Key VAT and Customs Changes in Malawi’s 2026-27 Budget: Digital Tax, Import Surcharges, Refunds

• VAT registration threshold doubled to MK50 million, easing compliance for SMEs and cross-border traders.
• VAT introduced on foreign digital services; VAT on sugar exports refundable upon proof of repatriated proceeds.
• Import surcharges imposed on goods produced locally to protect domestic industries; import duties removed on select essential goods.
• New export duty on scrap metal to combat infrastructure vandalism.
• Excise taxes introduced on certain soft drinks, luxury goods, and large hybrid vehicles; administrative and compliance measures strengthened.

Source: finance.gov.mw

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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