Simple Definition of withholding tax

from our Learner's Dictionary

withholding tax

noun

plural withholding taxes
US : money that is taken from a person's pay and given directly to the government as income tax

called also (British) PAYE

Cite this Entry

“Withholding tax.” Merriam-Webster.com Simple Definition, Merriam-Webster, https://www.merriam-webster.com/simple/withholding%20tax. Accessed 24 Jun. 2026.

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