Zatka: Withholding tax forms due date for January 2026
The Zakat, Tax and Customs Authority (ZATCA) has issued an urgent call to all commercial establishments subject to withholding tax in the Kingdom of Saudi Arabia to expedite the submission of their withholding tax forms for January 2026. The Authority emphasized that the deadline for submitting these forms is February 10, 2026, and stressed the importance of adhering to the specified timeline to avoid financial penalties.
Date details and application process
The General Authority of Taxation and Customs (ZATCA) clarified in its official statement that delays in paying tax dues or submitting forms on time will result in financial penalties in accordance with applicable regulations. The late payment penalty is 1% of the unpaid tax amount for every thirty days of delay, starting from the due date. ZATCA urged taxpayers to utilize the advanced electronic services available on its official website (zatca.gov.sa) to submit forms and pay dues easily and conveniently, ensuring their continued tax compliance without obstacles.
What is withholding tax and who is subject to it?
Withholding tax is one of the most important tax revenue streams regulating financial transactions with foreign parties. This tax is levied on all payments made from a source within the Kingdom to non-resident entities (i.e., entities that do not have a permanent establishment within Saudi Arabia). Withholding rates vary depending on the nature of the service provided, in accordance with the rates specified in Article 68 of the Income Tax Law and Article 63 of its Implementing Regulations. These services typically include royalties, administrative fees, rents, airline tickets, air and sea freight, and other services stipulated by the law.
The economic context and the importance of tax compliance
This measure comes as part of the Zakat, Tax and Customs Authority's efforts to enhance tax compliance in the Kingdom, an integral component of the economic reforms underway in Saudi Arabia under Vision 2030. These measures aim to protect the national economy, ensure fair competition among businesses, and promote transparency in cross-border financial transactions. In recent years, the Authority has undergone a significant digital transformation that has streamlined procedures for taxpayers, integrating numerous zakat, tax, and customs services into unified platforms to reduce bureaucracy and improve collection efficiency.
Communication and technical support channels
To ensure clarity on all inquiries, Zakat and Tax Authority (ZATCA) invites businesses seeking further information about withholding tax or the form submission process to contact them through their various official channels. These include the unified call center number (19993), available 24/7, the "Ask Zakat, Tax & Customs" account on the X platform (@Zatca_Care), email ( [email protected] ), and the live chat available on the Authority's website.
