Withholding tax on dividend
Withholding tax on dividend [Section 150, Division I of Part lii of the First Schedule]
After amendments in Division I of Part III of the First Schedule, there are now two withholding tax rates on payments of dividends 7.5% and 15% for persons whose names are appearing on the active taxpayers’ list.
It is 7.5% if the dividend is paid by IPPs where the dividend is a pass through item under an Implementation Agreement or Energy and which is required to re-imbursed by the CPPA-G or the CPPA-G’s successor or predecessor. Withholding tax rate is 15% for other dividends.