Africa-Press – Angola. The New Personal Income Tax Code (IRPS) to be implemented in January 2027, provides for the broadening of the tax base and greater tax fairness, said on Wednesday in Luanda the chairman of the Board of Directors of the General Tax Administration (AGT), José Leiria.
Speaking at the opening of the 5th Economy and Market Conference on Taxation, he stressed that IRPS is a modern tax and part of the tax reform underway in the country since 2011, which should tax nationals and foreigners according to the nature of their income in light of the legislation.
“The extension will not only affect foreigners residing in Angola, but also nationals residing in Angola who, due to the nature of their income and the fact that, under current legislation, they are not required to file income tax returns,” he explained.
José Leiria noted that the IRPS, as currently proposed, does not require the taxation of nationals without tax residence in Angola.
Therefore, he continued, Angolans who have decided to live in the diaspora (who have established their residence there and have income from foreign entities) are not required to pay taxes on their income in Angola.
He assured that the National Assembly will be able to receive all the contributions obtained during the public consultation and that the deputies will be better able to decide on the policies to be adopted, from the point of view of specificities, within the technical proposal that we have now completed.
He said that the version that came out of the public consultation, which ended in April this year, includes some changes, such as the date of entry into force of the law.
“The version that was submitted for public consultation set the date of entry into force of the law as January 1, 2026. As a result of technical discussions, today’s proposal sets the date of entry into force as January 1, 2027,” he emphasized.
As for income from capital traded on regulated markets, the CEO said that the country still has a low rate, which is 5%.
“We have taxes on income from real estate rents, which are taxed at a rate of 25%, resulting in a tax base of 60% of the rent value, which results in a gross nominal rate of 15% on the rent value,” he added.
The new IRPS broadens the tax base to include income that was not previously subject to tax, such as the use of company cars, housing provided by companies, and income earned abroad.
It provides for an increase in the tax burden on individuals and will require new procedures, such as electronic filing of returns and the management of conflicts of residence or double taxation.
This initiative is expected to impact companies with lower net income for workers, challenges in hiring expatriates, and the need to adapt human resources.
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