16..7
Cus·roMs, IMPORT A?!D EXPORT TAXES •
Commodity
Unit
287. Boiler Con1positions ancl preparations for removing scale in boilers Ad valorem 288. Calciun1 Carbicle per 100 kilogrammes 289. Cat1stic Potash per 100 kilogran1mes )) 290. Caustic Soda
Duty (E.$s.)
10% 7.00 7.00 4.00
CONSOLIDATJON NOTE A,nd. 15/4 (1955) L.199 Art. 6.
291. Cyanide, Cyanogas, Sodi11m Cyanide a11d St1lpl10cyanide 292. Disi1lfectants and Germicides 293. Dr11gs, Medicated Dressings, Medicin:tl Preparatio11s and Antiseptics: (a) When imported by hospitals or :11stitutions (b) Others 294. Dyes: (a) Annatto (b) Microscopic stai11s for laboratorJ work (c) Hair D)'es and similar preparations (d) Others, 11.e.e. CONSOLIDAT:ON NOTE An1d. 15/4 (1955) L.199 Art. 6.
295. Earths, natural colot1red
Free Free
Ad valorem
Ad valorem ''
''
Free 10% Free Free 30% 15%
20%
CONSOLIDAT:ON NOTE A111d. 17/2 (1957) L.212 A.rt. 9.
296. Fertilizers and manures, mineral or :lnimal, and/or 297.
298.
299. 300.
vegetable, natural or artificial [Rep d. 27/2 (1967) L.328 Art.3 A (ix) (replacing ptes�nt Article with ne\v Article 278). The present Article was previously amended by 17/2 (19 5 7) L.212 Art.9, 22/11 (1963) L.272 Art.4.] Insect Sprays and other substances, n.e.e., for pre vention and· destrt1ction of pests, and for the pre vention and cure of disease in anima.ls, plants an d trees per 100 kilogrammes Naphthalene Cosmetics, face cream, toilet powder, ha ir tonic, and Ad valorem other toilet preparations
CONSOLIDAT:ON NOTE A md. 15/4 (1955) L.199 Art. 6, 28/6 (1969) L.354 Art. 4.
301. Phosphorus, Red 302. Polish and Creams: for boots and shoes
- 437-
'' ''
Free
Free 10.00 65%
5% 20%
CONSOLllDA1·np LAws , ©F E'!fHlOPIA
16-7
Unit
Commodifj,
303. Potassi11m Chlorate 304. Seccotine, Gt1n1, atid sin1ilar preparations 305. Sugar Clarifying Agents: i.e. Litharge, Phosphoric, Acid Paste, Silicate of Soda, a.nd Sulphur 306. Saltpetre: for industrial purposes only 3·07. Sulphate of Copper 308. Dye£, chemicals, reagents and otl:er articles imported by local tanneries, textile iadll!lst:ries ans riefi,neries as processing or finishing materials
Duty �E.$11.)
Free Ad valorem 20% Free Free Free Free
CONSOLIDATION NOTE Ar11d. 15/4 (1955) L.199 Art. 6, 25/15 (1966) L.314 Art. 3C, 27/2 (1967, L.328 Art. 3A (xl)·
309. Tooth pastes, pov1ders and/or \\1ashes
Ad valoren,
20��
''
10%
''
20%
CONSOLIDATION NOTE A111d. 28/6 (1969) L.354 Art. 4.
310. Otl1er cl,emicals i11cl11ding I)lastic n1aterials i1nported for use i11 local i11d11stry CONSOL:DATION NOTE A111d. 22/5 (I 962) L.266 Art. 4-.
311. [Repd. 22/5 (1962) L.266 Art.5.] 312. Chemicals and Dr11gs: n.e.e. 313-317. [Tl1ese classificatio11 n11mbe1s have 11ever bee11 used.]
CLASS IX ... LEATHER, RUBBER AN"D MANUFACTURES THEREOF 3 I 8. Bands and Belting of all lands for driving macl1i11ery, otl1er tha11 motor vel1icles, belt lacing and belt faste11ers
..
''
15%
319. Boots and shoes a11d other foot\'rear and parts a11d accessories thereof (a) Boots a11d shoes of leatl1er or havit1g soles or 10.00 per pair or 50% uppers of leatl1er, or mai11l5 of leather, 11.e.e. a d valorem, whichever is the higl1er (b) Sports footwear, but exclt1dit1g footwear macle of canvas or other textiles witl1 r11bber or plastic Ad valorem 20¼ Free (c) Surgical or corrective f· oot\\ear (d ) Other footwear n .e.e. 4·.00 p er pair or 80/o a� th 15 er ev ch hi , w m re lo va l1igher (e) Parts of' t·ootwear, of any 11Jaterial other thar1 leather or rubber, importeci for the purpose of local mant1factt1re into f)otwear Ad valorem - 438 -
CUSTOMS, IMPORT AND EXPORT' TAXES
· Contmodity
16-7 Unit
(f) Leather soles a11d heels (g) Rt1bber soles and heels
'' ''
Duty (E.$s.)
50% 40%
CONSOLI:DATION NOTE A,nd. 17/2 (1957) L.212 Art. 10, 22/5 (1962) L.2{6 Art.4' 23/· 9 (1964) L·283 Ars. t 4-5 , 25/5 (1965) L.309 Art. 3 lP), 28/6 (1969) L.354 Art. 4.
320. Elastic Braid, Cord, Garments, Hose, or similar products n1ade of cloth a11d rubber with 321. Garments a11d clothing of cloth in1pregnated · rubber
Ad valorem
30%
''
30%
CONSOLIDATJON NOTE A,nd. 25/15 (1966) L.314 Art. 3A.
,' Leather Gloves ,' Leather, Sole '' Leather, Others '' Leather Manufactures 326. Rubber Gloves, for surgical use 327. Rubber tyres and tubes (a) Pneumatic (1) Tyres per kilogramme (i) For cycles and bicycles (ii) For motor passenger c:1.rs, light delivery vans, pickups, s:atio11 wagons '' and motor bicycles . (iii) For motor a11d Diesel trucks and lorries: Sizes 32 x 6, 700 x 20, 42 x 9 and similar tyres ,, (iv) Others • (2) Tubes: '' (i) For cycles at1d bicycles '' (ii) For mechanically prope]ed vehicl�s '' (iii) Others '' • • (b) Solid, Comple_te, or 'in lengths, or in pieces
322. 323. 324. 325.
30% 30% 30% 30% Free
0.25 0.50
.
Free
0.25 0.25 0.25 0.25 1.00
NOTE: Including the weight of the immediate packing of paper, millboard and. tl1e like.
.
CONSOLIDATION NOTE A,nd. 15/4 (1955) L.199 Art. 7, 24/3 (1964) L.!99 Art. 4, 28/6 (1969) L.354 Art. 4.
Ad valorem
328. Rt1bber ma11ufactures n.e.e. CONSOLIDATION NOTE A111d. 28/6 (1969) L.354 Art. 4.
- 43S -
40%
l
OoNSO],J1Il)A\EED LAWS OF
1:6-7
EmHI©�lA Unit
Commodity,
32,9, Raw and unworked 11atural or synthetic rubb>er a 11d rubber cement and rubber gum, which are show11 to the satisfaction of the Directer of Customs to be in1ported solely for use in tyre re-treading or in tl1e manufactn,re of footwear or parts of footwear
Duty tE.$s.)
1
Free
CONSOLIDATION NOTE Added 15/4 (1955) L.199 Att. 7; a111d. 15/5 (1965) L.309 Art. 3 (q).
