Select your Top Menu from wp menus
  • Instagram
Taxpayers with outstanding balances to get relief

Taxpayers with outstanding balances to get relief

Business Reporter

THE ministry of finance has announced a relief to taxpayers with outstanding balances, effective 1 February 2021.

The relief is aimed at supporting Namibian citizens and businesses facing hardships and cashflow problems exacerbated by COVID-19.

Finance ministry spokesperson, Tonateni Shidhudhu, stated that the ministry will write off 95% of the interest balance and reverse all penalties for taxpayers who settle the capital amount within a period of three months from 1 February 2021.

In addition, taxpayers who settle their capital before the commencement date and only have outstanding interest will also benefit.
Shidhudhu added that the ministry will write off 75% of the interest balance and reverse all penalties for taxpayers who settle the capital amount within a period of 12 months from 1 February 2021.

 

Taxpayers outstanding balances relief ministry finance announced taxpayers outstanding balances effective 1 February 2021
RELIEF: Finance ministry spokesperson, Tonateni Shidhudhu. Photo: MOF

 

No capital amount owing to Inland Revenue Department (IRD) shall be written off and consequently taxpayers who fail to settle the outstanding capital will not benefit from the relief programme.

Penalties and interest settled or set off prior to the effective date of the Relief Programme shall not be refunded or credited to the account. All persons with outstanding taxes can partake in the Relief Programme which is applicable to all taxes administered by IRD.

In order to qualify, Shidhudhu explained that taxpayers should first register as electronic filers on the portal of the Integrated Tax Administration System (ITAS).

Upon registration as electronic filers, taxpayers must file all outstanding tax returns electronically on all active tax accounts. Taxpayers will only benefit upon settling the outstanding capital in full. Taxpayers who intend to pay instalments are required to arrange a payment plan with any of the IRD regional offices or satellite offices.

Shidhudhu stressed that the Relief Programme does not suspend the taxpayers’ obligation to pay taxes on time and that the IRD will continue to collect outstanding taxes from taxpayers who have either not made a settlement arrangement or who have not honoured such a settlement plan.


Related posts