1. The taxpayer shall apply to the Commissioner for re-activation of value-added tax obligation through their respective Tax Service Office, clearly stating the reasons for re-activation of their VAT obligation, which may include that the taxpayer: –
a) Is requires a VAT obligation in order to conduct business and compete in the market;
b) Would like to benefit from the Voluntary Tax Disclosure Program
c) Is a provider whose purchasers/customers desire to claim input taxes related to particular transactions but have been inconvenienced by the de-activation of the supplier’s VAT duty?
2. The taxpayer must state when they began business and charging VAT, as well as any supporting evidence or information.
3 Perennial nil filers who want to be reactivated must show the Commissioner that they have been filing nil VAT returns for a long time and have a valid reason for doing so.
4. Once re-activated, the taxpayer must file all outstanding VAT returns or amend previously filed nil returns to reflect their correct tax position. The taxpayer will also be required to pay the outstanding VAT liability or enter into a payment plan with the appropriate Tax Service Office.
5. Once the obligation of the affected taxpayer/VAT supplier has been reactivated and the aforementioned conditions have been completed, the said supplier’s respective purchasers/customers will be able to claim their input tax in accordance with the VAT Act, 2013.
6. To avoid future deregistration/cancellation or other punitive enforcement measures under the tax statutes, the taxpayer must:
i. ensure that all future returns are submitted and payments are made on time;
ii. retain adequate tax records; iii. comply with all other revenue law responsibilities.
