Skip to main content

beta This is a new service – your feedback will help us to improve it.

Commitment fees and withholding tax

Posted Mon, 24 Jul 2023 11:09:08 GMT by
We are due to pay a commitment fee to our overseas lenders (in relation to the unused portion of a revolving credit facility). Do we need to withhold tax on this payment?
HMRC Admin 19 Response
Posted Tue, 01 Aug 2023 12:41:35 GMT by HMRC Admin 19 Response
Hi,

You can see guidance here:

INTM413210 - Transfer pricing: the main thin capitalisation legislation: Payments of yearly interest made overseas

Thank you.

You must be signed in to post in this forum.