What does Backup Withholding Rate mean? Read on to discover the definition & meaning of the term Backup Withholding Rate - to help you better understand the language used in insurance policies.
Backup Withholding Rate
A backup withholding rate is a tax rate charged to certain individuals, especially those with tax identification number issues. The amount is taken when an investor withdraws from an investment and not during the official tax payment period.
We hope the you have a better understanding of the meaning of Backup Withholding Rate.