3. How is the withholding tax calculated?
Tax is calculated per seller, based on gross earnings from the applicable earning type. Standard tax rates are:
- Individual (person) → 15%
- Legal entity (business) → 10%
- Seller tax resident in Lithuania → 0%
Tax is:
- Calculated per seller, per earning type, per payout period
- Rounded to 2 decimal places
- Deducted before payout execution
Each payout record includes:
- Gross earnings amount
- Applied tax rate
- The withholding tax amount is deducted
- Net payout amount after tax