Tax
Income Tax Act with VAT at 16 percent
The Income Tax Act taxes residents on worldwide income with corporation tax at 30 percent, administered by the Inland Revenue Department. Value added tax is charged at 16 percent under the Value Added Tax Act, with a reduced rate for hotel accommodation and a range of exempt supplies. There is no capital gains tax and no inheritance tax, and property tax is levied annually on assessed value.
Key rules
- Jurisdiction — National taxation administered by the Inland Revenue Department
- Deadline — Income tax return: filed by 31 March following the year of assessment
- Deadline — VAT return: filed and paid by the last day of the following month
- Deadline — Pay as you earn: remitted by the 15th of the following month
- Deadline — Property tax: payable annually on assessment
Governing law
- Income Tax Act
- Value Added Tax Act
- Property Tax Act
- Tax Administration and Procedures Act
In practice
The Tax Administration and Procedures Act consolidated assessment, objection and appeal across the different taxes, so procedural points are found there rather than in each substantive act, which is a frequent source of missed deadlines for advisers working from the Income Tax Act alone. There is no capital gains tax, but trading profits on land are ordinary income and taxed accordingly.