VAT and Sales Tax in South Sudan

South Sudan imposes a Value Added Tax (VAT) at a standard rate of 18% on most goods and services. Exports are subject to a 0% rate. Businesses meeting the registration threshold must register and comply with VAT obligations.

VAT Rates

South Sudan's VAT system has the following rates:

• Standard Rate: 18% on most goods and services
• Zero Rate (0%): Exports of goods and services, certain international transactions
• Exempt Supplies: Basic foodstuffs, medical services, educational services, financial services

Registration Threshold

Businesses with an annual taxable turnover exceeding SSP 1,000,000 are required to register for VAT. Voluntary registration is permitted for businesses below the threshold.

Input VAT Recovery

Registered businesses can recover input VAT paid on business-related purchases and expenses, subject to certain conditions. Input VAT on exempt supplies is generally not recoverable.

Filing and Payment

• VAT Returns: Monthly or quarterly, depending on turnover
• Filing Deadline: 15th day of the following month (monthly filers)
• Payment: Due at the time of filing
• Refunds: Excess input VAT can be carried forward or refunded

Penalties

• Late registration: penalty per month of delay
• Late filing: 10% of VAT due, plus 2% per month
• Late payment: 1.5% per month
• False declarations: substantial penalties

Compliance Considerations

South Sudan's VAT system is relatively new and enforcement capacity is developing. Businesses should maintain proper tax invoices and records to support input VAT claims and comply with audit requirements.