Withholding Tax Calculator
Calculate Saudi withholding tax on payments to non-residents
The agreed amount before any tax deduction.
Applied rate
Pick the standard rate or apply a tax-treaty rate.
Rate
Withholding amount
Net to recipient
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How does it work?
Withholding tax is deducted from payments a Saudi business makes to a non-resident party and remitted to the Zakat, Tax & Customs Authority. Rates differ by payment type per Article 68 of the Income Tax Law.
Standard rates
Default rates per the Saudi Income Tax Law:
| Payment type | Rate |
|---|---|
| Royalties | 15% |
| Management fees | 20% |
| Technical services | 5% |
| Rent | 5% |
| Dividends | 5% |
| Loan interest | 5% |
| Insurance premiums | 5% |
| International air tickets | 5% |
| Other payments | 15% |
Double-tax treaties
If the recipient is a resident of a country with a double-tax treaty with Saudi Arabia, the rate may drop (e.g. royalties at 5%). Use the 'custom rate' option to apply the treaty rate; retain the tax-residency certificate.
Withholding agent obligations
- Deduct the rate from the amount due before paying the recipient.
- Remit the tax within 10 days of the end of the payment month.
- Issue a withholding certificate to the recipient for use in their country.
- File an annual summary of all withholdings.
- Retain withholding records for 10 years.
Frequently Asked Questions
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