JANUARY 2021 – NON-SA COUNTRIES
RECENT LEGISLATION CHANGES: ESWATINI, KENYA, MOROCCO & ZAMBIA
It is important that employers note the following:
ESWATINI
National Provident Fund (NPF) contribution changes
An increase in the ceiling amount of wages for the purpose of the calculation of NPF contributions was published in Legal Notice No. 140 of 2020.
As of 1 January 2021 the ceiling amount on wages has increased from E 2,900 to E3,100 per month.
KENYA
Tax Bands 2021
The Tax Laws (Amendment) No. 2 Act of 2020 was published on 24 December 2020, confirming changes to the PAYE bands and the tax rate in respect of payments or withdrawals from pension.
PAYE rates effective 1 January 2021:
Personal relief remains unchanged.
Pension tax bands:
For withdrawals after the expiry of 15 years from the date of joining the fund:
For pension income withdrawn before expiry of 15 years of pensionable service the new individual tax bands and rates are applicable on any amount withdrawn in excess of tax-free amount.
MOROCCO
Social Solidarity Contributions
The new Social Solidarity Contribution requirements for the year 2021 were published on 18 December 2020 in Bulletin Officiel 3 joumada I 1442. Other reference documents are the Morocco Draft Finance Law 2021 and the Code Général Des Impôts 2021.
The requirements are as follows:
- 1.5% contribution for individuals with an annual income equal to or exceeding MAD 240,000.
- The income must be from a Moroccan source.
- An employer is obliged to withhold the contribution.
This contribution applies to income for the year 2021 and is not tax deductible.
ZAMBIA
Tax Rates 2021
Proposals made during the Zambia Budget Speech to introduce an increase in the annual tax exemption threshold for PAYE was published on the Zambia Revenue Authority (ZRA) website.
It should be noted that an official publication is not yet available to confirm the change in the tax rates. However, ZRA is making use of the new proposed tax rates in its PAYE calculation. Thus, we can assume that the new tax rates are indeed in effect.
This contribution applies to income for the year 2021 and is not tax deductible.
Contact our legislation team at info@crs.co.za if you require any additional information.
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