330-333. [These classification. E.umbe1s have never been used.] CLASS X - WOOD A�D WOOD MANUFACTURES 334. Baskets and Basketwork, not J1cludi11g protective
335. 336. 337. 338. 339.
containers for acids, wines, etc. Beeruves, Incubators, and other woode11 applia11ces for dairy and agricultural p11rposes a11d parts thereof Boxes and Casks, Wooden, emi;t, y or in shooks Cl1arcoal Corks and Cork'Arood Furniture, cane or rush
Ad valore111 ', '' ''
,,
15% Free 10% 50% 2 0% 40 %
CONSOL])ATION NOTE An·zd. 28/6 (1969) L.354 A.rt. 4.
340. Furniture, wooden
''
. 0 40%
''
10%
' ''
30 % 10%
'' ''
30% 60%
CONSOLTIATION NOTE r1111d.
28/6 (1969 ) L.354 Art. 4.
341. Handles Woode11: for tools and implements 342. Joinery: Wooden fran1eworl< of houses, wi11dows frames, sashes, casen1ents, doors, lintels, and bt1ilders mouldings 343. Masts and Poles for scaffoldi11g 344. Picture Frame Mot1lding; made wholly or 1:,artly of wood 345. Plywood and Pt1lp Boards
)
CONSOLIDATION NOTE Atnd. 12/3 (1952) L.171 Art. 4, 20/18 (1961) L.241 .Art. 4 (i), 22/5 (1962) L.266 Art. 4.
346. Rush Mats 347. Vats and Ta11ks Woode11: f01· us� in agricult11re a11d industry or for manufacturing p!a11ts 348. Wood and timber, ct1t to size or i11 the rotigl1 unmanufactured CONSOLIDATION NOTE A1nd. 28/6 (1969) L.354 Art. 4.
-440-
,,
I 5%
''
20%
Ad valoren1
40/o1 0
0
Cus·roMs,
IMPORT AND EXPORT TAXES
. Commodity
Unit
349. Veneers, for 111anufactt1re of f't1r11itt1re A111d.
Duty (E.$s. )
''
t
30%
CONSOLTDATCON NOTE 28/6 (1969) L.354 Art. 4.
350. Wood mant1factures n.e.e.
''
4 0%
CONSOLIDATION NOTE A"zd. 28/6 (1969) L.354 Art. 4. f [Tl1ese classi 351-355. ication nt1n1bers have 11ever been used.]
CLASS XI - BOOKS, STATIOJ�ERY, PAPER. AND PAPER MANUFACTURES 356. Atlases, Cl1arts, Globes and Maps 357. Books Printed and Printed Matters: nGmely literatt1re, periodicals, and newspapers ( other th.an periodicals. and ne,vspapers imported for pacljng pt1rposes), guide books, directories, pamphlets, leaflets, cata logues and lists, lithogratJhed religioL1s texts, music (other tl1an roll music for at1topianos), showcards, and similar printed n1atter imported solely for adver tisi11g pttrpo�es 358. Ba11knotes and other paper ct1rrency, Gover111nent bonds, Traveller 's Cheqt1es, revent1e stan1ps, labels (bandalettes) used to prove payment of taxes; post age stamps; and lottery tickets imported by the National Lottery A4ministration
Free
. .
Free
Free
CONSOLIDATION NOTE Anzd. 24/3 (1964) L.299 Art. 4, 25/15 (1966) L.314 Art. 3D.
359. Cardboard, millboard and strawboard · A111d.
Ad valorem
20%
per pack
2.00
Ad valorem '' ''
10% 10% 15%
CONSOLIDATION NOTE 28/6 (1969) L.354 Art. 4.
360. Cards, Playing CONSOLIDATION NOTE A1nd. 11/2 (1957) L.212 Art. 11.
361. Ink and Ink Powders: (a) For use in the pri11ting i11dustrf: i.e. printing and lithographic ink, printer's bronze powder, roller composition, stamping colot1rs (b) Stencil Ink Solid (c) Others, n.e.e. - 441-
'
Commodit¥,
162. Carbon Paper arnd Tracin,g Pa.per 363. Cigarette paper OONSOLJDATION NOTE Anid. 28/6 (1969) L.354 A11t. 4.
364. Co1lotl1,Te0, silvered er gilded p,ai;er, CONSOTuIDAff@N NOl'B /4md. 28/6 (1969J L.354 A.tit. 4.
365. 366. 367. 368. 369.
VellRm Common Foolseap Paper: for office or school 1:ise Copy Paper Letter Paper: Plain or Ruled, 1:ead.ed or otherwise Paper bot1nd in books: i.e. Exercise Books, Account Books, Note Books, Cheq,ue Books, etc. 370. Photogra.phic paper
'tlnit '' ''
Duo �e,a.)
20% 35%
''
'' '' '' ,, ''
20% 10% 10% 10%
,,
10% 30%
Ad valore:m ', '' ''
10% 10% 20% IO%
''
60%
CONSOLDATION NOTE AI11.d. 24/3 (1964) L.299 Art. 4, 28/6 (1969) L.354 Art. 4.
371. Printing Paper: namely, newsprint, i11 reels or in the flat, plain or composite paper, ne.e., i11 reels of not less than 22 centin1eters v1ide or flat or folded in the original null ream \Vrapper of a :;ize of 11ot less than 37 x 40 centiraeters 372. Toilet Paper 373. Wall Paper 374. Wrapping Paper 375. Old newspapers and periodicals for wrapping purposes ·
CONSOUDATION NOTE Amel. 15/4 (1955) L.199 Art. 8, 20/18 (1961) L.241 Art. 4 (j).
376. Pictures, Paintings, Engravings, Etchings, Picture Books, and Drawings: n.e.e., induding Photographic Reproductions and Enlargements: (a) Imported solely for advertiseme11t purposes a11d having an a�vertisement i11delibly printed, e11graved, or lithographed thereo11, b11t not in cluding menu cards or similar advertisen1ent stationery (b) Photographs including enlargements a11d re productions having only a personal or sentiment al value to the importer and not intended for sale
- 442-
Free
Free
16-7
CUSTOMS, IMPORT A�D EXllORT TAXES
Co1nmodity
(c) �thers, 11.e.e., i11cl11ding pict11re post carets, greet ing cards, calendars, or cale11dar n101111ts, menu cards, and other forms of statio11ery imported as s11ch, whether bearing J)icturcs or otherwise 377. '"fype\vriter· or Adding Machine Ribbons 378. Wrapping paper ancl Cardboard 11111n11factures for packing purposes
Unit
Duty (E.$s.)
Ad valoren1 ''
20% 20%
''
IO%
CONSOLIDA1ION NOTE Added 15/4 (1955) L.199 Art. 8.
379. Paper, gummed or other,vise, in sheet� or rolls, sho\v11 to tl1e satisfactio11 of the c11stoms to ·)e imported ex clusively for the printing in Eth.iopia of postage stan1ps, reven11e stan1ps, tax baudaettes, National Lottery Tickets, cl1eq11es, aud tra\ellers' cheq11es
Free
CONSOLIDATION NOTE Added 28/6 (1969) L.354 Art. 6.
380-382. [These classificatio11 n11mbers ha.ve never been used.] CLASS XII - FANCY GOODS, TIMEPIECES, MUSICAL INSTRUMENTS, AND su1-iDRIES 383. Beads, Glass
Acl valorem
50%
'' ,,
Free 20% 20%
CONSOLIDATION NOTE A,nd. 17/2 (1957) L.212 Art. 12.
384. Clocks and Watches: (a) To,ver Clocks: (1) For churches and public bullclings (2) Others (b) Other clocks and watches CONSOLIDATION NOTE A1nd. 17/2 (1957) L.212 Art. 12, 28/6 (1969) L.354 Art. 4.
