According to a note from the General and Tax Administration (AGT), cited by Angop, the new affective code is only in force during the month of September.
All income related to work done in August must be taxed under the terms of the law currently in force - law number 18/14, of 22 October - as amended by law number 9/19, of 24 April, the note states, explaining that, according to Article 8 of the new code, "in the situation where the taxable event is of successive formation, as is specifically the basic monthly income, the new law is only applicable to the period after its entry into force".
The new code, which has already been published in the Official Gazette, determines a new income table consisting of 13 tiers.
According to this table, the rates of the brackets will now vary between 10 and 25 per cent.
The new code establishes an increase in the tax burden for employees with salaries above 200 thousand kwanzas. Employees with salaries of up to 70 thousand kwanzas are exempt from paying tax - previously only people with income of 35 thousand kwanzas were exempt from paying tax.
In addition, this new table also establishes the existence of three tax groups. Group A concerns all wages paid by companies to employees; Group B concerns all wages paid to self-employed persons and to holders of management positions or corporate bodies and Group C includes income from industrial and commercial activities.
The military and the police, who until then were exempt, now pay taxes. For diplomatic officials - whenever there is reciprocity of treatment - and people working for NGOs - when there is prior written recognition from the National Tax Director - they are exempt from paying IRT.
Also war disabled people, with a disability of 50 per cent or more, proven with valid documentation and national citizens over 60 do not pay IRT.
