Guatemala

The following WHT rates apply on payments to non-resident corporations or individuals:

Notes

1. For international news transmission supplied from abroad to local entities, the rate is 3%.
2. Interests will not be taxed (i.e. no withholding applies) when:
   • These interests are paid to a multilateral entity.
   • These interests are paid from a Guatemalan banking or financial entity to a similar entity abroad.

Non-residents can operate in Guatemala with or without PE; accordingly, income tax treatment depends of the circumstance as follows:

• Non-residents with PE will be subject to income tax, choosing one of the two methods of payment established for residents.
• Non-residents without PE will be subject to WHT, applying specific rates according to the nature of the services rendered.

Tax treaties

Guatemala has no tax treaties in force.