385. Cups, Medals, and other public trophies imported for presentation: (a) As prizes at public examinaticns, · exhibitio11s, shows, or for competitions of skill at sports open to rnembers of recognized clubs and to the pt1blic (b) For bravery, good co11dt1ct, l1tn1�L11i1·y, for ex cellence in art, industry, i11ve11tion, manu.f� ct� res, learning, science or for hono11rable or mer1tor1011s public service - 443 -
Free
Free
G©NS0LI®A'if , Bfi> LAWS QF E:JnM!lOPIA
t.6-7
•
Unit
Commodity
e fflil of n io 0 . fa tis sa e th � tl© f 00 pr at d e . th Provid Director of CustoFms is p.Foduced, pn@r t0 cleari in g of such arti0les through. the C� sto,ms, tl1�t 1ec s, as n tio ta en es pr ch su. r fo e0 nd ey te e i n th ar 1 fied above.
386. Musical Instruments: (a) Band iastrume1l!ts and sta.nas tile b>o1ttafide pro perty of any military, naval, police, or volunteer corps, or imported by or on behalf of, or for presenrtation to any reLirgi,ous b0<dy, or the Boy S.cout, Girl Guide, @r other s·roillar association, and not being the property of indiviauals (b) Others
Ad valorem
Free 50 %
CONSOLIDATION NOTE A,nd. 11/2 (1957) L.212 Art. 12.
387. Organs, Ha1·mo11ju111s, and blowers thereof: (a) Imported by or for prese11tat:on to any religious body (b) Others 388. Baggage: (a) Persons arriving to tal<e tip re,idence i11 Etl1iopia: upon first arrival; baggage, the J)roperty of aud accon1panyi11g said person or landed at any cus toms station Vi1 ithin a period of three (3) 111ontl1s of first arrival or st1ch fur'.her }Jeriod as tl1e Director General of Ct1storns may allow: (i) 11ecessary at1d. appro1Jriate weari11g ap1Jarel, perso11al jewellery and toilet reqt1isites; (ii) articles for household use, such as ft1r11itt1re, carpets, pictures, glasswtre, li11e11, crockery, ct1tlery, plates and sewing 1nachines, a11d such additional articles )uch as bi11ocµlars, cameras, inclt1ding cinematograph can1eras of 8,9.5 and _I 6 mm., sports equipment, port able typewriters and tcys, which are de1no11strated to the satisfaction of the Direct or of Custon1s to have bee11 i11 personal or l1ot1sehold use by tl1e passenger prior to importation and which are not i 11tended for sale; (iii) one (1) litre of alcoholic liquor; -444-
''
Free 25%
CusToMs, lMPoR·r AND ExroR1'
16-7
TAXES
Commodity
Duty (E.$s.)
Unit
(iv) c �gars 11ot exceeding fii'ty (:0) i11 nu111ber, ?1garettes 11ot exceedi11g 011e l1u11dred (100) 111 n11.mber, and tobacco 11ot exceedi11g two �11ndred and fifty (250) gran1s i11 \veigl1t; (v) 1nstrt1me11ts and tools for t'.le JJrofessio11al use of the passe11ger . (b) Rett1r11ing residents of Etl1ioJJia: baggage, the pr ?perty of and acco1npanyi11g said perso11: (1) necessary �11d appropriate \\eari11g apparel, personal Jewellery a11d toilet reqt1isites; .. (11) one (1) litre of alcol1olic lict1or; (iii) cigars 11ot exceedi11g fifty (50) i11 11t11nber, cigarettes not exceedi11g one ht111dred (100) in nun1ber, and tobacco not exceedi11g t\VO l1undred and fifty (250) grf.ms i11 weight; (iv) s11cl1 other articles and equipn1ent as the passenger ca11 demo11strate :o tl1e satisfac tio11 of tl1e Director of Custon1s to l1ave been exported by l1im at tie time of l1is de1Jarture from Ethiopia (c) Bo11a fide tot1rists: baggage, tl1e property of a11d accon1panying said perso11: (i) necessary and appropriate Vveari11g apparel, personal jewellery and toilet req11isites; (ii) one (I) litre of alcoholic liquor; (iii) cigars not exceeding fifty (50) in 11u1nber, cigarettes not exceeding 011e h11ndred (100) in number, and tobacco 11ot exceeding two l1undred and fifty (250) grtms i11 weigl1t; The Director of Custon1s may, subject to the taki11g of such safeg11ards as he may dee111 11ecessary to g11ard against the sale within Ethiopia of a,ticles imported by a ban.a fide tourist, allo\\' tl1e in1p,)�tation of �ny add.itional portable articles of baggcge appropriate to the tourist or to the p11rpose of bis visit.
Free
Free
Free .
'
CONSOLIDATION NOTE ..
/In1d. 20/18 (1961) L.241 Art. 4 (k).
389. Blasting compounds: incl11di11g all linds of explo sives, fuses, a11d detonators, st1itable and intended· for blasting, and not suitable ·for 11se as fireworks or in firearn,s 390. Cinernatograph Macbi11es and Projectors, a11d Magic Lanterns and slides thereof: (a) Imported for use in or by a scie.ntific or educa tional institution
- 445-
Ad valoren1
10%
Free
Duty
Unit
Commodity
(b) Othe,us
�E.$s,) 50%
©©WSOLfD�'iFl@N N@TE Amd. 17 /2 (1957) L.212 �- 12. h )fiJ.. CiuFch Decora�io11fs, Chureh Plate, A1ta1·s, "Bells, Font, s, Leoterns, Pu1llpits, and Vestment, i�porte0 by or for p::uesentati0n t0 allilY feligi01:1s eoay -3,2. Coffia,s, Fun. 1 erary Urtns and Ca��ets
Free Free
393. Containers: including box.es, tins, mottles, j,a;J;is, and other p,ackages, imp01ited Ml 0£ an.� article liable to a specific rate of duty and being oFdinary trade packages for the goods contained therein
Free
394. Diplom.atic and Cons1:1lar Goojs: Namely articles for the official use of any foreign Diplomatic Mission or Const1late, or ot1 the first arrival in the Empire, the bou.sehold effects of the Diplomatic or Co11sular representative of any foreign cotntry, or their family or suite, if such Diplo111atic or Const1Iar representa tjve is not engaged in a .ny otheJ b11siness or profes sion in the Empire, provided th; 1t a similar privilege is accorded by such foreign cotlrttry to tl1e Etl1iopian representative therein
Free
395. Felt, R11bberoid, Uraliie, and similar su. bsta11ces t�or building pur1Joses, Flooring Compositions a11d Roof ing Com1)ounds
',
15%
396. Films, Ci11ematograph, l)Tinted or exposed for exhi bition: (a) Of a scientific or educational 11at11re for exl1i bitjon solely to or by scientific or tech11ical socie ties or i11 edu_cational institutions (b) Others
Free 100 n1etres
1.00
Ad va.lorem
20%0
CONSOLIDATION NOTE
Amd. 25/15 (1966) L.314 Art. 3E.
397. Filn1s, Cinematograpb: Unexposed CONSOlIDA fION NOTE Amd. 17/2 (1957) L.212 Art. 12, 25/5 �1965) L.309 Art. 3 (r). r
398. Fireworks
, per kilogramme gross
399. Ft1rs an_d Skins_: Dressed and Cured, i11clt1ding F t1r and Skin Cloth1ng of all descriptions - 446 -
A d valoi1 en1
2- 00 5�1°0
CusTOMs, ll\1.PORT AND Ex1>0RT TAXES
16-7 ------------- ----- -- - .• Commodity
400. Jewe�lery: Including all 111etal, bo11:!, ivory, a11 d plastic orname11ts for perso11al \Vear ,)r adornment such as necklaces, bt1ckles, brooches, clasps, etc.; (a) Gen11ine (b) Imitation
Unit
Duty
(E.$s.)
