Withholding Tax Proclamation In Ethiopia Pdf Best

The 2025 amendment introduced higher rates for several common transactions. Below are the current rates effective as of late 2025: Transaction Type Previous Rate New Rate (Proclamation 1395/2025) (Domestic) 3% (for payments over ETB 20,000) Provision of Services (Domestic) 3% (for payments over ETB 10,000) Dividends 15% Interest (General) 15% (Non-residents); 10% (PE/Residents) Royalties 10% (5% specifically for art/culture) Technical/Management Fees 3% (Residents); 15% (Non-residents) No TIN/License Provided 30% (Remains a high penalty rate) 3. Domestic Supply Thresholds

: Taxpayers are now required to pay 25% of their prior year's tax as an advance payment within 30 days after each quarter. withholding tax proclamation in ethiopia pdf best