Lesotho -Tax Changes

Lesotho published the Amendment of Monetary Amounts in Government Gazette No.56 (Legal Notice No. 84) on 3 October 2019. This contains the changes to the calculation of Employee’s Tax under the PAYE system effective from 1 October 2019.

 

This tax file has already been deployed prior to this release, however, we are mentioning this change here so that it is documented.

 

The Statutory Tax Rates which are applicable from 1 October 2019 are:

 

Taxable Income	Fixed Amount	Percentage
0.00  –  M 61 080.00	0.00	20% of the Amount up to M 61 080.00
M61 080.01  –  and over	12 216.00	30% of the Amount over M 61 080.00
Tax Credit: M 9 600.00

 

Tax would only have been recalculated to the beginning of the processing period in which the company was when the file was deployed.

 

You can view the Statutory Rates of Tax by clicking on the TXB button on any Employee’s Tax Screen or the Tax Rates button on the Basic Company Information Screen.