Prez Sirleaf Extends Executive Order No. 75

first_imgPresident Ellen Johnson Sirleaf yesterday issued Executive Order No. 75 suspending certain sections of the Liberia Revenue Code of 2000 As Amended, to address the difficulties in the collection of government revenues occasioned by the gross under declaration of income tax by the taxpaying community.According to an Executive Mansion release, in the exercise of Executive Power vested in the President by the Constitution, the President extended Executive Order No. 69 in the public interest to meet emergencies and or correct particular situations, which cannot await lengthy legislative processes.Therefore, in its drive to continue sustaining revenue collection, the government has issued Executive Order No. 75, which suspends sections 904 (a) “Advance Payment Requirement” and 904 (b) “Quarterly Payment” of the Liberia Revenue Code of 2000 As Amended, relating to the payment of Advance Income Tax on the basis of 100 percent of income tax liability of the current tax period. Advance payments are to be made quarterly as determined under section 904 (a) (3).The new Executive Order also imposes an advance income tax of two percent of the gross turnover/receipt for persons that are required to file income tax return. This payment, the release said, shall be calculated on a quarterly basis and remitted into the General Revenue Account. The 2 percent advance income tax is creditable against the regular income tax (i.e. the 25 percent income tax) due in that year to the extent that the regular tax exceeds the 2 percent advance tax. Any excess payment of the advance income tax over the regular tax or total income tax liability for a given tax period shall be subject to Section 72 and Section 14 (b) of the Revenue Code.The government also declares that the income tax filer is authorized to deduct from the advance income tax for each quarter all income taxes withheld and paid on its behalf and remit the balance into the General Revenue Account. These should be clearly reflected on the return with the necessary evidential documents attached.Executive Order No. 75, signed by President Sirleaf on January 8, takes effect immediately.Share this:Click to share on Twitter (Opens in new window)Click to share on Facebook (Opens in new window)last_img