NL-Africa Tax Desk newsletter – January 2022

Dear reader,

The aim of this newsletter is to give you an easy-to-read overview of the latest tax updates in Africa.

This month’s newsletter includes an update on various tax bills being signed into law in Nigeria introducing, among others, a 10% rate for capital gains tax on gains from disposal of shares in Nigerian companies and new provisions covering the taxation of non-resident companies with significant economic presence in Nigeria based on a percentage of turnover attributable to their Nigerian operations (i.e., deemed profit basis). Next to that, this newsletter includes the latest on the future of the R&D tax incentive in South Africa.

If you would like to know more about the matters addressed in this newsletter or have any feedback, feel free to contact Sebastiaan Paling (Head of the NL-Africa Tax Desk).

Best regards,
NL-Africa Tax Desk team
Meijburg & Co

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Table of contents

Africa

• Transfer pricing documentation summaries by jurisdiction

• Taxation of the digitalized economy - update of summary of global developments

• Electronic invoicing (e-invoicing) and digital reporting global updates

• New OECD hub to boost transparency on the tax treatment of foreign aid

Botswana

• Tax amnesty extended through 30 June 2022

Mauritius

• Employer contributions to retirement fund required for January 2022

• Updated guidance on interest income and dividends subject to partial exemption

• Removal from EU list of “high-risk third countries”

Netherlands

• Dutch Ministry of Finance publishes list of designated developing countries for Unilateral Decree on the Avoidance of Double Taxation for tax year 2021 (in Dutch)

Nigeria

• Finance Bill, 2021 and Appropriation Bill, 2022; tax measures are enacted

• Reminder for employers filing PAYE tax returns, 31 January deadline

• Review of tax measures in Finance Act, 2021

• Tax treatment of interest income, proceeds from disposals of bonds and securities

• Technology and tax Administration by SBIRS in Nigeria: a wake-up call

• Total tax contribution reports for 2021 financial statements

South Africa

• Future of R&D tax incentive is being evaluated, discussion paper

• More time to provide comments regarding R&D tax incentive

• Updated tax invoice requirements for VAT-registered electronic services suppliers

Tunisia

• Tunisia commits to start automatic exchange of information by 2024