In Argentina coexist 3 levels of taxation: federal, provincial (state) and municipal level.

An entity is deemed resident for tax purposes when it is incorporated in Argentina under the laws of Argentina. An Argentine individual is considered a tax resident unless they lose their tax residence status by choice, obtain legal residence in other country or by fact, when the individual is outside the country for at least a 12-month period, with certain exemptions.

Domestic

Local entities and resident individuals are subject to income tax on domestic and foreign source income.

Foreign

Non-resident entities or individuals are taxed on income of Argentine source. The tax applicable is the income tax that comprises corporate earnings and capital gains. In general, a local resident paying to a foreign entity or individual is obliged to withhold income tax. The withholding rate varies in connection with the type of payment. 

Permanent establishments are taxed as local entities on income attributable to the permanent establishment.

Income tax on indirect transfer

Income tax on an indirect transfer may apply if a non-resident entity is transferred provided that at least 30 percent of value of the entity is represented by assets located in Argentina and provided that the transferor owns at least 10 percent of the capital of such entity.

A resident company is a company that is incorporated in Australia. It also includes a company that carries on its business in Australia and either its central management and control is in Australia or its voting power is controlled by shareholders resident in Australia.

Crucially, the Australian Taxation Office’s (ATO) current position is that, if a company’s central management and control is in Australia, the company may automatically be deemed to also carry on business in Australia.

As part of the Federal Budget 2020-21, the Australian Government announced that legislative amendments will be made to clarify that a company which is incorporated outside Australia will only be treated as an Australian tax resident if it has “significant economic connection” to Australia (ie, where a company has its central management and control and core commercial activities being undertaken in Australia). However, these measures have not been introduced to date.

Domestic

A resident company is subject to income tax on all of its income and capital gain from sources anywhere in the world.

Foreign

A non-resident company is generally taxed only on income from Australian sources and capital gains recognized on taxable Australian property. A network of Double Taxation Agreements (DTA) operates to modify these rules, including reducing the rate of withholding taxes.

Australia is also a signatory to the OECD’s multilateral instrument (MLI). The Australian Government has enacted legislation which gave the multilateral instrument the force of law in Australia from January I, 2019. The multilateral instrument will progressively modify Australia's DTAs between Australia and other relevant signatory countries.

A corporate entity (i.e. limited liability corporation [GmbH] or a stock corporation [AG]) is treated as a domestic entity for corporate income tax purposes if its registered seat (legal seat) or the effective place of management is located in Austria. The “place of effective management” is located where the day-to-day management of the company is actually carried out and not where singular board decisions are formally made. However, the definition of place of effective management under Austrian tax law does not significantly deviate from its definition under the Organisation for Economic Co-operation and Development (OECD) guidelines.

Domestic

Global income of a domestic entity generally is subject to Austrian taxation.

Foreign

Only certain income of legal entities which are neither seated in Austria nor have their effective place of management in Austria is subject to limited corporate income tax in Austria. Such income would be treated as connected with Austria under the applicable rules.

Domestic

According to Belgian tax law, a corporation is resident of Belgium if it has its main establishment or place of effective management in Belgium. If a company’s registered office is in Belgium, it is presumed to be a resident of Belgium. This presumption can be rebutted.

Foreign

Non-resident entities can be subject to Belgian non-resident income tax if they realize income that is sourced in Belgium or income that is connected with a Belgian establishment (or a permanent establishment in case a double tax treaty is in place).

Domestic

A legal entity incorporated under Brazilian legislation will be treated as a domestic legal entity.

A Brazilian national is automatically a resident while legally domiciled in Brazil or, if not domiciled in Brazil, upon his or her election to be treated as a resident for tax purposes.

Foreign

As a rule, foreign legal entities are not subject to Brazilian taxes except when carrying out activities in Brazil through a permanent establishment.

Foreign individuals are considered residents for tax purposes from the moment they enter the country to work under an employment contract. Foreign individuals appointed to management positions in Brazilian companies (officers) are required to obtain a permanent work permit and a visa. Foreign individuals may be considered Brazilian tax residents in other scenarios, depending on how long they stay in Brazil.

Non-resident individuals and legal entities who render services to a Brazilian party are subject to Brazilian withholding income tax received from Brazilian sources. Other taxes may apply depending on the transaction at hand.

