If you work for yourself and you are responsible for setting the charges for the goods or services you provide, you can be categorized as a ‘self-employed person’. Examples of “self-employed” include the following:
- Professionals in private practice viz. Doctors, Lawyers, Accountants, Engineers, etc.
- Minibus/Taxi Owners
- Real Estate Agents
- Vendors/Shop/Stall Owners
Self-Employed persons earning an income in excess of $780,000 annually, or $65,000 per month, for the year 2019 must submit an Income Tax Return and pay outstanding taxes by April 30, in each year the taxes are being assessed. Further, if you are earning an income below the annual threshold of $780,000, you are still required to file an Income Tax Return, along with your Income and Expenditure Statement. As such, you are also required to pay Income Tax (Advanced Taxes) on a quarterly basis. The Taxes paid each quarter are based on the previous year’s income as reported in your Income Tax Return.
NOTE: To successfully apply the correct calculations, your total taxes for the previous year should be divided by four, which will give you your Quarterly Instalments for the current year. If this is your first year of business, it is calculated based on your anticipated income for the current year.
Advance Taxes are due on or before the following dates:
- April 1
- July 1
- October 1
- December 31
For assistance with your Income Tax calculations, use our Income Tax Calculator