Acl valorem ''
100% 100%
''
10%
CONSOLIDATION NOTE A,nd. 17/2 (1957) L.212 Art. 12, 25/5 (1965) l .309 Art. 3 (s).
401. Lamps: Nletal, Glass, or Plastic, for 11s<:. with kerosene and other oils 402. Lamp Bulbs: Electric, Gas-filled or Vacuum: (a) Not exceeding 75 Watts (b) Exceeding 75 Watts bt1t not exceedi11g 150 Watts (c) Exceeding 150 Watts but not �xceeding 300 Watts (d) Exceeding 300 Watts (e) Flourescent Light Bulbs and Tutes CONSOLIDATION NOTE A,nd. 17/2 (1957) L.212 Art. 12.
403. Linoleum and similar floor covering
Per bulb '' '' ,, '' ,' ,,
$0.20 0.50 0.75 1.00 30% 25%
CONSOLIDATION NOTE An1d. 28/6 (1969J L.354 ATt. 4.
404. Matches: Per Gross Boxes $1.50 (a) In boxes of not n1ore than 100 matches (b) In boxes containing more than 10) matches and '' 3.00 . not more than 200 matches per gross of (c) And for every additional 100 matches or part of 100 matches 1.40 100 matches in excess of 200 matches per box ( d) Tear off matches, in strips, discs, or booklets per 1000 matches 0. I 3 ''With Permit fron1 the Tobac::o Monopoly Boarcl '' 405. Models: scale or working, and plaster or similar advertizing models, but not including toys, dress Free makers, hairdressers, or similar display models 406. Museum and Natural History Exhib.ts and Speci Free mens for p11blic museums or for scientific purposes 407. Official and Military Stores and Goods: Imported by civil and military officers (a) Goods imported for the use of the military forces of His Imperial Majesty, Police and Finance G11ard, on satisfactory proof to the Director of Customs that they have bee11 imported solely Free for that purpose - 447-
16-7
CONSOLIDAT!E;::> LAWS OF ETHIOPIA •
Unit
Commodity
(b) Officers Uniforms, Accout1en1ents, a.11d Equip
ment: (1) The uniform of civil and n1ilitary Gover11n1ent officials includi11g tl1e necessary side arms, badges, and equipme11t thereof (2) The camp furnituFe, fiitting1 s, and. equip1ne11t of foreign officers in the service of· the Goverome·ot, namely in respect of each foreign officer, for each normal tour of duty, one tent, 011e t£ble, one chair, bed, mattress, bath and ca11teen, and, in respect of each officer during hls total service in the En1pire, one rifle, one shot gi1n, one revol ver, a11 d 300 rounds of a1nmunition for eacl1 (c) Regin1ental Plate, Ft1rnitt1re, and other mess fitti11 gs, tl1e property of a regimental mess_ or the joint property of the officers of a regime11 tal 111ess (d) Macl1 i 1 1ery, pla11t, 1naterials and rolling stock, imported or lJurchasecl prior to clearance thro11gl1 Customs by a11 i 1 1dividual Clr a firm 1111der con tract to the Government, vthere the Minister of Fi11ance has ap1Jroved sucl1 exe1nptio11 as 1Jart of the terms of tl1e co11tract
A111d.
Free
Free
Free
Ad valorem
60�{
CONSO:.IDATION NOTE 19/2 (1959) L.224 Art. 4, 27/2 (1567) L.328 Art. 3A (xii), 28/ 6 (1969) L.354 Art . 4.
409. Photograpl1ic can1eras, includi 11g parts thereof A111d.
Free
COl�SO�IDATIOl'l NOTE 20/18 (1961) L.241 Art. 4 (k), �5/5 (1965) L.309 Art. 3 (t).
408. Perft1111ery, perfumery essences. 1Jerfun1e bases a11d compositio11s, and perf11mes A111c!.
Duty (E,$s,)
Ad valore111
25%
r CONSOLIDATION NO fE 17/2 (1957) L.212 Art. 12, 24/3 (:964) L.299 Art. 4, 28/6 (1969) L.354 A.rt. 4.
410. Photographic plates, films and µi.cks for t1se i11 photo graphic cameras (a) Orthochromatic, pa11cl1romatic a11d si111ilar filn1s and plates show11 to the satlsfactio11 of tl1e Direc tor. of Custo�s !o be imported solely 1'or t1se by registered pr1nt1ng presses for procl11ction of printed n1atter (b) Others
Ad valorem
'CONSOLIDATION NOTE A1nd. 24/3 (1964) L.299 Art. 4, 25/5 (1?65) L.309 Art. 3 (ti), 28/6 (1969) L.354·Art . 4:
- 448 -
free 3o¾
16-7
Cus�rOMS, IMPORT Al�D EXPORT TAXES
Commodity
411..Radio sets a11d radiogra111s, i11clt1cli11g valves, tra11sis tors and spare parts for san1e (a) Raclio sets havi11g a d11tiable value not exceed ing Eth.$50 (b) Otl1ers
Unit
Ad valorem ''
Duty (E.$s.)
25% 35%
CONSOLIDATION NOTE r1n1d. 28/6 (1969) L.354 Art. 4.
412. School Stationery, Instrun1e11ts, Ap1Jlia11ces, a11cl otl1er similar requisites, i1nported by or on behalf of a recognized educatio11al i11stitut.on, solely for tl1e ptirpose of t11itio11, 011 satisfactozy proof to the Director of Customs 413. Samples and Miscellaneous 1-\rticles 11ot in1ported as n1erchandise \vhich the Director of C11stoms shall decide to be of no co1n111ercial val11e 414. Scientific Apparatus and Instrt11nents, for laboratory use or scie11tific observatio11 or record, or for the control of ma11ufact11ring operations 415. Sporti11g Req11isites 416. Surgical and De11tal I11str11n1ents and A1)pl iances 11sed in the diag11osis or treatme11t of C:isease or affec tions of the h111nan or animal body 417. Tobaccor1ists Sundries: including pipes, 111atch boxes, petrol lighters, tobacco pot1ches, pipe cleaners, cigarette cases, cigarette holders, etc.
Free Free
Ad valorem
Free 20% Free
,,
5 0%
CONSOLIDAT[ON NOTE A1nd. 17/2 (1957) L.212 Art. 12.
418. Toys for children, incl11ding gan1es, toy cycles, scooters, clolls and the like
''
25%
CONSOLIDAT[ON NOTE A,ncl. 17/2 (1957) L.212 Art. 12.
419. (a) Umbrellas, parasols, sunshades (b) Parts and accessories thereof
80% Ad valorem or $3.00 per piece whjchever is the higher Ad valorem 3 0%
CONSOLIDAT[ON NOTE A,nd. 17/2 (1957) L.212 Art. 12, 25/15 (1966j L.314 Art. 3A.
420. U11iforms and app9intments: in1po� ed by �r . on behalf of the Boy Scouts or Girl Gi1des or s1nular Associations 421. \.Yorks of Art (paintings, sculpture, and the like): imported for pern1ane11t public exbitition
- 449-
Free Free
CONSOLIDA1'E:ID LAW,S o·F '.ETHIOPIA I
Unit
Commoditf
422. [Repd. 27/2 (1967) L.328 Art. 3A (x) (Feplaoing pre sent Article ,vith 11ew Art. 279).] 423. Manufactured articles of plastic 'Jil·aterials: . _ (a) la.minated sheets of a type and size stutable for building purposes, or fer the manufacn1re of fur·niture (b) Other
Ad valorem ''
CONSOLIDATION NOTE
Duty (E.$s.)
