in foreign markets.
Whether your business is still planning new market penetration or whether you have been dealing in a particular market for a number of years, withholding tax considerations are always at the forefront of business decisions. We are your strategic partner who allows you to make informed decisions in international markets.
Withholding tax on your foreign suppliers
The onus to withhold tax rests with the receiver of the services. Therefore, if your company is receiving services from foreign vendors you may be required to withhold tax on these foreign payments. S TAX assists in ensuring that your company withholds the correct amount of tax as per applicable double taxation agreements as well as supplies compliant timeous withholding tax certificates to your suppliers thereby mitigating the risks of any penalties in your local jurisdiction.