50% Reduction In The Rate For Products Of The Basic Food Basket

• Published date: 10 November 2021
• Subject Matter: Tax, Sales Taxes: VAT, GST
• Law Firm: PLMJ
• Author: PLMJ Tax Team

The Angolan Draft General State Budget for 2022 was approved at a meeting of the Council of Ministers on 28 October. Among other provisions, it introduces a change to Value Added Tax (VAT) that is intended to boost the purchasing power of families in relation to essential consumer goods, and to increase their production factors. This will consequently mitigate the effects of the economic crisis aggravated by the Covid-19 pandemic.

This measure, which is temporary in nature, reduces the tax rate from 14% to 7% on the following products of the basic food...