A corporation formed in a Canadian jurisdiction is treated as a Canadian-resident corporation for Canadian tax purposes. A corporation formed outside of Canada can also be treated as a Canadian-resident corporation if its central "mind and management" is in Canada, subject to any relief provided under an applicable tax treaty.

Domestic

A resident corporation is subject to Canadian tax on its worldwide income. A Canadian-resident corporation generally is not subject to Canadian tax on the income of its foreign subsidiaries unless an anti-deferral provision applies (eg, the foreign accrual property income rules).

Foreign

Non-resident corporation are not generally subject to Canadian income tax except on:

• Income earned from carrying on business in Canada;

• Income arising on the disposition of taxable Canadian property; and

• Certain types of cross-border payments which are subject to non-resident withholding taxes. Income tax treaties can reduce or eliminate these taxes.

Any company incorporated in Chile is considered a tax resident. Likewise, an individual becomes a tax resident if they spend more than 183 days in the country during any 12-month period. Also, an individual can become a tax resident if they establish a domicile in the country in accordance with Civil Law provisions.

Basis for taxation of Residents

According to the Chilean Income Tax Law (CITL), tax residents are subject to Income Tax in Chile on their worldwide income.

Basis for taxation of Non-Residents

Non-residents are subject to tax solely on their Chilean-sourced income. However, individuals which become tax residents in Chile may still be taxed as non-residents for the first 3 years. Following said period, they shall start paying Income Tax in Chile on their worldwide income.

A resident enterprise is an enterprise established in China under the laws of China or an enterprise that is established under the laws of a foreign country (region) but that maintains its place of effective management in China.

Domestic

A resident enterprise is subject to enterprise income tax in China on its worldwide income.

Foreign

A non-resident enterprise is subject to enterprise income tax in China only if:

• It has derived China-sourced income by an establishment or place in China, or it has income incurred outside China but effectively connected with its establishment or place in China or

• It has derived China-sourced income even if it does not have an establishment or place in China, or the income is not effectively connected with its establishment or place in China.

A resident company is a corporation that:

• Is incorporated in Colombia,

• Has its principle domicile in Colombia, or

• Has its place of effective management in Colombia.

Domestic

Resident companies are subject to income tax on their worldwide income. A credit method for taxes paid on foreign source income is provided to avoid double taxation if certain criteria are met.

Foreign

Foreign companies are subject to income tax on their Colombian source-income, including capital gains obtained within Colombian territory. Foreign companies having a permanent establishment in Colombia are subject to income tax on their worldwide income attributable to the permanent establishment.

Domestic

Companies incorporated in accordance with Finnish legislation or whose place of effective management is located in Finland are subject to tax in Finland (unlimited tax liability).

Foreign

Foreign companies are subject to tax in Finland only to the extent specified in Finnish tax legislation (limited tax liability).

A company is a resident of France if its legal seat or place of effective management is in France. As a general rule, the corporate income tax base is territorial.

Domestic

Profits of a resident corporation generally are subject to French corporate tax only if derived from a business operated in France (including any capital gains, dividends and interest derived from French or non-French investments), real estate assets located in France or activities taxable in France pursuant to a double tax treaty. Resident corporations can be subject to tax in France on foreign source income under anti-avoidance rules (eg, CFC rules).

Foreign

Foreign corporations are not subject to French corporate tax unless they have in France:

• An autonomous establishment
• A dependent agent empowered to act on behalf of the corporation or
• A complete cycle of activity.

For residents of tax treaty countries, these concepts generally are superseded by the permanent establishment rules set out in the applicable double tax treaty.

A corporation that has either its registered seat or its effective place of management in Germany will be treated as a resident corporation.

Domestic 

A resident corporation is subject to German tax on its worldwide income. A resident corporation generally is not subject to German tax on the income of its foreign subsidiaries unless an anti-deferral provision applies (ie, the CFC rules).

Foreign

A non-resident corporation is taxed only on its German source income, as defined in German tax law and applicable double taxation treaties.

Residence is generally not relevant for Hong Kong tax purposes. Rather, the basis for taxation is whether or not a person carries on a trade, profession or business in Hong Kong. Nevertheless, the concept of residence can be relevant for the purposes of Hong Kong tax treaties as well as certain exemptions (such as the offshore fund profits tax exemption). In such case, Hong Kong would follow the common law tests of residential ties for individuals and management or control for other entities.

