The Government through the Minister of Finance, Economic Planning and Development recently announced new tax measures relating to Domestic Taxes and Customs & Excise. While the changes for Domestic Taxes will become effective on 1st July 2017, the Customs & Excise new measures became effective on the mid night of Friday, 19th May 2017, as follows:
1. Removal of 16.5% import VAT on dairy milk
2. Introduction of 16.5% import VAT on minibuses and big buses manufactured within a period not exceeding five (5) years. This means that there will be no import duty, import excise but VAT is payable at 16.5%
3. Re- introduction of single excise rate of USD 15 per 1,000 cigarettes of sticks or its Malawi Kwacha equivalent for both imported and local manufactured cigarettes
4. Introduction of 10% local excise on Television subscriptions
5. Deletion of the Customs Procedure Codes (CPCs) 4000.443 and 4071.443 for minibuses and buses manufactured within a period of five (5) years of seating capacity exceeding 11 persons but not exceeding 44 persons including the driver.
For more information, you may contact Patrick Kachingwe on 0884810000 or Steven Kapoloma on 0888986200.
Tom Gray Malata