Tax amnesty offered by Ministry of Revenue and Customs to late payments of business taxes
Radio & TV Tonga, Nuku’alofa, 16/05/2017
More than 2,000 businesses in Tonga are benefiting from an amnesty period offered by the Ministry of revenue and customs for late payments of taxes.
The temporary amnesty is for businesses that did not provide their financial statements for certain periods of time, operating without updating business licenses and those who have not been paying tax for several years.
A senior revenue officer – Taniela Sila said this amnesty was approved by government the first in 20 years and this is a special year for Tonga.
He said, some businesses did not provide their financial statements for 2015/2016 and the due date was last October.
If their reports are not yet submitted the Ministry will impose TOP$100.00, and TOP$10.00 per day for late payment until the report is submitted together with their tax payment.
However, the amnesty will exempt tax payers from the TOP$100.00 fee and extra TOP$10.00 payment per day for all the years of non-payment.
They will pay only the amount of tax they are supposed to pay.
HOWEVER this special arrangement will not be applied to black markets and vendors who sell local agricultural and fisheries products.
Sila said, they need to first register and have business licenses in order to benefit from this amnesty.
The purpose for the initiative is to collect all information on businesses in Tonga and to identify their current situations.
It is also to encourage the business sector as some are facing millions of debts from evading tax payments.
The amnesty is for a month only, and has started on the first of May running through to the 31st.
© Radio and Television Tonga News