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Malawi VAT registration threshold and other changes

The east African state of Malawi has published its 2021/22 budget which includes a number of Value Added Tax changes. They are effective 1 July 2021. These include

  • The VAT registration threshold is to rise to MWK 25million (approx. €26,000 or $31,000) from MWK 10million
  • Nil-rating VAT rate will be extended to certain fuels and books
  • Tightening of the rules for banking services exemption
  • Shortening of the right to deduct input on purchase invoices from twelve months to six months
  • Withdrawal of import VAT on books and certain agricultural machinery

How VAT Advisor gives you instant answers to global VAT headaches

Need instant VAT / GST calculations, legal reference back-up and compliant invoices for complex cross-border transactions?
- Which is the right country to tax the transaction?
- How much VAT should be charged – based on the correct rate - and by whom?
- Does this change for ‘may’ provisions, triangulation, warehousing, withholding VAT and other country variations?
- Should you VAT register to declare and pay the VAT / GST?
- What local tax laws or regional VAT union rules back these conclusions?
- What should your sales or your supplier’s invoice include to avoid lost tax?
- Which VAT return boxes and filings should the transaction be reported in?
How our ready-to-go application, VAT Advisor, solves this:
Live answers based on basic details to the most complex international VAT transactions:
- Where and how much VAT to charge - transparent numbers to share
- Is the supplier or customer responsible, and do they have to VAT register
- Fully compliant VAT invoice to share within Advisor application to agree treatment, including QR Code to meet global requirements
- Details of VAT return box numbers to report the sale and/or purchase
- Domestic and EU VAT Directive legislative references to support with colleagues, customers, suppliers or tax authorities
Company-wide and individual logins, enabling standard transaction template-setting to help ensure consistent and clear application for recurring transactions. You can even forward invoices to customers / suppliers for them to review and approve with their own login.
Since VAT Advisor is part of our single-platform VAT calculation and reporting application, VAT Calc, you can click ‘COMMIT’, and the transaction will be included in your next VAT return without further effort or reconciliation
CONTACT US FOR FREE TRIAL, AND END YOUR VAT HEADACHES

 

 

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