Who must withhold and pay WHT
A person (known as the payer) who makes payments of a specified nature (e.g. royalty, interest, technical service fee, etc.) to a non-resident company or individual (known as the payee) must withhold a percentage of the payment and pay the amount withheld to IRAS as WHT.
Who is a non-resident person
In Singapore, the tax residency of a company is determined by the place where the business is controlled and managed. Generally, a company is considered a Singapore tax resident if the control and management of the company is exercised in Singapore. A key factor in determining the control and management is the location of the company’s Board of Directors meetings where decisions on strategic matters, such as those on company policy and strategy, are made.
A company is a non-resident when the control and management of the company is not exercised in Singapore. Do note that the place of incorporation of a company is not necessarily indicative of the tax residence of a company.
Learn more about the Tax residence status of a company.
An individual who is in Singapore for less than 183 days in a year is considered a non-resident.
A professional is an individual exercising any profession (i.e. a person other than employee) of an independent nature under a contract for service.
Non-resident public entertainer
A public entertainer performing in Singapore can be exercising a profession, vocation or employment. Public entertainers include stage, radio or television artistes, musicians and athletes.
Filing and paying WHT
WHT rates vary according to the nature of payment.
Learn more about the Types of payment and Withholding Tax (WHT) rates.
As a payer, you must file and pay the WHT to IRAS by the 15th of the second month from the date of payment to the non-resident.
Basic WHT applicability calculator
Use the calculator to determine whether WHT is applicable when you make payment to a non-resident.
- Payment made to a non-resident individual (ZIP, 265KB)
- Payment made to a non-resident company (ZIP, 382KB)
- Open the macro file and go to the “File” tab
- Select “Options” > “Customize Ribbon”
- Under the “Main Tabs” column on the right, check on the box “Developer” and click “OK”
- Go to the “Developer” tab and select “Macro Security”
- Check the button “Enable all macros” and click “OK”
- Save and close the file
- Reopen the file