Guest Contributor | Feb 27, 2024 | 0
Second tax amnesty implementation to commence
For those taxpayers, who had not taken full advantage of the Tax Incentive Programme for Arrears Recovery that concluded on 31 July 2017, the Ministry of Finance announced that it will commence with the implementation of the second and last Tax Arrears Recovery Incentive from 11 September to 11 March 2018.
The Ministry of Finance (MoF), Permanent Secretary, Ericah Shafudah in a statement this week said, the second phase shall apply to all taxes administered by the Inland revenue department which are Income tax, Value Added Tax (VAT), VAT Import, Employee’s Tax stamp Duty, Non-residents shareholders TAX and Tax on Royalties.
According to her, the second phase will have three objectives which is to collect arrears that remain owing to the receiver of revenue, to offer a limited-time relief to taxpayers with the out standing tax balances to settle their capital amounts in full and pay only part of their interest charges and to invite all people especially business owners who have benefited from the Incentive.
Shafudah said the MoF will waive the penalties levied on tax payments and submission of tax returns and write of 70% of the interest balance on all tax accounts for taxpayers who pay the capital tax amount in full and 30 % of the interest of the balance.
“There shall be no write off any capital amount,” she said, adding that taxpayers who intend to participate in this programme are encouraged to register for such purposes during September and October and settle their debt before benefiting from the programme.
“Any taxpayer who intends to make a once off settlement of the debt payable should do so during September or October,” she stressed in a statement.
“Any taxpayer who intends to settle the balance by making only one payment, is to pay first instalment that will be agreed upon with inland Revenue Department in the month of registration and thereafter pay monthly instalments until the debt is settled within the tax incentive period,” she added.
Shafudah said any taxpayer who fails to honour the instalment arrangement may be disqualified from benefiting from the incentive programme unless a good cause is shown in writing before payment becomes due.
She meanwhile said, taxpayers are encouraged to update all their respective tax accounts by filling and returning at offices where their accounts are registered and obtain the most recent statements of accounts with the correct balance.