Angolan General Tax Administration performs e-notifications to taxpayers

Angolan General Tax Administration performs e-notifications to taxpayers

By MC&A’s Legal Team in collaboration with GTU

The Angolan General Tax Administration (“AGT”) issued, on September 16^th 2020, a communicate according to which, from October 1^st  2020 onwards, any notification to taxpayers regarding tax acts will be performed through the taxpayer online platform, available on AGT’s website, executing the Presidential Decree no. 232/19, which approved the Legal Regime of Tax Proceedings’ Electronic Communications.

This legal regime is compulsory for the below listed taxpayers:

• Taxpayers registered as major taxpayers;
• Taxpayers that have annual turnovers exceeding AOA 50,000,000.00– as per prior year corporate income tax return;
• Tax representatives of non-resident entities;
• Company groups subject to the special legal regime of group taxation.

Non-listed taxpayers may voluntarily join the legal regime by submitting a tax framework change return with AGT, providing valid and reliable email address and phone number.

The taxpayer platform will be, for the those who have (compulsory or voluntarily) joined it, the respective electronic tax domicile, becoming their tax residence.

Therefore, electronic communications and notifications have the same legal effects than those made by hard-copy letter to taxpayers’ registered office would have.

The introduction of this possibility in the Angolan tax framework is very important, benefitting both the taxpayers and the AGT. In fact, the benefits of using an electronic system for tax matters have been repeatedly pointed out by the World Bank over the past few years.

E-notifications may bring numerous advantages for the Tax Authorities as well as for the taxpayers, being an important tool for the reduction of time used and of operational costs (e.g. such as the costs of processing, storing, and handling tax documents, cost of paper filling), and playing a crucial role in ensuring transparency.

This article was prepared by Duarte Marques da Cruz, Partner of MC&A International Law Firm in collaboration with GTU. MC&A is a member of GTU Alliance. For further details and information please contact dmc@legalmca.com or contact@globaltaxupdate.com.