Small business tax involves everyone: IRC


THE small business tax regime is one policy where everyone can participate in paying taxes, according to the Internal Revenue Commission (IRC).
IRC commissioner-general Sam Koim said it included those in the informal sector such as betel nut vendors.
“Or whether you are in alluvial gold or whatever little trade you are doing, you are still accessing government services,” he said.
“If you register a business, you will be subjected to 24 filing obligations.
“You will have to file, every month, 24 applications.
“That is a lot and then the forms are really complicated.
“With the small business tax regime, for anyone with a turnover of K60,000 and below, they will only file once.
“I think they will file K400 in a year.
“All they need to do is pay one-off tax and then file documents, a simple cash basis record.”
The IRC also plans to introduce the cash transaction threshold aimed to curtail the amount of cash circulating, “people using substantial amount of cash to do transactions”.