Individual taxation will apply to all transfers abroad in foreign currency, except those for health and education expenses, which are excluded from this regime.
Economist Marlino Sambongue said that the Special Contribution on Foreign Exchange Operations (CEOC), applicable to transfers in foreign currency abroad, is a measure that aims to reduce the outflow of foreign currency abroad and increase tax revenue. Marlino Sambongue highlighted that it is also a good measure to increase tax revenue, as the Executive wants to direct the additional revenue towards increasing national production and diversifying exports.
The reason is justified, in his understanding, by the fact that transfers abroad to individuals are not very sensitive to the contribution, as there is a need to carry out transfers for family reasons, such as health, education, income and between others.
While for legal entities, due to the fact that Angola is still an economy that heavily imports services, two effects may occur, such as adjustments to existing contracts to compensate for the value of the contribution to the value of the contract and in other cases there may be a reduction in transfers, as long as there is the possibility of hiring internally.
For families, in the short and medium term, he stressed, it is a tough but necessary measure, as it takes away their purchasing power. For companies, in the short term, it generates imbalances that will be taken care of in the medium term through contractual review.
Currency increase.
Economist Eduardo Manuel has the same understanding, adding that this measure will increase revenues for the execution of some investments that are already underway and also for others that the executive has foreseen in the 2024 OGE.
BY: Francisca Parente
