Lesotho Withholding Tax (WHT) Calculator
Determine withholding tax on payments to non-residents: 10% on technical service fees, 10% on dividends, interest, royalties, and SACU tax treaty reliefs.
🌐 Litefo tsa Mosebetsi oa Mose ho Mechela (Payment Inputs)
📊 Lekhetho la WHT le Lefshoang (WHT Assessment)
| Ntlha (Component) | Sekhahla (Rate) | Chelete (LSL M) |
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❓ Lipotso tse Atisang ho Botsoa (FAQ)
What is the withholding tax rate on cross-border services in Lesotho?
Under Section 107 of the Lesotho Income Tax Act, payments made to non-resident entities for technical, managerial, or consultancy services performed or utilized in Lesotho are subject to a statutory withholding tax rate of 10%.
What is the withholding tax on outbound dividend distributions?
Dividends paid by a Lesotho company to non-resident corporate or individual shareholders are subject to a 10% withholding tax (or 15% where unreduced), unless exempted under the South Africa-Lesotho Double Taxation Agreement.
How does the South Africa-Lesotho Double Tax Agreement (DTA) affect WHT?
The Lesotho-South Africa bilateral DTA provides relief on cross-border payments, capping withholding taxes on interest and royalties, and eliminating double taxation through tax credits granted in the resident country.
How does a contractual tax gross-up clause operate in Lesotho?
If a cross-border contract stipulates that the foreign supplier must receive a guaranteed net sum free of local taxes, the Lesotho payer must gross up the invoice: Grossed Base = Net Contract / (1 - WHT Rate), bearing the incremental withholding tax.
When must withholding taxes be remitted to Revenue Services Lesotho (RSL)?
Withholding taxes must be paid to RSL within fifteen (15) days after the end of the month in which the payment was deducted or made to the non-resident contractor.
Engr. Muhammad Shahzad
Verified Southern Africa Statutory Systems SpecialistChartered Systems Engineer and Public Finance Specialist. Calibrating statutory computation architectures for the Kingdom of Lesotho, including Revenue Services Lesotho (RSL) PAYE and corporate tax regimes, SACU common external tariffs, Labor Code Order 1992 employee rights, and Mines and Minerals Act royalty frameworks.