In some countries, the invoice recipient is obliged to withhold a certain proportion of the payment for different groups of vendors. This proportion is then paid to the tax authorities as withholding tax. This is a requirement in the United Kingdom, for example. Other countries stipulate that the withholding tax for certain vendors (for example, self-employed workers) only has to be declared to the tax authority. In these countries, the withholding tax is not posted. This is a requirement in France, for example.

You should report the amounts involved periodically to the tax authorities and to the vendor concerned.