Law no. 3/18 approved the Angolan State Budget for 2018.
We would highlight the following tax provisions:
The 10% Special Contribution on Current Invisible Foreign Exchange Transactions, applicable to payments related with foreign technical assistance and management contracts, was extended for 2018 (applicable to management services and foreign technical assistance service contracts executed under Presidential Decree no. 273/11, 27 October 2011).
A special authorization was given to the President for the approval of certain tax amendments to the Customs Code, Investment Income Tax Code, Consumption Tax Regulations and Stamp Duty Code, such as:
- Approval of a regime for payment of customs debts in installments
- Redefinition of the Investment Income Tax rules applicable to the distribution of dividends to companies that are subject to Industrial Tax in Angola (participation exemption regime)
- Extension of the Consumption Tax reverse charge mechanism currently applicable to the oil & gas sector to the financial, insurance, telecommunications and mining sectors
- Widening of the Consumption Tax scope in order to include publicity services as well as maritime and air transport that is totally carried out in Angolan territory
- Widening of the Stamp Duty scope in order to cover the issuance of receipts by self-employees, service contracts of any nature and employment contracts with non-resident foreign employees
- Amendment of the Stamp Duty assessment rules on the acquisitions or promissory acquisitions of real estate
- Clarification of the Stamp Duty liability provisions
All information contained herein are of general nature and for informational purposes only. It does not therefore intend to be nor shall be construed as legal advice on any of the matters addressed.