60% 35%
Amd. 22/11 ll963) L.272 Art. 4, 25/15 1_1966J L.314 Art. 3A.
424. Packing materials speci, fi..ed hereunder which are demo11strated to the satisfaction of the Director of Customs to be intended exclusively for packing of products of Ethiopia11 origin, mentioned below, destined for export abroad: (a) containers and other packi11g materials for export of meat, fr11its, vegeta.bles and eggs (b) fish boxes for export of fisl1
Free Free
CONSOI_,IDATION NOTE Adcled 20/18 (1961) L.241 Art. 41 ; a111cl. 21/9 (1962) L.253 Art. 4.
4,25. B11ttons, i11clucli11g b11tton bla11.ks of a11y material
Ad valorem
50%
''
35%
CONSOLI'JATION NOTE Adcled 23/9 (1964) L.283 Art. 5.
426. Tape recorders, 'A1ire recorders, dictaphones a11d other s011nd recording ·or reproducing apparatus (i11cludi11g those combined v1ith radio sets), micro pho11es, amplifiers, lo11dhailers c.nd p11blic address systen1s; ta1Jes and wires for 11se witl1 the above; gramopho11e recorcls of any 1naterial CONSOLI:JATION NOTE Adclecl 24/3 (1964) L.299 Art. 10.
''
427. ,..felevision receivers
"5%
.) '0
CONSOLIDATION N01'E Added 24/3 (1964) L.299 Art. 10.
428. ?truct ?ral an � buildi11g. materia:s, 111achinery (11ot 1ncl11d1ng vehicles) , eql111)ment, f11rnitt1re, f11r1tisl1i11gs, cutlery, crockery, li11en a11d cooking utensils imported for the establislune11t of 11ew hotels i 11 which a _ca pital of not less than Eth.$200,000 bas been or 1s invested pro-yid�d that si �ilar goods are not produced in E !1?-iop1a, and SllbJect further to the following con d1t1ons: -450 -
free
Cus1·0Ms, IMPORT 1\·�o EXPORT
'fAXES
Con1modity
Unit
Duty (E.£s.)
(i) that tl1e goods are in1ported solely i11 the i11itial stage of the establisl1111e11t of ti1e l1otel (ii) that the goods in1ported are not for replacement of goods. CONSOLIDAlION NOTE Aclcled 25/15 (1966) L.314 Art. 3F; a,nd. 26.A (1967) L.326 Art. 3.
C.LASS XIII - GEJ\TE.RAL 429. All goocls, \Vares and n1ercl1andise - 11ot provided for under a11y headi11g in tl1e Tarif or l111der a11y special law relati11g to the Customs
1-\d valorem
CONSOLIDA1ION N01"E /l111d. 24/3 (1964) IJ,299 Art. 4, 28/6 (1969) L.354 Art. 4.
430. (a) Any item imported by the Imperial Etlliopian Government \vhere t11e Custo1ns are satisfied that the same has bee11 recei\1ec as a free gift, aid or donation from abroad. (b) Any item i1nported by any religicus, educatio11al, medical or charitable i11stit11tion or organization 'rVhere the C11stoms are satisfied that the same has bee11 received as a bona fide free gift or dona tion from abroad and is intended solely at1d exclusively for the ed11cationa, medical and charitable activities of the instit11tio11 or or ganization and \Vill not be dispo,ed of for profit or gain; provided, however, that the Custon1s shall 11ot be required to admit u11der this ite111 anything ,vhicl1 in their OJJinion .s inte11ded or is likely to be used pri111arily for the benefit, 11se or consumptio11 of en1ployees or staff 111embers of the instit11tio11 or organization
35%
Free
Free
CONSOLIDATION NOTE An1d.11/8 (1952) L. 162 Art.3; repel. 14/2 (195+) L.190 Art. 2; adcled 28/6 (1969) L.354 Art. 6.
CLASS xrv - EX'PORTS 431. [Repel. 15/4 (1955) L.199 Art. 9. Tht present Article was previously amended by 13 /7 ( 1954) L.180 Art.3.] per I 00 l<ilogrammes 432. (a) Coffee (b) Broken Coffee, Black Coffee '' or Floats - Duty '' Surtax (c) Coffee Husks
15.00 5.00 5.00 Free
CONSOLIDATION NOTE (1954) ,4rnd . 12/6 (1952) L.17 3 Art. 3, 13/4 (1953) L.178 Art. 3, 13/7 (1954) L.180 Art. 3, 13/9 L. 185 Art. 3, 19/1 (1959) L.222 Art. 4.
- 451 -
16-7
CoNSOLIDA.fEJ LAWS OF E'iFIUOPIA Unit
Commodity
per kilogramme
433. Chat or Khat
CONSOLIDATION NOTE A,11cl. 13/7 (1954) L.181 Art. 3, 16/9 (1?57) L.212 Art. 3, 17/2 (il957) L.. 212 Art. 13.
434-435. [Repd. 15/4 (1955) L .199 Art. 9. The present Articles were previously amended by l 3/7 (1954) L.180 Art. 3.] 4 36. Sheep & Lamb skins, oFcdinary, dried, but net fur ther processed by pic]ciing, talllllng , or semi- tanning
Duty (E.$s.)
1.00
per piece
0.20
per piece
0.20
CONSOLIDATION NOrrE A.md. 13/7 (1954) L.180 Art. 3, 22/5 (l962) L.266 Art. 4.
437. Sheep & Lamb skin.s, bt1tchered, dried, but 11ot fur tl1er processed by pickling, tan1ung or semi-ta11ni11g CONSOLIDATION NOTE
Amd. 22 /5 (1962) L.266 Art. 4.
438. G·oat a11d kid skins, dried, bt1t not further processed by pickli11g, tan11i11g or semi-ta�ning
''
0.15
COl'lSOlLDATION NOTE .,"1111cl. 22/5 (1962) L.266 Art. 4.
4 39. Leopa rd slcins, and weari11g apparel a11d other articles n1ade thereof: (a) Leopard skins per skin 100.00 or 50% ad valorem which ever is the higher (b) \Veari11g apparel and other articles f\d valorem 50�{ CONSOUDATION NOTE A111d. 24/3 (1964) L.299 Art. 4.
440. 441. 4 42. 443. 444. 445. 446.
Beeswax [Repd. 1 5/4 (1955) L.199 Art . 9.] I,1ory [Repd. 15 /4 (1955) L.199 Art. 9.] Civet Butter, Bazaar (Ghee): Bovine Cattle
CONSOI.IDATION NOTE Added 11/6 (1952) L.159 Art. 3.
per I 00 lcilogrammes '' per 100 ounces 1Jer I 00 kilog ram1nes IJer head
447-4 53_ . [Repd. 1 5 /4 (1_955) L.199 Art 9. The Englisl1 ver _ �1011 of the repealing Article omitted Art. 453 wl1ich , imposed a five percent duty 011 e{}Jorts of ''Firewood and Charcoal,'' from the list of 2rticles repealed. The �tistoms J?epartment has followt!d the Amharic ver sion, tr�at1ng Art. 453 as repealed. The present Arti cles, which had not appeared in t:1e original Schedule ' were added by 12/3 (1952) L.171 Art. 5.] - 452 -
I
3.00 20. 00 5.00 3. 00 5.00
Cus1·0Ms, IMPORT AND EXPORT TAXES
16-7,8
All n1erchandise e�ported fron1 Our Empire for a11y reason whatsoever shall be reported at tl1e var1o�s Cttstoms Stafo11s, and Export Declarations shall be completed for mercl1and1se so exported.
