CONSOLIDATED TAX AMENDMENT ACT
As Liberia strives to encourage taxpayers to declare the actual amount of taxes and pay these taxes on a regular basis, they have adopted and Economic Stimulus Taxation Act called "Consolidated Tax Amendment Act (CTA)". This act has considerably reduce some of the Taxes rate, reduce and increase certain taxes or penalties rates and disregard certain penalties. Currently the following rules apply: Personal Income Tax ......Graduated rate (0% to 25%) instead of 2% to 35% Presumptive Tax .............25% of profit instead of 2% of gross income Withholding on Payments to Resident and Nonresident rates are as follows: Tax kind Nonresident Resident SOURCE INTEREST 15% 10% Consolidated Tax Amendments – Section 806 & 905 DIVIDEND 15% 10% Consolidated Tax Amendments – Section 806 ROYALTIES 15% 10% Consolidated Tax Amendments – Section