Withholding tax is tax deducted from a payment before the money is paid to the person or business that earned it. This article explains how withholding tax works, who must deduct and pay it, and how both the payer and the recipient should account for it. It also explains why the full income must still be recorded, even when only the amount after tax is received in the bank account.

Many business owners say they want to “sell their business” without realising there are two very different ways to do it. A share sale means the whole company changes hands, while an asset sale means only the equipment, stock, or contracts are sold. The choice affects tax, risks, and even how the financial records look afterwards. Knowing the difference is vital, and it’s where your guidance as a Chartered Business Accountant in Practice adds real value.