Withholding Tax (WHT) Filing in KSA

Withholding Tax (WHT) in the Kingdom of Saudi Arabia is a tax deducted at source by a Saudi-based company when making payments to non-resident entities for services rendered from outside the country. It is governed by the Zakat, Tax and Customs Authority (ZATCA). Common WHT rates range from 5% to 20% for services such as royalties, technical services, or interest payments. Saudi companies are required to file monthly WHT returns and remit the deducted amounts to ZATCA within the first 10 days of the following month.

Required Documents for Withholding Tax (WHT) Filing

To ensure accurate and compliant WHT filing, the following documents are required each month:

Bank Statements – Covering transactions from the previous month

Supplier Invoices – Issued by foreign suppliers and paid during the past month

Proof of Payment – Evidence of payments made to foreign suppliers (e.g., bank transfer confirmations or remittance receipts)

Ongoing Communication – Coordination with the client is essential to review and submit the VAT return on the ZATCA portal