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expanded withholding tax (FI)

Financial Accounting (FI)

A type of withholding tax in the Philippines for which the taxes withheld on income payments are estimated.

Income recipients are still required to file a tax return, and either pay the difference between the tax withheld and the tax due, or they are refunded accordingly.

An example of an income payment subject to expanded withholding tax is a medical fee paid to a medical practitioner.

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