: Must be withheld if the payment is ETB 10,000 or more .
If you can tell me whether you are looking for the or employment income tax , I can help you locate the exact official PDF version you need. Ethiopia - Corporate - Significant developments
The Income Tax (Amendment) Proclamation No. 1395/2025 focuses on modernization and broadening the tax base: withholding tax proclamation in ethiopia pdf best
A new Minimum Alternative Tax of applies if the calculated income tax falls below this threshold, even for companies enjoying tax incentives.
To review the official text, you can access the proclamations through platforms like or PolicyVault : : Must be withheld if the payment is ETB 10,000 or more
Understanding is critical for businesses, independent contractors, and finance professionals operating within the country. Ethiopia’s tax landscape underwent major updates with the enactment of Income Tax (Amendment) Proclamation No. 1395/2025 . This law fundamentally altered the local and international withholding tax (WHT) structures originally established under the foundational Federal Income Tax Proclamation No. 979/2016 .
The Withholding Tax Proclamation No. 608/2008 is available online in PDF format. You can download it from the Ethiopian Ministry of Finance or the Ethiopian Revenue Authority websites. 1395/2025 focuses on modernization and broadening the tax
This article delivers an exhaustive breakdown of the updated Ethiopian withholding tax system, providing actionable data for businesses seeking compliance. Key Legislative Foundations
Withholding agents must submit:
: Includes all corporate bodies (companies) regardless of income, and any individual with an annual gross income of ETB 2,000,000 or more .
Once you have downloaded the , use this cheat sheet to find the most important clauses.