Domestic

Hong Kong has a territorial system of taxation without a general definition of income. Generally, only:

• Profits arising in or derived from Hong Kong from a trade, profession or business carried on in Hong Kong (including certain specified foreign-sourced income – see “Income” section below)

• Employment remuneration for services rendered in Hong Kong

• Income from real properties situated in Hong Kong can be subject to tax

Any other item of income is exempt from tax.

Foreign

There is no special regime for nonresidents. A Hong Kong branch of a foreign corporation is treated the same way as a locally incorporated company and is subject to similar corporate and tax obligations as a resident company.

A corporate entity is treated as a domestic entity for corporate income tax purposes if it is incorporated under Hungarian law or the place of effective management is in Hungary.

Domestic

A resident company is subject to Hungarian corporate income tax on all its worldwide income and capital gain unless specifically exempted by the corporate income tax legislation.

Foreign

A nonresident company with a permanent establishment in Hungary is subject to corporate income tax on (i) the income derived through the permanent establishment, defined in Hungarian tax law and the applicable double taxation treaties, and (ii) on the income realized through alienation of participations in a Hungarian entity qualifying as a real estate holding company.

The applicable double tax treaties may reduce or eliminate these taxes. Hungary has an extensive network of treaties.

A corporation formed in an Indian jurisdiction is treated as a domestic corporation. A company is deemed to be a tax resident company of India within a given tax year if it is incorporated in India or its place of effective management in that year is in India. Several guiding principles were laid down for determination of place of effective management in Circular No.6 of 2017 dated January 24, 2017.

A corporation resident in India is subject to Indian tax on its worldwide income. A corporation resident in India generally is not  subject to Indian tax on the income of its foreign subsidiaries unless it is deemed to have a permanent establishment in such country.

Foreign

Foreign corporations are subject to Indian income tax in respect of income received or accrued or arising in India which may be derived from:

• Income arising from an Indian trade or business
• A permanent establishment or
• Corporations whose place of effective management is in India.

Tax treaties can reduce or eliminate these taxes.

A company incorporated in Ireland on or after January 1, 2015 is regarded as tax resident in Ireland, unless a tax treaty provides otherwise.

Domestic

An Irish resident company is subject to Irish tax on its worldwide income and gains.

Foreign

A non-Irish resident company is not subject to Irish tax on income unless it carries on a trade in Ireland through a branch or agency or it receives income from Irish sources (eg, income from the rent of Irish properties). A non-Irish resident company is not subject to Irish tax on capital gains unless it makes a disposal of:

• Irish land
• Irish minerals or mining rights
• Unquoted shares deriving their value from (1) or (2) above or
• Irish situate assets which, at or before the time when the gains accrued, were used in or for the purposes of a trade carried on by the company in Ireland through a branch or agency.

A corporation is considered an Israeli resident for tax purposes if it is incorporated in Israel, or if its business is managed and controlled in Israel.

Domestic

An Israeli resident corporation is subject to Israeli tax on its worldwide income, including capital gains. A foreign tax credit may be granted for tax paid in other jurisdictions.

Foreign

A non-resident corporation is subject to tax in Israel on its Israeli-source income, including capital gains from dispositions of Israeli assets. Israeli-source income also includes income attributed to business activity carried out in Israel. If a non-resident corporation is entitled to the benefits of a treaty for the avoidance of double taxation, the threshold regarding the level of business activity in Israel is raised and requires the existence of a permanent establishment in Israel.

A corporation is considered to be resident in Italy if it has its legal seat, its place of management or its main business activity therein for the major part of the fiscal year. A foreign corporation can be deemed resident in Italy when it owns a controlling participation in an Italian company and:

• Is controlled, even indirectly, by resident entities or
• The board of directors (or similar body of management) is mainly formed by Italian resident directors.

Domestic

Resident corporations are taxable in Italy on their worldwide income. Italian permanent establishments of foreign entities are subject to taxation in the same manner as domestic corporations.

Foreign

Foreign corporations may be subject to Italian taxation on corporate income that is considered Italian source. Tax treaties can reduce or eliminate these taxes. Specific anti-deferral provisions apply to foreign-controlled companies.

A corporation having its head office or main office in Japan will be treated as a domestic corporation.

Domestic

A domestic corporation is subject to Japanese corporate tax on its worldwide income.

