Miscellaneous
Change of Address
| Case | Required Documents | Declaration Deadline | Penalty in Case of Non-Declaration |
|---|---|---|---|
| Transfer of the Commercial Register to another governorate / change of the institution or company name / change of the trade name of the institution or company. |
|
Within two months from the date on which the event occurred. |
Assessment penalty:
In addition, a late payment penalty of 1% of the assessment penalty is applied for each month of delay, with any fraction of a month considered a full month. |
| Increase of company capital. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty:
In addition, a late payment penalty of 1% of the assessment penalty is applied for each month of delay, with any fraction of a month considered a full month. |
| Change of the main place of business of an individual taxpayer. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty:
In addition, a late payment penalty of 1% of the assessment penalty is applied for each month of delay, with any fraction of a month considered a full month. |
| Change of the main office of the institution or company, or one of its branches. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty:
In addition, a late payment penalty of 1% of the assessment penalty is applied for each month of delay, with any fraction of a month considered a full month. |
| Change in the taxpayer’s activity. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty:
In addition, a late payment penalty of 1% of the assessment penalty is applied for each month of delay, with any fraction of a month considered a full month. |
| Change in the capital distribution of a limited liability company. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty of 5% of the tax due for each month of delay, with any fraction of a month considered a full month, provided that the penalty is not less than:
In addition, a late payment penalty of 1% applies to capital distribution changes in partnerships, and 1.5% applies to capital distribution changes in limited liability companies, calculated monthly on the tax due and added to the assessment penalty for each month of delay, with any fraction of a month considered a full month. |
| Change in the capital distribution of partnerships, general partnership / simple limited partnership. |
|
Two months from the day following the occurrence of the event. |
Assessment penalty of 5% of the tax due for each month of delay, with any fraction of a month considered a full month, provided that the penalty is not less than:
In addition, a late payment penalty of 1% applies to changes in capital distribution in partnerships, and 1.5% applies to changes in capital distribution in limited liability companies, calculated monthly on the tax due and added to the assessment penalty for each month of delay, with any fraction of a month considered a full month. |
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Tax Inquiry
Any natural or legal person who intends, by law, custom, or the nature of the matter, to directly carry out an act or transaction may submit a written inquiry to the tax administration before undertaking the relevant act or executing the transaction, in order to confirm the tax treatment applicable to all taxes and fees falling within the competence of the Directorate General of Finance.
The inquiry request provided for in Article 26 of the Tax Procedures Law must meet the following conditions:
- It must be submitted before the completion of the event subject to inquiry and must concern actual, not hypothetical, matters.
- It must be submitted by the interested party or by a person legally representing them.
- It must relate to a specific legal issue.
- It must include all elements and documents necessary for the tax administration to take the appropriate decision regarding the tax treatment.
The inquiry request must contain the following information:
- The name of the applicant, address, and chosen place of residence.
- The tax number, if any.
- A clear description of the subject of the inquiry, the type of transaction, the related legal points, the intended execution date, and the method of documentation.
- Identification of the parties involved in the transaction or event and their relationship to each other, together with all supporting documents and legal power of attorney, if any.
A fee is imposed on each inquiry request. Its conditions and amount are determined by decree issued upon the proposal of the Minister of Finance.
The inquiry request is not accepted unless it is accompanied by a receipt proving payment of the required fee.
During the review of the request, the tax administration may request in writing from the interested party additional information or documents relating to the subject of the inquiry. The applicant must provide such information and documents within ten days from the date of request; otherwise, the administration answers based on the documents submitted and under the applicant’s responsibility.
The tax administration must decide on the request and answer the interested party in writing within a maximum period of two months from the date of submission of the information and documents relating to the request.
The tax administration is bound by its answer if the applicant implements the transaction according to the answer, provided that the facts submitted by the interested party are clear and correct.
If, during review and audit, the tax administration finds that its answer was not applied when executing the transaction subject to inquiry, the taxpayer remains subject to the applicable legal provisions and penalties.
The taxpayer may object to these results according to the objection procedures set out in Chapter 12 of the Tax Procedures Law.
Answers issued by the Ministry of Finance do not apply, and the tax administration is not bound by them, when subsequent legal changes affect the legal basis on which the answer was issued.
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Unified Tax Identification Number
The tax administration assigns the taxpayer, upon registration, one unified tax number for all types of taxes, including customs and property duties.
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The tax administration assigns one personal tax identification number (TIN):
- To every natural person who submits an application, carries out an individual activity, is a partner in a partnership, or owns shares or interests in a capital company.
- To every employee performing paid work. The registration obligation falls on the employer if resident, and on the employee when the employer is non-resident.
- The tax administration assigns a personal tax identification number (TIN) to any entity, institution, company, or person treated separately for tax purposes.
- Every company, profession owner, or institution must use its TIN when dealing with third parties in this capacity. Every natural person must also show their personal TIN when dealing with official departments.
Public administrations and the Directorate General of Finance must provide lists including the names of their civil servants, employees and contractors, and must report all newly hired employees or transfers to other public administrations within one week from the date of commencement of work.
These lists must include:
- Full name, first name, father’s name, family name, mother’s name.
- Date and place of birth, registry number, place of registry, identity card number.
- Date of commencement of work.
- Date of transfer.
- Personal address.
- Personal telephone number.
- Employee status.
Public and private institutions, municipalities, unions of municipalities, bodies, associations, and all natural and legal persons must notify the tax administration of the names of all their employees according to the form prepared by the Ministry of Finance, within two months from the date of hiring each new employee.
