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A model and actor has enquired whether a 15% withholding tax should be applied to services such as fashion shows or rehearsals, as opposed to the 24% rate applied to image rights. The Directorate-General for Taxes (DGT) has ruled that the applicable withholding tax rate depends on the specific nature of the remuneration.
This ruling clarifies the distinction between professional service fees and image rights transfers, ensuring correct tax withholding for performers and models.
The tax team reviews your specific situation.
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