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Mozambique tax debt relief: State recovers only 10% so far

The Mozambican Tax Authority (ATM) has revealed to @Verdade that, between March 2019 and last January, only 2.2 billion meticais of the 22.4 billion expected with the introduction of the Exceptional Tax Debt Regime Act were recovered by the State.

Approved in April of last year by the Assembly of the Republic, this legal provision was created by the government to try to deal with the accumulation of taxpayers’ debts that, adding fines, late payment interest and other legal additions, amounted to 46 billion meticais.

The objective was that, in 12 months, the treasury would try to recover 22.4 billion meticais, forgiving 23.6 billion in fines, interest, costs of executive proceedings and other legal additions resulting from national and local taxes or non-compliance with ancillary obligations, whose debt has been incurred during the period ending 31 December, 2018.

In response to @Verdade’s questions, the Tax Authority revealed that: “201 taxpayers applied for this initiative, under which 2,181,787.4 thousand meticais was recovered, and debts of 929,234.47 thousand meticais forgiven.”

Source: @Verdade via Club of Mozambique

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