Foreign

A foreign corporation is subject to Japanese corporate tax only on income derived from sources in Japan. However, tax treaties can reduce or eliminate these taxes. If a foreign corporation has a permanent establishment in Japan, such foreign corporation is subject to Japanese corporate tax on income attributable to its permanent establishment in Japan.

A company is considered a resident if its legal seat or central administration is in Luxembourg.

Domestic

A resident company is taxed on its worldwide income, unless a double tax treaty provides for an exemption.

Foreign

A non-resident company is only taxed on Luxembourg-source income.

Legal entities that are residents of Mexico are subject to Mexican taxation. For this purpose, legal entities that have their effective seat of management in Mexico are considered residents of Mexico. Resident taxpayers are subject to Mexican income tax with respect to income from whatever source derived.

Domestic

An entity resident in Mexico for tax purposes is subject to Mexican taxation on its worldwide income, regardless of the source of income.

Foreign

Foreign entities are subject to Mexican taxation when:

• They have a permanent establishment (PE) in Mexico

• They do not have a PE in Mexico, but income is generated from a Mexican source.

Whether Mexican source income exists or not depends on the nature of the income received, and income tax treaties entered into by Mexico may be able to reduce or eliminate Mexican taxes.

The Mozambican tax system features both national and municipal taxes.

National taxes are classified into direct and indirect taxes and are dependent on the level of income and wealth and expenditure respectively. There are also other taxes which will be discussed.

Corporate Income Tax

Corporate income tax (IRPC) is a direct tax on income obtained during the taxation period, even if such income is obtained by illicit means.

Income obtained in Mozambican territory means income derived from activities carried out in the national territory by residents and non-residents with or without a permanent establishment located therein.

Domestic

Legal persons and other entities whose headquarters or effective management is located in Mozambican territory are classified as residents for IRPC purposes.

Foreign

Non-resident entities (ie, those without headquarters of effective management in Mozambique) with or without permanent establishment are liable to pay corporate tax in Mozambique on their local income. Non-resident entities with permanent establishment are taxed on profits attributed to their permanent establishment in Mozambique.

A company that is effectively managed in the Netherlands is treated as a resident company. Companies incorporated under Dutch law are deemed to be residents of the Netherlands.

Domestic

A resident company is subject to income tax on all its income and capital gain from sources anywhere in the world. Exemptions or exclusions may apply for certain income from shareholdings and permanent establishments.

Foreign

A nonresident company is generally taxed only on its Dutch-source income. A network of double taxation treaties operates to modify these rules including reducing the rate of withholding taxes.

Domestic

Companies are considered tax resident in Norway if they are:

• Established and registered in Norway or
• Have its place of effective management in Norway.

Foreign

Foreign companies that are not tax resident in Norway may have limited tax liability in Norway if they:

• Conduct or participate in business activities in Norway
• Operate or manage business activities from Norway
• Make employees available to others in Norway or
• Own real estate or other property in Norway.

As a general rule, companies duly incorporated in Peru are considered Peruvian residents for tax purposes.

Domestic

According to the Peru Income Tax Law (PITL), individuals and entities domiciled in Peru are subject to income tax on their global-sourced income (income derived from Peru or abroad).

However, although branches, agencies and PEs in Peru of non-resident entities are considered residents for tax purposes, they are subject to income tax only on their Peruvian-sourced income.

Foreign

Non-residents (individuals or entities) are taxed only on their Peruvian-sourced income.

Subject to the application of a relevant tax treaty, companies that have their legal seat or place of management in Poland are treated as domestic corporations (ie, tax resident in Poland).

Domestic

A domestic corporation is subject to Polish tax on its worldwide income. A domestic corporation generally is not subject to Polish tax on the income of its foreign subsidiaries unless controlled foreign corporation (CFC) rules apply.

Foreign

Foreign corporations are taxable on their Polish-source income only. Tax treaties can reduce or eliminate these taxes.

An entity is treated as a domestic entity for corporate income tax purposes if its registered seat or the effective place of management is located in Portugal.

Domestic

A domestic entity is subject to Portuguese corporate tax on its worldwide income.

Foreign

A foreign entity is subject to Portuguese corporate tax on:

• Income from business carried on through a Portuguese permanent establishment, and
• Portuguese-source income

Any Romanian legal entity, a legal entity setup under the European law with its legal seat in Romania or a foreign legal entity whose place of effective management is in Romania will be treated as residents in Romania for tax purposes.

