{{item.videoDuration}}
{{item.title}}
{{item.videoDuration}}
Providing you with informed commentary on current developments in the local tax and business arena.
Tax First Newsletter
Our monthly analysis and comments on new law and administrative changes assist business executives to identify developments and trends in law and NamRA that might impact their business.
NamRA Confirms Abolishment of EPZ and Manufacturing Tax Incentives
The Namibia Revenue Agency (NamRA) issued a notice on 3 February 2026 confirming that the tax incentives previously available to Export Processing Zone (EPZ) entities and registered manufacturers have been abolished with effect from 1 January 2026.
NamRA’s recent notice does not introduce any new legislative amendments, but serves as a reminder that these incentives are no longer in force. The benefits applicable to EPZ entities and manufacturers were formally repealed through Government Gazette No. 7249, dated 22 June 2020, with the abolishment taking effect from 31 December 2020 as published in Government Gazette No. 7431.
1. EPZ Incentives Repealed
Entities previously operating under EPZ status will now fall fully under Namibia’s standard tax regime and will be liable for the following taxes and duties:
- Income Tax
- Value Added Tax (VAT)
- Import VAT
- Withholding Taxes
- Transfer Duty
- Stamp Duties
- Customs duties on imports from non SACU countries
- Export levies under the Export Levy Act, 2016
- Excise duties (where applicable)
EPZ entities are required to ensure timely filing, accurate tax declarations, and payment of all applicable taxes.
2. Withdrawal of Manufacturing Incentives
Approved manufacturers who previously benefitted from the incentive provisions under Sections 17A–17D of the Income Tax Act, including the preferential corporate tax rate of 18%, will:
- No longer qualify for these incentives, and
- Be subject to the standard corporate income tax rate of 30%.
- With the exception of Section 17C of the Income Tax Act, all manufacturing incentives were fully phased out by the end of the 2025 tax year. As a result, manufacturers operating in FY 2026 will not be eligible to claim any allowances under the former Sections 17A, 17B, or 17D.
- Notably, the wording of the amendment to Section 17C differs from the other sections, as it does not explicitly reference a “tax year.” This raises the question of whether taxpayers may still claim the applicable allowance on a pro‑rata basis during FY 2026.
- Further guidance from the authorities may be required to clarify this point.
- Additionally, Paragraph 3(2) of Schedule 4 of the Income Tax Act, which prescribes the reduced corporate tax rate for registered manufacturers, has not yet been repealed.
- We anticipate that this provision will be removed through a future legislative amendment.
Recommended next steps for affected entities:
- Review your entity’s tax status and ensure appropriate registration across all relevant tax types.
- Assess and strengthen your compliance processes and systems in preparation for increased filing and payment obligations.
Our team is available to assist you in navigating these changes and ensuring full compliance with the updated legislative requirements.
Please reach out should you require assistance.
February edition
Financial Year – End Changes
Don’t let Tax Keep you up at night
Changing financial year ends may seem simple, but the associated tax implications can be more complex than expected.
Download the pdf below to view our quick masterclass on what you need to know.
{{filterContent.facetedTitle}}
{{contentList.dataService.numberHits}} {{contentList.dataService.numberHits == 1 ? 'result' : 'results'}}
{{contentList.loadingText}}
{{contentList.loadingText}}
Previous broadcast editions
7:41
Tax First Broadcast | December 2024
3:50
Tax First Broadcast | April 2024
3:46
Tax First Broadcast | October 2024
2:09
Tax First Broadcast | February 2024
3:11
Tax First Broadcast | August 2023
6:02
Tax First Broadcast | June 2024
3:47
Tax First Broadcast | October 2023
Contact us
Follow us
