Angola will be on the list of countries of the Southern African Development Community (SADC) that charge Value Added Tax (VAT) replacing Consumption Tax, starting in the country with a flat rate of 14%.
The Angop news agency recalled that in the revised 2019 State General Budget, approved in June by Parliament, the estimated revenue to be charged with the introduction of VAT was revised upwards by 60% from the initial collection of 156.3 billion kwanzas to 249.3 billion kwanzas (US$663 million).
VAT will initially be charged to 1,600 companies registered with the Tax Office of Large Taxpayers and others that have voluntarily joined the general scheme.
Adilson Sequeira, the coordinator of the technical introduction group for VAT, told the news agency that the tax will come into force on 1 October, after a postponement since 1 July, because entrepreneurs had requested an extension of the deadline, claiming they were not properly prepared.
Sequeira said 103 computer applications from domestic and foreign companies have already been approved and 15 printworks authorised to print invoices and equivalent documents.
Companies that have opted for the general VAT regime will now submit a periodic statement that will be checked by the General Tax Administration, and from January 2020 onward they will start submitting their invoices electronically, which will be checked in more detail.
From 2021 onward all taxpayers with turnover or equivalent annual revenue in kwanzas of US$250,000 will be covered by VAT. (Macauhub)