Upon receiving this information, the tax administration assigns each person a personal tax number, and sends to the relevant administrations and institutions lists of employees containing their personal tax numbers.
All public and private institutions, municipalities, unions of municipalities, bodies, associations, and all natural and legal persons must include their Ministry of Finance account number on all documents issued by them, and must use the registry numbers assigned by the Ministry of Finance to their employees and contractors in all related documents.
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Payment of Tax in Case of Absence or Incapacity
Decision No. 453/1 dated 22/4/2009.
The person representing an incapacitated or absent person must notify the competent tax unit with which the taxpayer is registered, or within whose jurisdiction the taxpayer resides or conducts activity, of the death or change in status within two months from the date of occurrence. A declaration of the tax due for the period extending from the end of the previous tax period declared until the date of the event must be submitted and the tax must be paid.
An incapacitated person is considered to be any person in respect of whom a judgment has been issued appointing a representative or declaring the loss of capacity.
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Tax Installment Payment
Decision No. 453/1 dated 22/4/2009.
Subject to the provisions relating to the payment of inheritance tax under Legislative Decree No. 146/59, the taxpayer may submit to the tax administration a request to pay additional tax by installments, whatever its type, excluding withholding taxes, value added tax, and indirect taxes, provided that the amount requested to be paid by installments exceeds LBP 1,000,000 for individuals and LBP 3,000,000 for companies.
Subject to the authority of the Director General of Finance to issue a decision specifying the conditions required for approving tax installment requests, the processing procedures are as follows:
- The taxpayer submits a written request for tax installment payment to the competent collection office or to the taxpayer service offices in the districts, using a form prepared by the Ministry of Finance. The request must state the taxpayer’s name, tax number, full address, total amount requested to be paid by installments, and type of tax.
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The installment request must be accompanied by:
- An undertaking by the interested party, according to a form prepared by the Ministry of Finance, to follow up with the competent collection office to receive the administration’s decision within the legal deadline.
- A copy of the legal power of attorney, if submitted.
- A copy of the tax notice.
- Documents proving the value of movable or immovable assets, provided that their value is at least twice the amount of tax requested to be paid by installments.
- A copy of the commercial certificate or Commercial Register for companies, if any.
- The competent collection office organizes the installment request with the documents mentioned above, records it in the information system for installment requests, and assigns it a number for this purpose.
- The interested party is informed, upon submitting the request, by a written notice issued by the competent collection office, showing the receipt number and date, and the scheduled date for personal follow-up to receive the administration’s decision.
- The competent collection office reviews the request and verifies that the conditions for installment approval are met.
- The head of the tax administration submits the request to the Director General of Finance together with a proposal for approval or rejection.
- The Director General of Finance decides on the request after obtaining the opinion of the competent collection committee.
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After receiving the decision approving or rejecting the installment request, the competent collection office proceeds as follows:
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In case of rejection:
- Notify the taxpayer personally of the rejection decision and its reasons.
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In case of approval:
- Notify the taxpayer personally of the approval decision immediately upon receipt.
- Prepare the installment schedule, including the first installment, duration, installment rate and value, provided that the installment period does not exceed three years, within two working days from notification of the approval decision.
- Enter the required information into the tax unit records according to the approved data and requests.
- Issue an installment statement according to a form prepared by the Ministry of Finance, signed by the taxpayer, including the first installment and the collection notices for the remaining installments.
- Place a lien or notation on the taxpayer’s movable and immovable assets for at least the value of the tax under installment.
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In case of rejection:
Taxpayer Obligations
- Receive the collection notice for the first installment and pay it within one week from the date of notification, provided that it does not exceed the end of the month during which the installment approval was granted, at the Treasury cash office, a bank or one of its branches, or any office of a company contracted by the Ministry of Finance for this purpose.
- Pay the remaining installments on the dates specified in the installment schedule, otherwise the entire unpaid balance becomes due.
- If the taxpayer fails to pay any installment on its due date, all installments become due with the applicable interest, starting from the due date of the first unpaid installment until actual payment, while preserving the taxpayer’s right to penalty reduction according to the legal text in force on the date of installment approval.
The relevant collection office is responsible for:
- Recording the installment contract number and approval date on all electronic notification documents.
- Deducting the installment tax amount from the taxpayer’s account.
- Preparing a special statement for the installment amounts for each tax separately, showing the total installment amount, amounts paid, and the remaining amounts under collection.
Placing an Installment Notation
The competent collection office must request the Directorate General of Land Registry, immediately upon issuance of the installment statement and by written letters, to place an installment notation for an amount equal to twice the value of the installment amounts on specific properties owned by the taxpayer, according to the conditions specified for installment notation.
If it is not possible to secure collection through the installment notation, the Commercial Register must be requested, immediately upon issuance of the installment statement, to place an installment notation on the taxpayer’s Commercial Register.
The financial office follows up on cancellation or amendment in case of disposal of the property or assets, and coordinates the notation by written requests addressed to the competent authorities.
Once all installments due have been paid, the collection office sends a written request to lift the installment notation to the Directorate General of Land Registry or the competent Commercial Register office.
If the taxpayer requests to pay the entire remaining balance in one payment, a collection receipt is issued for the principal amount due, plus interest for the period from the date of the last installment payment until the actual payment date, with any fraction of a month considered a full month.
The competent collection office places an installment notation on movable and immovable assets as stated above for installment requests approved before the publication date of Decision No. 453/1.
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