Oil companies in Angola to be charged higher rates of tax

15 October 2013

The Angolan government plans to increase the rates of tax charged to oil companies operating in the country, which will lead to 10 percent rises in some costs, financial news agency Bloomberg reported citing official documents.

According to a presidential decree, which will come into force soon, oil companies will have to add 5 percentage points to the rate of tax they already pay on most services and provisions and 10 percentage points for hiring some types of equipment.

In 2010 the government set up an inter-ministry task force for tax reform in order to increase tax collection and eliminate gaps in legislation in an attempt to simplify tax procedure.

Angola, which is a member of the Organisation of Petroleum Exporting Countries, produced around 1.74 million barrels of oil per day in September, according to figures compiled by Bloomberg. (macauhub)