Tax on my pension

SAMUEL NAMBILI WRITES:

I am an ex-soldier who joined the Namibian Defence Force (NDF) in 2003 and quit the force in 2017.

But, the Inland Revenue Department in the Ministry of Finance refused to tax my lump sum benefit which is 18% taxable. The worst part is they are asking me to submit income revenue for 2018 and 2019.

I left the force in 2017 and am no longer a member of the service. All tax dealing and filing was done promptly by the Ministry of Defence in conjunction with Inland Revenue and Finance.

1) I am writing this with serious, grave concern about the so-called "Tax Directive" in the Ministry of Finance, which is already a nuisance policy which from our observations contributed to some business's closure and liquidation. Imagine rejecting to tax a government employee's benefit who paid tax automatically and got a clean record. If it was a company or self-employed individual who tried to evade tax and/or were non-compliant that is quite understandable.

2) The lack of cohesive, good consultations and innovations in the Ministry of Finance has contributed to the country's bankruptcy. The methodologies/strategies of collecting state taxes especially on foreign entities, private businesses and individuals were depolarized, yet hefty policies with their financial burdens are imposed on domestic business startups and citizens.

3) Soldiers are always on the move fulfilling the state's duties through being deployed in foreign missions and conducting military training away from their respective duty stations where they could possibly fill those income revenue forms. Whenever they return it is beyond the deadline. These kinds of circumstances are common in all armed forces, however, there is an arrangement for this matter in the Ministry and Inland Revenue is aware of that. I left Namibia in 2014 on Special Study Leave.

4) The total benefits of soldiers are peanut and therefore they shouldn't suffer because of this kind of institutional bullying. It's intolerable to sit on my benefits for almost four years, and again Inland Revenue is refusing to tax my lump sum so that I get my benefits? We are made to suffer, struggling to get our entitled benefits as per the Namibian Public Service Act 13 of 1995 that guides the government management and efficiency in the Public Service, as well as the regulation of the employment, retirement, and discharge of staff members in the Public Service, and other incidental matters.

5) I don't want this matter to go far (social media or wherever) but if no solution is provided that may be my only and last resort to express the grievance. I served the government with a possible legal suit.

My fund already transferred my pension to Kuleni Preservation Fund and I am waiting for the 'Tax Directive' for a deduction.