Income and Business Tax (Amendment) (No.2) Act, 2008, which came into effect on January 1, 2009 is requiring that all payments of commissions to a non resident (travel agents included) that there should be a 15% withholding tax. So not the 9% Hotel tax but 15% income tax to be paid on foreign commissions.

Originally Posted by Amendment
4. Section 113 of the principal Act is hereby amended as follows:

(i) by adding the following new subsection (3a) immediately after subsection (3):

(3a) Every person who pays any royalty or commission to a non-resident shall deduct there from tax at the rate of fifteen percent of such payment and shall forthwith render an account and

remit the tax so deducted to the Commissioner and every such amount shall be a debt owing from him to the Government and shall be recoverable as such.