VAT penalties can cripple your business :: Mmegi Online

The VAT Act Chapter 50:01 (the Act), empowers BURS to levy various penalties, mainly as way of enforcing compliance with the provisions of the Act. Before we analyse the most common VAT penalties, it is important to review how VAT returns are filed. Registered persons (persons registered with BURS for VAT purposes), charge tax when they supply goods or services to their clients (output tax).

They are also entitled to offset the tax they suffer when they acquire goods and services for their business (input tax), against the output tax. Where output tax exceeds input tax, the registered person should pay VAT to BURS. A refund is claimable from BURS where input tax exceeds output tax.

Registered persons are required to file VAT returns, based on the VAT category that is allocated to them at the time of registration.

Already have an active account? Log in here.

Or Sign up and get unlimited access to premium articles.

Explore

More

VAT penalties can cripple your business

BDP confirms Shamukuni's passing

BDP accuses UDC of "scapegoat politics" over gazette blunder

Top stars descend for BAA National Championships37

Fatal crash near Tewane leaves woman dead, nine injured

Youth unite against fare hike

Students demand answers amid broken promises

Students revolt against UDC go’vt

Phunya’s inspiration, artistry and laughter legacy

BPF should get house in order