Category Taxation In Africa

Zambia to Tax WhatsApp and Skype

August 15, 2018 Taxation in Zambia

Whatsapp taxLUSAKA – Zambia wants to charge a tax on WhatsApp calls, in order to collect funds to compensate traditional telecoms businesses.

Earlier this week the government of Zambia announced that it intends to implement a daily tax on the use of internet calling services such as WhatsApp or Skype.

The new tax would be charged at a rate of ZMK 0.30 per day for each device that is used to access the relevant communications and calling networks.

The tax is targeted specifically at calling, and would not be charged if a call-capable network, such as Facebook Messenger, is used but no calls are made.

It was explained by the Information Minister Dora Siliya that the transition by many individuals to digital calls is beginning to prove troublesome for the traditional telecommunications industry.

She fu...

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Cryptos to Be Taxed in South Africa

August 10, 2018 Taxation in South Africa

TokenBorsaPRETORIA – New rules being pushed by South African tax authorities will see cryptocurrencies be subject to income tax but not VAT.

The South African Revenue Service (SARS) is pushing for new regulation which would see a tax imposed on cryptocurrency.

Under current regulation in South Africa, cryptocurrencies are not considered to be currency in regards to the calculation of liability for capital gains tax and income tax.

As cryptocurrency is not yet widely popular as a means of payment of exchange, there is not yet any significant push for any coins to be considered and treated as a currency.

The SARS is considering cryptocurrencies to be an intangible asset, and are to be taxed as an asset.

If the classification is ratified, trades of cryptocurrency will be subject to income tax, as wo...

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Ghana Will Snoop on Phone Calls To Help Tax Revenues

July 27, 2018 Taxation in Ghana

mobileACCRA – Ghana will start monitoring all phone calls, texts, and data usage as a means of ensuring telecommunications companies pay enough tax.

Earlier this month the Human rights Court in Ghana dismissed a claim that the government’s planned mobile monitoring technology is a breach of privacy.

The monitoring system, called the Common Platform, is intended to help the government ensure that telecommunications companies are accurately reporting traffic and usage, and subsequently declaring the full extent of their incomes.

While the system is claimed to be only for the monitoring of revenues, the system would allow the government access to the contents of voice calls, data usage, and messages sent in Ghana.

Opponents of the system claim that this would breach users’ rights to privacy, a...

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Ghana Launches Luxury Vehicle Tax

July 20, 2018 Taxation in Ghana

Luxury car tax in GhanaACCRA – Despite expectations of a VAT hike, Ghana has surprised pundits by enacting a tax on luxury vehicles.

On July 19th the government of Ghana announced that it would be enacting a new tax on vehicles with large-capacity engines, with the new tax to be billed as a luxury vehicle tax.

The latest tax would be set at GHS 1 000 for cars with engine capacities of between 3.0 litres and 3.5 litres, while cars with capacities of between 3.6 litres and 4.0 litres would see a tax of GHS 1 500, and all cars exceeding 4.1 litres would face a tax of GHS 2 000.

The taxes would be applicable to all non-commercial vehicles, and would need to be paid each year.

The new tax is understood to have come as a surprise to many experts who believed that the government would announce a hike to the rate of VA...

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Uganda’s Social Media Tax Already Under Review

July 11, 2018 Taxation in Uganda

mobile tax UgandaKAMPALA – Despite being less than two weeks old, Uganda’s social media tax is already being reviewed.

Uganda’s recently imposed social media tax is becoming an increasingly controversial issue, as parliament revisits the topic, while taxpayers are threatening to protest.

As of July 1st, mobile users in Uganda are required to pay a tax of UGX 200 per day in order to access social media and communication services, such as Facebook, WhatsApp, and Skype.

The tax is understood to be intended to help cover some of Uganda’s debts, and it is also a social issue, as the country’s president Yoweri Museveni that social media is used to “encourage gossip”.

It has now been announced that on July 11th, the country’s parliament will revisit the issue of the tax.

During its review, it is p...

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