Income tax on rent, worked example, in Namibia
Taxation Researcher | May 25, 2022
|Non-resident couple´s joint income1|
|Monthly Rental Income2||1,500||6,000||12,000|
|Annual Rental Income||18,000||72,000||144,000|
|= Taxable Income||5,583||21,171||39,443|
|Income Tax 4|
|Up to NAD50,000||0%||-||-||-|
|NAD50,000 - NAD100,000||18%||-||1,286||1,286|
|NAD100,000 - NAD300,000||25%||-||3,507||8,075|
|NAD300,000 - NAD 500,000||28%||-||-||-|
|NAD500,000 - NAD 800,000||30%||-||-||-|
|NAD800,000 - NAD 1,500,000||32%||-||-||-|
|Over NAD 1,500,000||37%||-||-||-|
|Annual Income Tax Due||-||4,793||9,361|
|Tax Due as % of Gross Income||0.00%||6.66%||6.50%|
Global Property Guide research
1 The property is jointly owned by husband and wife, bt then taxed separately (50% upon each partner).
2 Exchange rate used: 1.00 US$ = 14.00 NAD
3 The 15% Value Added Tax (VAT) on leasing property is included in the gross rental income.
4 Estimated values. Income-generating expenses are deductible when calculating taxable income.
5 Estimated values. Depreciation of new buildings is computed at 4% annually over a period of 20 years.