Khomas taxpayers owe an astounding N$5.6 billion in capital to the Namibia Revenue Agency. This exorbitant amount excludes interest and penalties.
Head of domestic taxes at NamRA, Idi Itope, on Tuesday revealed the figure during a stakeholders’ engagement session held in Windhoek.
NamRA is currently running a modified electronic filing tax relief programme which commenced on 1 June 2022 to help businesses and individuals in distress.
As a sweetener, the agency announced that if the outstanding tax is paid between the beginning of June and the end of November, 70% of the accrued interest will be written off, and all penalties will be waived. If the outstanding tax is paid between 1 December 2022 and 31 May 2023, 60% of the interest will be written off, as well as all penalties.
To benefit, taxpayers must register on the ITAS portal, and file their tax returns electronically.
Itope noted that taxpayers in the
Khomas region should embrace this initiative and help government execute its mandate.
For the year ended 31 March 2022, the Khomas and Omaheke regions combined contributed N$11.7 billion of revenue, while the other regions contributed N$23 billion.
To break it down, about 49% of these contributions came from tax on individuals, 36% from value-added tax and 11% from corporate tax.
At the same occasion, Khomas governor Laura McLeod-Katjirua said revenue collected is used to fund various government initiatives that help boost the economy. She observed that these funds further help government to implement projects such as the construction of roads, hospitals, schools and other services aimed at improving livelihoods.
“Economic activities such as job creation and procurement opportunities can only occur when people and businesses are committed to pay tax. It is clear that an increase in tax collection also increases government tenders and procurement where local businesses can partake,” she said. According to her, the modified electronic filing tax relief programme is a welcome move that will help many small and medium enterprises (SMEs) to become tax-complaint. Many SMEs are struggling to partake in government tenders as they are still crawling back from the effects of Covid-19, and because many are not in good standing with NamRA.
The governor then requested NamRA to open a branch in Katutura to create awareness for many people who rarely visit the city centre.