8.1ÌýÌýÌýÌý Employer failures
| Employer failure | Brief description | Consequence |
| Withholding tax on wages | Failing to properly withhold tax on wages, the withholding tax agent will be exposed to penalties. | The corresponding penalty is equal to the amount of tax not withheld or under-withheld.
This penalty is doubled for recidivists when the employers fail again, within two years, to withhold such tax on payments of wages (Tax Rights and Procedures Code, Art 83). |
| Failing to properly withhold tax on wages, the foreign employee will not be able to get the tax clearance certificate. | Failing for a foreign employee to obtain the tax clearance certificate, the following steps will be challenged:
•ÌýÌýÌýÌý the issuance of certificate of change of residence by the ministry of interior
•ÌýÌýÌýÌý the customs-free repatriation of personal effects or equipment
•ÌýÌýÌýÌý the remittance abroad of |
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Web page updated on 17 Mar 2025 15:44