What is that?
Withholding tax is an amount which the party withholds making payment to another (payee) and paid to the taxation authorities. The amount the payer deducts may not always be the same Everything depends on the nature of the product or service being paid for. The purpose of withholding tax is to avoid tax by international or domesticated taxpayers .

What should you remember about ?:

• The amount of income tax your wage bracket withholds depends on your marital status and the number of allowances you claim.
• Withholdings may be reduced by claiming allowances based on tax deductions and credits.
• Check if tax withholdings meet the estimated tax rules that require withholdings plus estimated tax payments to equal 90% of your current year liability or the required percentage of your liability
• In some cases you can ask your employer to calculate withholdings using the "part year" method