Rules for issuance of good standing tax certificates announced

The Namibia Revenue Agency (NamRa) has announced that the current procedures regarding the issuance of the tax certificate of good standing will remain in place until 31 March 2025.

“Following the revision of the guidelines for acquiring a tax certificate of good standing early last year, the new guidelines were initially set to become effective on 1 June 2024,” acting executive spokesperson at NamRa, Victor Musiwa, said.

According to Musiwa, at the time of applying for the first certificate of good standing, a taxpayer is required to pay an amount equal to 10% of the outstanding capital balance.

The payment plan shall be registered on the Integrated Tax Administration System (ITAS) with instalments spread across 12 consecutive months, Musiwa explained.

Regarding requests for an additional certificate of good standing, a taxpayer must demonstrate that they have honoured the instalment either through consecutive monthly payments or by paying an amount larger than the agreed monthly instalment.

A taxpayer who secures a procurement contract shall be required to promptly settle all outstanding capital amounts.

Any taxpayer who fails to honour the payment arrangement shall only be issued a Certificate of Good Standing upon payment of an amount equal to 20% of the capital balance.

“These measures are designed to enhance administrative simplicity and promote general compliance,” Musiwa said.