Withholding Tax Proclamation In Ethiopia Pdf Best [2024]

The primary legal instruments governing this are:

The amended law sets specific thresholds and rates for different income types: Income Type Resident Rate Non-Resident Rate Supply of Goods Above ETB 20,000 Provision of Services 15% (Management/Tech) Above ETB 10,000 No threshold Varies by institution 15% (10% Art) No threshold Digital Content For non-professional activities Penalty Rate: withholding tax proclamation in ethiopia pdf best

Withholding tax in Ethiopia has undergone major changes with the enactment of the , which updates several provisions from the original Proclamation No. 979/2016 . These reforms significantly impact rates for dividends, services, and digital income. Current Withholding Tax Rates (2025/2026) The primary legal instruments governing this are: The

If a supplier fails to provide a valid Taxpayer Identification Number (TIN) and business license, the payer must withhold 30% . Key PDF Resources Current Withholding Tax Rates (2025/2026) If a supplier

Applies to the supply of goods exceeding ETB 20,000 and services exceeding ETB 10,000 per contract.

The withholding tax rates in Ethiopia vary depending on the type of income. For example: