Liberia | Increase in the tax rate for non-residents
The Tax Amendment Act of 2024 introduces changes to Chapters 8 and 10, specifically amending Section 806(e). This section requires a payor to withhold tax on payments made to a non-resident for services rendered. Services rendered refers to amounts that would have been included in gross income under Section 201 if paid to a resident, including board fees, management fees, commissions and similar payments.
Under the revised provision, the withholding tax rate on such payments will increase from 15% to 20%.
The increase is effective 1 April 2025.