NOTES: 1. The term ''n.e.e." in t1tis Tariff means ''not elsewhere enumeratecl." 2. Unless otl1erwise stated all weigl1t� shown for ''Specific rates of Dut),'' are ''net weights''. 3. A seal and statistic fee of Eth.$2.00 is payable on each Export Declaration. 4. A seal and statistic fee of Eth.$2.00 is payable on eacl1 Export Declaration. Done at Addis Ababa tl1is 30th day of April, 1951. 11/8 (1952)L. 163*
REGULATIONS ISSUED PURSUANT TO THE CUSTOIVIS AND EXPORT DUTIES PROCLAMATION, 1943 These Reg11lations are issued by the 1[inister of Fina11ce p11rsua11t to authority vested in him by Article 9 of the C11stoms and Export Duties Proclan1ation, (Proclamation No. 39 of 1943). CONSOLIDA'TION NOTE The Customs and Export Duties Proclamation, 2/10 (1943) P. 39 Art. 9 under whicl1 these Regu.Iations were issued, was repealed by 14/7 (1�55) P. 145 Art. 172, 16 Consol. L. Eth. 1-172, but without effect on the validity of these Regulatbns.
1. Legal Notice No. 36 of 1943, and Legal Notice No. 114 of 1948, are repealed and replaced by the present Legal Notice. 2. This Legal Notice may be cited as tJ1e ''Revised Customs Duties Legal Notice, 1952." 3. In this Legal Notice ''Director of Customs'' includes tl1e Senior C11stoms Officer at any Customs Station, Customs substation, Post or Barrier. ''Manufacturers I11voice'' mea11s the act11al invoicel:of the man11fact11rer of the goods, and not the invoice of an agent, buyer, or any other office of a company importing the goods. ''Bo11a-Fide contract'' means the actual signed a11d witnessed contract between the importer and the local buyer. ''Wholesale Market Value'' means 1he average price at whicl1, on the date of filing of the customs application and 01 the open market at the point of entry, the commodity is freely offered for sale in the ordinary commercjal acceptance of the term, or is capable of being sold in the usual quantities and in the ordinary course of trade, or in the absence of such price at the point of entry, means the average price n1ling in the principal marlet of Ethiopia. t
•INTRODUCTOF.Y FOOTNOTE Arnd. 14/6 (1955) L. 194; imp/. arnd. 14/1 (1955) P. 145, Pen. C. 16/Ex. 1 (1957).
- 453 -
•
16-8
CoNS©L,IIDAifED
LAws o·p ETWOPIIA
4. M� nufa0tt1rers invoices an<d box1a1'id� contr._acts will be �egar �erl as e1.litlence. . ect th .eir of the value but 11ot 11ecessarily as eI>nclus1ve _ev,idence, an? tLl this resp g . ndin the l!)rodnction dem 1des s e s. tom Cus � the with n � tatio rest rpre will inte of _ invoices and contracts, the C11stoms a11th�r1t1es shall be free to employ all availab le means to determi1 1e the correct duty ?ay1ng �alue of the goods. Sucl1 m�ans shall include the inspection of otiher d-ocurrents w� 1ch may concern. t. h e val�at1on of the goods; the calling for detailed sale-bil1 is, certified by both _parties; the inspectio n of finms books; the exa.mi11�tion of the goods; a.nd the making of st1c.h enquiries and the obtaining of such privaite assistaooe as m�y be_ ne�essary. In t�e case of duty paid goods alrea.dy imported the Customs retam their right to examine firms books. 5. Borza-fide manufacturers inv©ice.s s1howing the actual cost of the goods to the importer will be acceptecd by th.e Custom , s as evidene� of the true va1ue of the goods, a11d will with the addition of fr�ight up to the frontier of the Empire, insura ance, all otl1er charges incurred 11p to and including the fr� ntier point of entry, represent an amount ,¥bich when increased by one per cent will form the valuation on which C11ston1s Dues a11d DL1ties will be collected. A111d.
CONSOLIDATION NOTE 14/6 (1955) L. 194 Art. 2.
6. If the goods have been sold refore the prese11tation to the Customs of the appljcation to pay duty, the bona-fiie contract together with the manufacturers i11voice must be produced with the a?plicatio11 to import. 7. Tl1e d11ty paying val11e of a11y import liable to an ad-valorem rate of duty for v1hicb.: (a) no n1an11fact11rers i11voice l1as been prodL1ced or prese11ted to the Director of Custon1s togetl1er witl1 tl1e applicatjo11 to pay duty; or (b) i11,1oices which have bee11 prese11ted with which t he Director of Customs i s not satisfied; shall be detern1ined 011 the basis of th� Wholesale Marl<et Value of the goods at the point of entry. This Wholesale Market Value sl1all be co11sidered to be higher than tl1e D11ty Paying Val11e by: (a) the a11101111t of d11ty on the goods; (b) ten pe.rcent of the d11ty raying val11e. Tl1e form11Ia for ascertaining the d11ty paying val11e is: Wholesale Marlcet Value x 100 100 -t" D11ty rate -1- I 0 e. g. 60 X 100 - 6,000 - dL1ty payi11g valt1e. 46.15 = 100 + 20 + 10 130 8. The impor�er if dissatisfied vith tl1e decision. of tJ1e Director of Customs e issu of date val11e of 1mporte goods, the may, t1 1 e within seven d�iys frorii as to � ctor Dire the the relat1v s of Duty Custo Memo, file a protest iii writing with by the � D: Customs, setting forth specifically hs objections tl1 ereto. or t e Dir � Pending a decisio11 in the case, th� 1nercl1 andise, at tlle discretion of the t cien suffi of Customs, may be released to the importer upon payment of ,t deposit by ed m clai to cover the full amo11nt of dt1ty anc sucli additioilal dtlties as may be the Customs.
