Withholding on mutual fund unit income applies to non-resident recipients, with lower treaty rates subject to prescribed conditions.

Section 393(2), Table serial number 10, requires any person making payment of income from specified Mutual Fund units or specified company units to deduct tax where the recipient is a non-resident other than a company or a foreign company. Tax is deductible at 20%, with a lower agreement rate available where the payee qualifies for the agreement benefit and furnishes the prescribed certificate. No monetary threshold applies, and deduction is required at the earlier of credit or payment.

---

---

---