ZATCA Urges Submission of Withholding Tax Returns for June 2024



The Zakat, Tax and Customs Authority (ZATCA) has urged establishments subject to withholding tax in the Kingdom of Saudi Arabia to submit their tax returns for June 2024 by July 10. The authority emphasized in a statement on Thursday the importance of promptly submitting the withholding tax returns through its website (zatca.gov.sa) to avoid a late payment penalty of 1% of the unpaid tax for every thirty days of delay from the due date.

The authority clarified that withholding tax is imposed on all amounts paid from a source within the Kingdom to non-resident entities that do not have a permanent establishment in the Kingdom, according to the rates specified in Article 68 of the Income Tax Law and Article 63 of its Executive Regulations.

ZATCA also urged business taxpayers seeking more information on withholding tax to contact them through the various communication channels available on their website. This is to ensure full compliance with the regulations and avoid any fines or penalties that may be imposed due to delays in submitting tax returns or paying the due tax.

Through this measure, ZATCA aims to enhance transparency and compliance with tax regulations in the Kingdom, ensuring that all tax returns are submitted on time, thereby contributing to financial and economic stability.