Windhoek, Nov. 4, 2020 (Xinhua/Naija247news) Namibia taxpayers with outstanding balances can breathe a sigh a relief as the Finance Ministry will write off 95 per cent of the interest balance and reverse all penalties for taxpayers, an official said.
It will also reverse all penalties for taxpayers who settle the capital amount within three months from Feb. 1, 2021.
The Finance Ministry, Chief Public Relations Officer, Tonateni Shidhudhu, said this on Wednesday in Windhoek.
The relief is aimed at supporting Namibian citizens and businesses facing hardship and cash flow problems exacerbated by COVID-19, Shidhudhu said.
“Taxpayers who settle their capital before the commencement date and only have an outstanding interest will also benefit,” he said.
He added that the ministry would write off 75 per cent of the interest balance and reverse all penalties for taxpayers who settle the capital amount within a period of 12 months from Feb. 1, 2021.
According to Shidhudhu, 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 programme.
Furthermore, he said, 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.
The relief programme does not suspend the taxpayers’ obligation to pay taxes on time, Shidhudhu said.
“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,” he said.