- 454 -
CuSTOMS, IMPORT AliD EXPORT TAXES
16-8
Upon the filing of tl1e _l )fotest tl1e Director of Custon1s shall, within seven days _ _ his_ ec1s1on, rev1evv ? thereafter, �11d if tl1e _p�otest is 11ot st1stained, tl1e case shall be referred to the Con1n11ttee ap_po111ted by tl1e Minister of Finance for tl 1ejr considera _ tion a�d decis �o11. T?� Com1:11ittee after a fJll investigation of the facts of the case, shall issue their dec1s1o·n ,vhicl1 sl1all be bi11di11g 011 the importer and tl1e Customs. There shall be 110 appeal agai11st tl1e decisio11 of the Committee. 9. �?ods or merchandise ,vl1i.ch be,lr labels attrib11ting to tl1em a nat11re, quality or 9ualit1es other . tl1an, or q11a11tities greEter tl1an tl1ey actually possess, vvill be dt111able on th� bas1s �f th � labels, eve11 if in all otl1er respects their nat11re and content correspond ,v1th the 111vo1ce and declaratio□s covering them. 10. Receptacles will be considered as merchandise separately from their contents and will pay tl1e respective duties applying to the1n whenever such duty .is superior to the value of the merchandise contained tl1erein. 11. The value of internal or external pa�king i11 the case of goods paying an ad valorem rate of d11ty is always incl11ded in t:1e assessable value of the goods. 12. Goods declared in bond and which have remai11ed 11nintermittently under Customs Guard, may be re-exported in their original pacl<ing, 11nopened, so long as the Customs export formalities are carried 011t, altho11gh no payment of duty is required and so long as a deposil in cash is 1nade with the Director of Customs which he considers s11fficient to gt1arantee the d11e payment of import d11ty on the goods re-exported, togetl1er with ,varehot1sing charges, st1ndry charges, and any penaJty which might have been i�curred. Tl1e deposit will be held 11ntil the Director of Customs receives an official certificate of the arrival of the goods at their destination, and until all charges anc penalties, if any, have been paid, after which the deposit will be released. 13. Samples wl1icl1 have ali!,Y market v�lue whatever, will be liable to the same Customs Dt1ties as merchandise of the sane ki11d. Samples carried by commercial travellers will be admitted on payn1ent of a deposit \Vhich will be refunded on re export of the samples. '"fo trus end the necessary re-export formalities should be car ried out twenty f011r hours before the conmercial traveller leaves. 14. The Director of Customs may take all necessary measures to ensure the payment of all duties and penalties, and shill collect any short paid Custon1s d11ties ,vithin a period of one year from tl1e date when the assessed Customs duties were paid, and n1ay retain import or export me�chandise as security in respect of which duties or penalties are o\ving. After one month's notice the Director of Customs may realise on such security 11p to the limit of the duties or penalties that are owing. 15. The Director of C11stoms may exercise a right of preemption on any mer chandise of which the value appears to lave been u?der-declared, paying to the . merchant the value according to the i11voic� presented 1n support of h1s declarat1on, plus carriage and any other expenses entering into the cost price. Goods thus acquir ed shall be sold forthwith and any excess will be paid to the Imperial Government. 16. The Director of Ct1stoms may ref11se to accept a declaration in bond when s, or of goods ":hich sive it is a question of perishable or inflammable goods, or explo _ �re by nature dangerous or sl1spect, or whenever the Director of Customs co11s1ders 1t desirable to refuse. - 455 -
16-8,9
CoNSOLI!DATED LAWS ©'F Eli'Ht©BlA
17.. Warel1ouse Duty: ! his will not be eharged lllnbil �be inerch�ud!ise �as actually been 1n tln.e Customs Depot for more � an seven day_s @r Suolil other period, ©t!lt ll<lrt D1rec_ 1i or of t Customs as_ normall exceeding fiftee11 days, as 1nay be spec1fi.ed by � e y mecessacy f'Gr the Customs clearance of goods at a speorfied Oustoms station. I
CONSOLIDATION NOTE Arnd. 14/6 (1956) L. 194. Art. 2..
18. Customs Duties: Whenever merohandi,se has ac_rually beeD in a Customs Dep@:t for thirty one days, the owner o.r licen,see of a private or gen.eral warehous e shall declare the merchandise for importatio111 oa a_ C�stoms Import Declaration Form to the Director of Customs, aii d after exam1nat1on., and an assessment of the value of the merchandise has been made, the owner or lice11see of a private or general warehouse shall on demand beiog made by the Director of Custom s, pay the assessed Cl!lstoms Dues and Dtrirties. The owner or licensee of a private or general warehot1se may hold or detain sucl1 merchandise on which he has paid the Customs Dues a11d Duties, until the claim for all charges incurred has been paid by the ow11ers or consignees of the merchandjse, and after one hundred and eighty days fron1 the date of importation, the owner or licensee of a private or general warehot1se sl1all dispose of the merchandise. T'be own.er or licensee of a private or general warehouse wl10 contravenes the provisions of this Article, sl1all be g1.1ilty of a11 offence and shall be liable on con viction to pt111isb1nent i11 accordance with the provisions of the Penal Code. CONSOLIDATION NOTE Imp/. anid. 14/7 (1955) P. 145 Art.172, 16 Consol. L. Eth. 1 (repealing 2/ 10 (1943) P. 39 r\rt.6 , ,vl1ich was originally referred to herein as establisl1ing penalties for violation of this Article, and stating tl1at all regulations made under P. 39 sl1ould have effect as if made under P. 145), Pen. C. 16/Ex. l (1957) Arts. 354-355 (providing that violations of economic reg11lations shall be punishable in accorda11ce \Vitl1 tl1e principles of the Penal Code). '
Do11e at Addis Ababa tl:tis 29th day of April, 1952.
12/3 (1952) L. 168 * REGULATIONS ISSUED PURSUANT TO TI-IE FEDERAL REVENUE PROCLAMATION, 1952 T�ese _Regulatio?-s are issued by the Minister of }-=i'inance purst1ant to autl1ority vested 1n him by Article 4 of the Federal Revent1e Procla.1nation 1952 (No. 126 of 1952) CROSS REFERENCE Federal Revent1e Proclamation, 12/2 (1952) P. 126 Art. 4, 2 Co11sol. L. Et/1. 7.
1. These Regulations may be cited as the ''Tra11sit Trade and Transit Fees Regulations No. 1 of 1952''. 2. In these Regulations: "Director of Customs:' includes tl1e Senior C 11 sto 111s Qflicer at a11y Ct1ston1s . Station, Customs Sub-station, Post or Barrier. *INTRODUCTORY FOOTNOTE . JO. EJh . L 16/ex. 1 (1957). Pen. C. Consof. See amd. also 25/5 (1965) L. 310, 16 Imp/.
- 456-
Cusrot.1s,
IMPORT �ND EXPORT TAXES
16-9
''Goods i11 Tra11 sit'' i11clt1des any goods or n1erchandise that are bei11g n1oved or tr�nsp�rted. al�11g a11 approve? route �ro111 the point or port of entry into tl1e _ Etr of uop1a to a dest111,1t1011 ot1ts:de the En1pire of Ethiopia. Empire ''Appro:ed Route'' inclu�es all rot1tes tl1 at are approved a11d are prescribed _ . throt1gl1ot1t the En1p1re of Eth101J1a by the Mi11ister of Finance. ''Transit �ee'' inclt1des tl1e 011 e a11d half per-centt1n1 of tl1 e Id. caloren1 value of the goods 111 transit. ''G11arantee'' !nclt1 �es a casl1 deposit, a banker's guarantee or st1ch other form of guarantee that 1s sat1sfactory to tl1 e Director of Customs. 3. APPROVED TRANSIT ROUTE:,: (a) The rail\vay between Asn1ara and Massawa · ' (b) Tl1e rail\vay between As111ara and Agordat; (c) The mai11 road bet\vee11 Agordat and Tessenei via Barentt1 a11d A.icota and betV11een the Ethiopia11-St1da11 frontier and Tessenei, either tl1e Sudan Railway or tl1 e n1ain road vit Sabderat; (d) The rot1te ·by air betwee11 Ethicpia11 Civil Air1Jorts and any other airport beyond the frontiers of the Eopire of Ethiopia; (e) The coastal sea rot1te between the ports of Massawa and Assab; (f) The Tra11sit Trade Rot1tes agreed upo11 in the Transit Trade Agreement between the British Somaliland Protectorate a11 cl the En1pire of Ethiopia. 