Reduction in tax rate on royalty income

Further to an amendment to article 31F of the Income Tax Act (CAP 123) introduced with the Budget Measures Implementation Act 2023, royalties derived on or after 1 January 2023 by an individual in his capacity as author of a qualifying literary work by virtue of his title to the copyright on that work conferred by the Copyright Act, will be charged to tax at the rate of 7.5% (reduced from 15% which continues to apply to royalties derived before 1 January 2023).