Withholding tax on royalties paid to a Nigerian company is deducted at:
A5%
B10%CORRECT
C15%
D20%
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
Royalties attract withholding tax at 10% for companies and 5% for individuals. Treaty rates may reduce the rate for non-resident recipients, commonly to 7.5%.
Want this in Pidgin, Yoruba, Igbo or Hausa? Sign up free →
Practice more Taxation questions
ICAN Taxation has thousands more questions like this — with Worked answers on every one.