Algeria: Tax developments in response to COVID-19
General Information
This page offers an overview of tax developments being reported globally by KPMG member firms in response to the Novel Coronavirus (COVID-19).
The content will be updated regularly. However, due to the fast-moving pace of change, it may not always reflect the most current developments in a given jurisdiction. Please refer to the date of accuracy and refer to the relevant links, under additional information, for original source information.
Date accurate as of: 12 August 2020
In framework of the implementation of the tax relief measures adopted by the public authorities to support companies financially impacted by the health crisis that the country is going through, it is brought to the attention of taxpayers that the tax authorities have adopted the following measures:
Postponement of tax returns:
Monthly Tax Return series G n°50: (Taxpayers under the common regime and liberal professions)
- Extension of the subscription period for Monthly Declaration G n°50 of both February and March months and payment of related duties and taxes, to May 20, 2020.
- As a result, taxpayers will be required to subscribe the three declarations (February-March-April) till the date above-mentioned and to pay the related duties.
- Taxpayers registered before the Direction of Big Enterprise (“DGE") will continue to declare and pay the due taxes online.
Quarterly declaration series G n°50 ter: (Taxpayers under the IFU - declaration and payment of the tax return on salaries (‘IRG/salaries’) for the first quarter of 2020)
The return declaration and payment dates with regard to salaries tax for the months of January, February, and March 2020 are postponed to 20 May 2020. Similarly, the due date for the declaration with regard to “professions libérales” for the months of February, March, and April 2020 is postponed to 20 May 2020. For other taxpayers, the deadline for the annual declaration of results is postponed to 30 June 2020.
Annual Statement of Incomes: (Common regime)
- The filing deadline of the annual statement of income (balance sheet and appendix) is extended to 30 June 2020.
- For companies registered before the DGE, the filing deadline for the annual statement of incomes is extended to 31 May 2020.
- Moreover, for reminding the deadline for settling the IBS balance amount is twenty (20) days, starting from the date of subscription of the annual declaration.
Annual Statement of Incomes series G n° 1: (Sole proprietorships)
The subscription deadline of the annual statement of incomes is extended to 30th June 2020.
Extension of payment deadline for the first instalment on IRG/IBS:
The deadline for payment of the 1st IRG/IBS instalment is extended until 20th June 2020.
Repayment schedules :
- Taxpayers that find themselves in a difficult financial situation may request a repayment schedule for their tax debts.
- Taxpayers that have previously benefited from a repayment schedule can request an adjustment of their schedule in case of cash flow difficulties.
Suspension of the taxation of non-affected benefits :
- The taxation of profits non allocated of the financial years 2016 and following, as provided by the provisions of Article 15 of the Finance Law for 2020, is suspended.
At the end of July, the General Taxation Department published on its website a press release on new tax measures to support businesses. As part of the tax-related measures adopted by the public authorities in support of economic operators that are financially impacted by the current health crisis, fines, increases and penalties charged for late filing of declarations and payment of related duties, taxes and fees were cancelled. This measure concerns:
- The monthly declarations relating to the months of February 2020 and following;
- The declarations relating to the 1st and 2nd quarter of the same year;
- The annual declarations of results or income for fiscal year 2019.
It is also envisaged that late payment penalties related to tax rolls for which the date of collection occurred after March 22, 2020 will be cancelled.
The press release specifies that in order to benefit from this measure, the taxpayers concerned are invited to submit a request for an ex gratia remission to be addressed to the relevant tax department, specifying the penalties that are the subject of the request.
Finally, the press release indicates that taxpayers in financial difficulties may request from the competent tax collector the granting of a payment schedule for the payment of the taxes due, according to their financial capacities.
