Withholding tax: who deducts, who claims
Someone paid you less than your invoice and called it WHT. That money isn't lost — it's a credit with your name on it. And when you're the one deducting, who you paid decides which office gets it.
What happened to your money
When a company pays you for certain services, they're required to hold back a slice — usually 5% or 10% — and send it to the government under your TIN.
You got less in the bank, but the balance was paid on your behalf. It counts against your company income tax at year end.
Get the credit note
Ask the customer for the withholding tax credit note. Without it you can't claim the money back, and it quietly becomes a discount you never agreed to.
Attach it to the invoice in BizBrada so it's there when the tax return is being put together.
When you're the one deducting
If you pay a supplier for services, you may have to deduct WHT and remit it yourself. Mark those payments as WHT-applicable when you record them.
BizBrada totals what you've deducted so the remittance is a figure, not a research project.
Two offices, not one
Where you send it depends on who you paid, not on what you bought.
- Paid a limited company: it goes to the federal service.
- Paid an individual, a business name or an unregistered supplier: it goes to that person's state revenue service.
This is why BizBrada asks what kind of payee each contact is when you add them. Answer it once and every payment to them is routed correctly, with the report split by office.
Sending the whole lot to one authority is a common and expensive mistake: the office that was owed still counts you short.