Build the Withholding Tax (WHT) Return — ZATCA (Saudi Arabia)

Skill: Convert payments to non-residents into a ZATCA withholding tax return

Region: Saudi Arabia (المملكة العربية السعودية) Category: Tax — Withholding Tax (ضريبة الاستقطاع) Does: Takes payments made by a Saudi-resident payer to non-resident beneficiaries and maps them onto the withholding tax (WHT) return filed with ZATCA — classifying each payment by type, applying the statutory rate, and computing the tax to remit. System: ZATCA portal (withholding tax return)

WHT applies to amounts paid to non-residents for income sourced in Saudi Arabia. Rates depend on the payment type — e.g. royalties and payments to head office/related parties are at the higher rates, management fees at the top rate, services/rent/dividends/loan charges at the lower rates. The monthly return and payment are due within the first 10 days of the month following payment, plus an annual WHT return. A reduced rate or exemption may apply under a double-tax treaty (subject to ZATCA's conditions and documentation). Rates and categories change — confirm the current schedule.

When this applies

• You are a resident payer (or a PE) making a payment to a non-resident party for SA-sourced income.
• The payment falls into a withholdable category (royalties, management fees, technical/consulting services, rent, dividends, loan charges/interest, payments to related non-residents, etc.).
• A treaty between KSA and the beneficiary's country may reduce or remove the WHT — apply only with the required documentation and ZATCA process.

Input data required

WHT rates by payment type (representative)

Treaty relief may reduce these to a lower rate or nil where conditions are met.

Calculation rules

• Amounts in SAR.
• WHT per line = gross amount paid × applicable rate (statutory, or reduced treaty rate where validly claimed).
• WHT is generally on the gross amount remitted to the non-resident (no deduction of costs).
• File and pay the monthly return within the first 10 days of the following month; submit the annual WHT return after year-end.
• Keep the treaty/residence documentation; ZATCA may otherwise require the full statutory rate.

Worked example (monthly, outline)

WHT return — payer TIN 300011223400003 — period 2026-05
  Line 1  Royalties — software licensor (Ireland)
            gross 400,000.00 × 15% = 60,000.00
  Line 2  Technical services — consultant (UAE)
            gross 200,000.00 ×  5% = 10,000.00
  Line 3  Management fees — head office (USA)
            gross 100,000.00 × 20% = 20,000.00
  -------------------------------------------------
  Total WHT payable = 60,000.00 + 10,000.00 + 20,000.00 = 90,000.00

Filed and paid on the ZATCA portal within the first 10 days of June 2026.

Validation checklist

• Current ZATCA WHT categories and rate schedule used
• Payer TIN and period correct; each beneficiary identified as non-resident with country of residence
• Each payment classified to the right type and rate (royalties 15%, services/rent/dividends 5%, management fees 20%, etc.)
• WHT computed on the gross amount paid per line; totals sum correctly
• Any treaty reduction/exemption supported by valid documentation and ZATCA process
• Monthly return filed/paid within the first 10 days of the following month; annual return submitted
• Reconciles to the ledger of cross-border payments for the period

Last updated: 2026-06-04 — confirm the active schema version, field codes, and ZATCA requirements against the current Zakat, Tax and Customs Authority specifications before use.