Resident

An entity that is a resident for tax purposes in Romania is subject to Romanian corporate income tax on its worldwide income.

Foreign

Foreign legal entities are generally subject to Romanian tax if:

• They have a permanent establishment in Romania
• They have a place of effective management in Romania
• They derive income from the transfer of a real estate property located in Romania or from the disposition of any rights related to such real estate property or from the exploitation of natural resources located in Romania or
• They derive income from the transfer of the participation titles in a Romanian legal entity.

Tax treaties can reduce or eliminate these taxes. Romania has an extensive network of treaties.

An entity is treated as a tax resident for corporate profits tax purposes if it is registered as a Russian legal entity in accordance with Russian law. Likewise a foreign entity whose place of effective management is located in Russia is treated as a tax resident for corporate profits tax purposes (unless otherwise established by an applicable double tax treaty).

Domestic

A resident company (both Russian and foreign entities are recognized as Russian tax residents) is subject to the corporate profits tax in Russia on its worldwide income.

Foreign

A non-resident company is subject to corporate profits tax in Russia only on income derived through a Russian permanent establishment or on passive income derived from a Russian source.

A company is resident in Singapore for income tax purposes if control and management of its business is exercised in Singapore.

In general terms, control and management of a company's business is vested in its board of directors, and the place of control and management of the company is where the directors meet to make policy-level decisions for the company.

Due to the travel restrictions relating to COVID-19, the Singapore tax authorities are prepared to consider concessions for tax residency purposes where certain conditions are satisfied. These concessions will lapse after Year of Assessment (YA) 2022.

Singapore applies a semi-territorial tax system. Onshore sourced income is taxable and offshore sourced income is not taxable until it is remitted or deemed remitted to Singapore, unless it is tax exempt under any of the specific income tax exemption provisions in the law (e.g. foreign exempt dividends). In principle, only income which accrues in or is derived from Singapore is taxable.

Income is assessed on a preceding year basis. For example, income derived in the financial year ended in 2022 will be assessable to income tax in the YA 2023.

A company incorporated in South Africa (SA) is treated as a tax resident, subject to an applicable treaty.

Resident corporates

An SA corporate resident is subject to SA tax on its worldwide income. An SA corporate resident is generally not subject to SA tax on the income of its foreign subsidiaries until the income is repatriated unless the Controlled Foreign Corporation (CFC) rules apply.

Foreign corporates

Foreign corporates generally are not subject to SA tax except on:

• Income derived from a trade carried on through a permanent establishment in SA
• Income derived from a source in SA and

• Capital gains from the disposal of i) SA assets attributable to a permanent establishment in SA or ii) immovable property situated in SA, as contemplated in SA's domestic legislation.

Tax treaties can reduce or eliminate these taxes.

A corporation formed in a ROK jurisdiction will be treated as a domestic corporation.

Domestic

Domestic corporations are obligated to pay corporate tax for all income generated domestically and in foreign countries.

Foreign

Foreign corporations are obligated to pay corporate tax for income from domestic sources.

A corporation will be tax resident in Spain if:

• It has been registered under Spanish laws
• It is domiciled in Spain or
• Its center of effective management is located in Spain.

Domestic

A resident corporation is subject to Spanish tax on its worldwide income. A resident corporation generally is not subject to Spanish tax on the income of its foreign subsidiaries unless an anti-deferral provision applies (ie, the CFC rules).

Foreign

Foreign corporations are not subject to Spanish tax except on:

• Income effectively connected with the conduct of Spanish trade or business
• Taxable income under the Spanish CFC rules or
• Look-through entities.

Tax treaties can reduce or eliminate these taxes.

Domestic

Companies that are registered in Sweden or, if no registration is made, are domiciled in Sweden are regarded as unlimited tax liable in Sweden.

Foreign

Companies that are not considered unlimited tax liable in Sweden are treated as limited tax liable in Sweden.

Domestic

Corporate taxpayers are resident under Swiss domestic tax laws if either their statutory seat or effective management is in Switzerland.

Foreign

Nonresident companies may be subject to Swiss corporate taxation if they:

• Are partners of a business partnership in Switzerland
• Have a permanent establishment in Switzerland
• Own Swiss real estate
• Have claims secured by a mortgage on Swiss real estate or
• Act as brokers for Swiss real estate.

