Dividend Withholding Tax

What is Dividend Withholding Tax?

It’s a tax deducted from dividends before they’re paid to shareholders.

Think of it like this…

It’s SARS taking their share before you get yours.

Why does it matter?

Currently 20% for most shareholders
Company is responsible for withholding and paying it
Exemptions apply for certain shareholders

Best practice

File and pay within the legal timeframe to avoid penalties.