Filing of Tax Returns

Partnerships file a partnership return; companies file a corporation tax or petroleum profits tax return.  Filing dates are 30th April in each year. Returns are filed with the Board of Inland Revenue at any of its offices.  Taxes assessed must be paid within 30 days of receipt of the notice of assessment.  Quarterly instalments of advance income and corporation taxes are also payable.

Calculation of Income

As partnerships are not legal entities, they are not assessed to tax. The profit of the partnership is ascertained from the return filed. The basis of company taxation is all profits and gains arising from a number of sources, for example, rents, trade or business, management charges, interest. (see Taxable Sources for Corporation Tax , page 5).  The net income of the partnership is allocated in accordance with the shares held by each partner in the partnership.