News Flash 3 May 2024 – MALAWI – Tax rates for the 2024-2025 tax year

Tax rates for the 2024/2025 tax year approved
Following the approval of the Appropriation Bill 2024 on 27 March 2024 by the Malawi House of Parliament, the House has also passed Bill No. 3 of 2024: Taxation (Amendment). The bill has, among others, amended the Taxation Act, thereby increasing the zero bracket for Pay As You Earn from K100,000 to K150,000. The bill also provides for allowable deductions for monetary donations into the Disaster Risk Management Trust Fund.

As confirmation of the tax changes, the Malawi Revenue Authority (MRA) published the new tax rates on its website on 29 April 2024.

Even though the Taxation Amendment Act has not yet been published, it is safe to proceed with the system modifications now that the revised rates have been posted on the MRA website.

Effective 1 April 2024, the new PAYE rates are as follows:

To view the new rates on the MRA website, follow the link.