The Namibia Revenue Agency (NamRA) is owed over N$5.6 billion in taxes by residents of the Khomas Region that was accumulated the past few years prior to the Covid-19 outbreak.
In terms of revenue for the fiscal year ended March 2022, the Khomas and Omaheke regions brought in N$11 billion, while the rest of 11 regions contributed N$23 billion.
Head of Domestic Taxes, Idi Itope, said individuals ‘’who need to submit a tax form by the end of June contributed 49 percent, businesses contributed 36 percent, and corporates came in last with 11 percent’’.
The Agency issued nearly N$7 billion in refunds, with 68 percent going to VAT vendors, 27 to individuals, and five percent to corporations.
‘’Sometimes other taxpayers have various activities that result in them paying more than they should have paid, so after verifying the refunds, 1.1 billion was paid out to the Khomas Region, with the total refund for all regions being 6.5 billion’’, Itope explained.
Namra has announced a second Electronic Filing Tax Relief Programme on 31 January 2022, when NamRA for another 12-month period in response to public demand.
The relief is intended to assist taxpayers, primarily those affected by COVID-19, in writing off a percentage of the interest and penalties owed to NamRA as tax arrears, as well as to promote online filing of tax returns and general use of the Integrated Tax Administration System (ITAS).
According to the Minister of Finance, Iipumbu Shiimi’s budget speech, a total of N$11 156 billion in tax arrears was waived, while N$1 320 528 999 was collected and paid into the State Account.
The modified Electronic Tax Relief Programme benefits taxpayers in the following ways: first, 70% of interest and 100% of penalties will be waived if taxpayers with arrears register on the ITAS portal and pay off the outstanding capital amount within the first six months, beginning on June 1, 2022.
Secondly, if taxpayers with tax arrears register on the ITAS portal and pay off the outstanding capital amount during the remaining six months from 1 December 2022 to 31
May 2023, 60% of interest and 100% of penalties will be waived.
NamRA Commissioner Sam Shivute stated during the Taxpayer/Trader Appreciation Day on 7 April 2022 in Windhoek that he does not anticipate any additional tax relief programs in the future.
NamRA encourages all taxpayers who have outstanding tax debts to participate in the program and settle their debts.