Tax Day is now August 31, 2020

Tax Day is now August 31, 2020

Ministry of Finance, General Tax Commission extends 2019 Financial Statement filing deadline regardless of amount owed

The General Tax Commission announced that the new date to file 2019 financial statements is August 31st, 2019, instead of May 31st, 2020.  The decision is consistent with the government’s action under the partial shutdown due to the (COVID-19) pandemic. However, there is no decision yet to waive penalties and interest that are due as a result of late payments of Personal Income Tax and Social Security Monthly contributions since the start of the Pandemic. All businesses are expected to make their tax payments in addition to fines and penalties despite partial government closures when payments were due in the last two months. 

This year the tax authorities will inspect the commercial books for the entity as a condition to accept the financial statement.  If the commercial books are not in compliance, the financial statements might be rejected in addition to imposing penalties on the taxpayer.

Lastly, do not forget to take advantage of the Government of Iraq Corporate Income Tax Penalties Waiver ; it expires on August 31st, 2020.

For further information and assistance, please contact us at iraqlegalupdates@bhc.iq