A company – including a subsidiary of a foreign company – formed in Taiwan is treated as a Taiwan company.

Domestic

A Taiwan company is subject to Taiwan income tax on its worldwide income.

Foreign

A company with its head office outside Taiwan, including a foreign company with a branch office in Taiwan, is considered a foreign company for tax purposes, though the Taiwan branch itself is considered a domestic profit-seeking enterprise.

A company is treated as a Turkey resident if its legal seat or place of management is in Turkey.

Domestic 

A resident company is subject to corporate tax on its worldwide income and gains.

Foreign

A nonresident company is subject to tax on its Turkish-sourced income.

All companies incorporated in Ukraine are considered residents for corporate income tax purposes (ie, the incorporation principle).

Foreign companies as well as their representative offices registered in Ukraine are treated as nonresidents for corporate income tax purposes.

Domestic 

Residents are taxed on their worldwide income. Residents may also use some simplified tax regimes envisaging lower tax rates.

Foreign

Nonresidents are taxed on Ukraine-sourced income. Permanent establishments of nonresidents are taxed in part on profits attributable to their activities in Ukraine under local rules.

Double tax treaties may reduce or eliminate taxation provided relevant conditions envisaged therein are met.

Companies incorporated in the UAE are considered tax residents. For the application of any of the UAE's Double Tax Treaties, a company can obtain a Tax Residency Certificate, provided it meets the relevant conditions.

A company will be treated as a UK resident if it is incorporated in the UK or centrally managed and controlled (generally at the board level) in the UK.

Domestic 

A UK resident company is subject to UK corporation tax on its worldwide income and gains (subject to relief for any tax paid on the same income or gains in other jurisdictions). The company may elect to leave out of account all trading profits and losses arising from branches outside the UK.

A UK resident company may be subject to the UK's diverted profits tax where it has entered into arrangements with a related person and that person or the transactions lack economic substance, and the arrangements result in a reduction in the UK resident company's taxable profits.

Foreign

A non-UK-resident company is not subject to UK tax except on:

• Income from a business carried on through a UK permanent establishment or from a trade of dealing in or developing UK land (irrespective of whether there is a UK permanent establishment)
• Income from intangible property that is referable to sales of goods, services or other property in the UK, where the income is receivable in a low or no tax jurisdiction (under the offshore receipts in respect of intangible property ("ORIP") rules)
• Other UK source income, but only to the extent of any withholding tax borne by that income, and
• Capital gains arising on disposals of interests in UK land and certain disposals of assets (wherever situated) that derive at least 75 percent of their value from UK land (see Capital gain)

A non-UK resident company may be subject to the UK's diverted profits tax where either:

• It has a UK permanent establishment that has entered into arrangements with a related person and that person or the transactions lack economic substance, and the arrangements result in a reduction in the taxable profits of the permanent establishment, or
• The company has entered into arrangements with a person who is carrying on activity in the UK and the arrangements are designed to ensure that the company does not have a permanent establishment in the UK

A digital services tax was introduced from April 1, 2020. It applies to businesses that provide social media services, internet search engines and online marketplaces, and any online advertising businesses that derive significant benefit from the foregoing businesses. Businesses are within the digital services tax when the group's worldwide revenues from in-scope digital activities are GBP500 million or more, and at least GBP25 million of these revenues are attributable to UK users.

A corporation formed in a US jurisdiction will be treated as a domestic corporation.

Domestic

A domestic corporation is subject to a modified territorial tax regime on US-source income and certain earnings related to foreign entities. A domestic corporation may be subject to tax on income of its foreign subsidiaries if the global intangible low-taxed income (GILTI) rules or another anti-deferral provision applies (ie, the CFC or PFIC rules).

Foreign

Foreign corporations generally are not subject to US tax except on

• Income effectively connected with the conduct of a US trade or business and
• Certain FDAP (fixed or determinable annual or periodical gains, profits and income, which is generally passive) income from US sources.

Tax treaties can reduce or eliminate these taxes.

In Zimbabwe, taxation is source-based and both domestic and foreign taxpayers only need to account for income earned from a Zimbabwean source. Income tax is administered in terms of the Income Tax Act (Chapter 23:06).