Pitfalls For Expat Employment

The Namibian skills shortage and strong growth in specialist industries in our economy require skilled expatriates to work in Namibia. These are some of the common issues that Namibian expats and their employers will have to deal with.

1. Determining taxability in Namibia

• Namibia's tax system is based on the source principle and not residency.
• All non-resident individuals, should submit tax returns in respect of Namibian source income.
• An expatriate may be exempted from paying taxes in Namibia where a Double Tax Agreement was concluded between Namibia and the individual's home country.
• Careful consideration should be given to the tax implications in both the home country and Namibia.