Vinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo Slider

Implementation of VAT in Angola

With a start date of July 1, 2019, Value Added Tax is finally implemented in Angola and with a fixed rate of 14% - in line with the values practiced at SADC level ( Southern Africa Development Community - Development Community of Southern Africa), where rates are applied ranging from 12% (Botswana) to 20% (Madagascar). 

The Angolan VAT will have its implementation in the national scenario in a phased way. In the first phase ( 2019-2020 ), VAT will be applied to the so-called large taxpayers, who form a group of about 400 companies registered in the Tax Office of Major Taxpayers. 

Still in this first stage, other companies are allowed to join a transitional regime, provided that they do not show interest in joining the general scheme and want to be taxed already on VAT, bearing 50% of the VAT rate. 

At s micro-enterprises (companies with turnover not exceeding 250,000 US dollars) a simplified scheme is applied, under which they are not subject to the liquidation and deduction of VAT. 

Only from 2021 will VAT become mandatory , however, such obligation will only be verified for taxpayers with turnover of more than 250 thousand dollars, this being the second phase of implementation. 

As for the oil sector, for this was provided a separate regime, through which such activity is only tributad when the phase of production and realization of other support activities. 

Angola therefore presents a Value Added Tax model designed to reflect the specific needs of the country and provide economic balance to the country for its development.