Salary Advances and Taxation

If the salary advance and the balance payment are made in the same month, the advance is not subject to any type of tax deduction. The value will be paid in full according to the percentage set forth on the indicated salary. Taxes are deducted from the balance payment made at the end of the month.

If the salary advance and the balance payment are not made in the same month, the company is required to withhold income tax on the advance payment.