Value-Added Tax (VAT) in Namibia is levied at a standard rate of 15% on most goods and services. Businesses whose taxable supplies exceed the registration threshold must register with the Namibia Revenue Agency (NamRA), charge VAT on their sales, and file regular VAT returns. This guide covers who must register, how to do it, and what changes afterwards.
The registration threshold: N$1,000,000
A business must register for VAT if its taxable supplies (standard-rated plus zero-rated sales) exceed N$1,000,000 in any 12-month period. The threshold was doubled from N$500,000 to N$1,000,000 as part of Namibia's 2024 tax amendments, exempting many small businesses from mandatory registration.
Businesses below the threshold may apply for voluntary registration, which can be worthwhile if your customers are VAT-registered businesses or your inputs carry significant VAT — voluntary registration is subject to NamRA approval.
Standard-rated, zero-rated and exempt supplies
The distinction matters: zero-rated supplies count toward the registration threshold and preserve input VAT claims; exempt supplies do not.
- Standard-rated (15%): most goods and services sold in Namibia
- Zero-rated (0%): exports, and certain basic foodstuffs and essentials — you charge 0% but can still claim input VAT
- Exempt: certain financial services, residential rentals, medical and education services — no VAT charged, and no input VAT claimable on related costs
How to register with NamRA
- Ensure the business is registered on NamRA's ITAS portal (Integrated Tax Administration System) with an income tax number
- Complete the VAT registration application on ITAS or at a NamRA office
- Provide supporting documents: company registration documents, proof of banking details, financial records or projections demonstrating that you meet the threshold
- Once approved, NamRA issues a VAT registration number that must appear on all your tax invoices
What changes once you are registered
- You must charge 15% VAT on standard-rated sales and issue compliant tax invoices
- You can claim input VAT on business purchases from VAT-registered suppliers
- You must file VAT returns for every two-month tax period and pay the net VAT due
- You must keep records (invoices, import documents, credit notes) for at least five years
Frequently asked questions
What is the VAT registration threshold in Namibia?
N$1,000,000 of taxable supplies in any 12-month period, increased from N$500,000 in 2024. Above the threshold, registration with NamRA is mandatory.
What is the VAT rate in Namibia?
The standard rate is 15%. Exports and certain essential goods are zero-rated, and some services (such as financial services and residential rent) are exempt.
Can I register for VAT voluntarily below the threshold?
Yes, businesses below N$1,000,000 may apply for voluntary registration, subject to NamRA approval. It is often worthwhile when your customers are VAT-registered or your input VAT is significant.
Do zero-rated sales count toward the threshold?
Yes. Taxable supplies include both standard-rated and zero-rated sales, so exporters can exceed the threshold even if most sales carry 0% VAT.
This guide is general information, not tax or legal advice. Rates and rules change — confirm current figures with NamRA, the Social Security Commission or your practitioner before filing.
GamaERP handles VAT at line level on every invoice and purchase, and generates your VAT return directly from live data.
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