4. PERSONS ENTITLED TO ENGAGE IN TRANSIT TRADE: Persons or their at1thorized agents, wisl1i11g to engage i11 the transit trade sl1all apply for at1thority to do so fro111 the Di�ctor of C11stoms at the Custon1s Station concerned, and shall give to tl1e Director of Custon1s a guarantee by \Vay of a Baitlcer's guarantee, a de1Josit i11 cash, or st1cl1 other for1n of gt1arantee approved by tbe Director of Custon1s, of sucl1 an ar1ot111t as will afford adequate sect1rity for the payment of any fees, duties, costs, a11d expenses payable or which may beco1ne payable howsoever tinder these Regulatia1s. Such guarantee n1ay be expressecl to cover a series of transit operations or one such operation only, at the option of the applicant. 5. DURATION OF GUARANTEE: Tl1e guarantee referred to in the pre�eding paragraph shall . be binding upo11 the person givjog it and will remain in force t1ntil the Director of Customs .s�gnifies in writing to the person giving it, his satisfaction that the terms and cond1t1ons of the Proclamation, of these Regu]atio11s and any other Regulations made under the Proclamation have bee11 complied witl1 ia respect of: the transit of the �oods to which the said g1.1arantee \Vas intended to 1elate; a11d 1n tl!e event of the Director _of Customs not being satisfied by the evidence produced to him by the person authoriz ed to engage in tra11sit trade or l1is authorized age11t withi11 tl1ree (3) m ?nths of the date of the arrival of tl1e goods at the first port or place of �ntry into the Empire of Ethiopia, the Director of Ct1storns may order the payment 1n cash of the whole or part of the amount of suc h g11arantee, or may confiscate the whole or part of any such deposit of casl1 as referred to in ; the P :ecedii1g pa�agrapl1, as t � e case ma� be, without prejudice to any other penalties which may be imposed by virtue of Article 4 of the Proclfl1nation. - 451-
QoNSO.Ll JDATEI) LAWS ©1F �/il! H!lOPIA I
6. DO<CUMEITTA'"PlON AND PltOOEDURJE:
(a) Any person authorize d by t1he Director ?f Customs to e�1ga1ge in transit trade or the agent of �tich a person, wh1cl1 ?,erson or his �, gent as the . so requires 1 s hereinafter called . tlie dec1 ]aliant reqltesti'ng cotltext • , shal • l present transit facilities for goods through t he Einpire O f Et1.1• iopia to th.e Director of Ctistems at the port or pl,tce of entry of the good into the Empire of Bthiopit, within twenty-or1e (21) days the followin: documents:(i) three cof)ies o ·f the Transit Declaration dil!lly completed; (ii) the foreigner supplier'� iavoice iin or; igin�l, together with a true copy thereof for certification and retention by the Director of Ct1stoms; (iij) the manifest in triplicate i11 respect o·f eacl1 road vehjcle or railway waggon to be used in transporting, the goods from the port or place of entry into the Empire of Ethiopia to tl1e point of exit; and (iv) any other document relating to the goods the prodt1ction of whicl1 may be required by tl1e Director of Customs. (b) When two copies of the Trat1sit Declaration and two copies of the Man.i fest have bee11 issued to the declarant, together with the necessary docu ments authorizing the onward transit of the goods, eitl1er by road or rail, the declarant sh.all forthvvith despatcl1 the goods. (c) Goods in tra11sit sl1all 11ot be deSJ?atched. beyond the Customs Post on tl1e at1thorized rot1te at or n;!ar a fro11tier of tl1e Empire of Ethiopia until per1nissio11 in writing to do so, l1as bee11 endorsed on the ma11ifest a a. d transit declaration by the Director of Ct1stoms.
7. TRANSIT BY AIR LAND ROUTE OR LAND AIR ROUTE: I11 the case of goods arriving at an Ethiopia11 Civil Ajrport by air, declared to be ju tra11sit, tl1e declarant sl1all: (a) On the arrival of such goods prodt1ce then1 to the Director of Customs and declare by whicl1 rot1t0 the goods will be i11 tra11sit. (b) Foilow the doct1mentation an.d procedt1re as called for i11 the preceding paragraph. 11:1 tl1e c8:se of goods bei�1g imported into the En11Jire of Etl1iopia and declared to be 10 transit by land and air fron1 tl:ie Empire of Ethiopia the declarant shall: (a) On the arrival of such goo:Is produce tl1e111 to the Director of Ct1sto111s and declare by which rot1tethe good.s will be in tra11sit. (b) Follow the documentatio11 a11d procedt1re as called for in tl1e preceding paragraph. 8. SEALING: Th e applic�tio11 of seal? to packages ai1d vehicles for reventle sect1rity is i n the d1 absolute scret1on of the Director of Customs atld if so applied will be at the · o t c s �� tl1e declarant. When_ seals have been �?plied the declarant shall no t breal r perr o c ? �f to be broken the said seals exce·pt \V1t11 the previous IJermiss t re D th e of io n i c or 1s. ton Cus - 458 -
CusTo.rv1s, liv1PoR·r
.\ND
ExPoR1·
TAXES
16-9
9. SHORTAGES:
�he declarant sl1a�l �! all ti1nes be responsible for the safe custody of goods in transit a11d 110 _r �spo11?1b1�ty wl1atsoever shall devolve upo11 tl1e I1nperial Etl1iopian Customs Adn11n1strat1011 _111 �espect of' dru.11age, deterioration, or loss, sl1ffered or caused to stich goods whilst 111 tl1e ct1stody of tl1e Director of ctistoms. 10. WAREI-IOUSING: Wareho11si11g and storage cl1arges n1[y be levied by tl1e Director of Ct1sto 111s and for this p11rpose Transit Sl1eds and Ct1sto1n Posts are deemecl to be C11ston1. \Vareho11ses. 11. PAYMENT OF FEES AND CHARGES: per111ission 11stoms at a11y point Before is given to proceed by tl1e Director of C . during !he passage of .the goods i11 tra11si:, all outstanding fees a11d charges u1J to that point shall be paid by tl1e declara11t to the Director of C11ston1s on de111a11d. 12. MARKING OF GOODS: Tb.e declara11t shall cause packages ciJntaini11g goods in transit to bear marks and numbers to faci]jtate identificatio11 and to be distinctively marked with the word ''T.RANSIT' '. 13. EXENIPTION FROM PAYMENT OF TRANSIT FEES: The u11dermentioned goods are exempted from the JJayn1ent of tra11sit fees: (a) Personal a11d 11sed household effects whetl1er accompan.ied or 1111accom panied; (b) Goods consigned and addressed to perso11s entitled to be accorded diplomatic privileges or to Dep1rtme11ts of the Government of a country having a common la11d bo11ndary witl1 tl1e Empire of Etl1iopia providi11g that reciprocal treatment is accordecl the goods of tl1e Departments of the Government of the Empire of Ethiopia; {c) Passenger carrying vehicles accompanying ft traveller proceeding jn transit th.rough the Empire of 3tl1iopia; (d) Goods carried by air fro1n out,ide the Empire of Ethiopia to a Civil Air port which, having remained in the custody of tl1e Director of Customs at the Airport, are carried therefrom by air directly to a place outside the Empire of Ethiopia, or goods bei11g transhipped from a ship arriving from outside the En1pire of Ethiopi, at Assab or Massavva to a ship in the same _port proceedi11g to a desti11ation outside tl1e Empire of Etl1iopia. 14. Any person who contravenes the provisio11s of these Regulations shall be guilty of an offence a11d shall be liable on conviction to p11nish1ne11t in accordance with the provisions of the Penal Code. CONSOLIDA":'ION NOTE . Tmpd. amd. Pen. C. 16 /Ex. 1 (1957) Arts. 354-355 (prescribing P 1at punishment for all violations of provisions concerning imports and expo� ts shal� be 1n accordance �_•th the _ � enal Code, and thus impliedly amendi11g present Article which provided for purushment: in accordance \Vith 12/2 (1952) P. 126 Art. 4, 2 Co11sol. L. Et/1. 7).
Done ·at Addis Ababa this 26th day of September, 1952. - 459 -
16-10
CONSOLJDA'FED LAWS OF ETHIOPIA
25/5 (1965) L. 310 ))1
REGULATIONS ISSUED PURSUANT TO THE CUSTOMS PROCLAMATION, 1955 1. These Regulatio11s are issued by the Minister of Fina·11 ce pursua11t to autho. rity vested in him by A1·ticles 82 and 167 (e) of the Ct1stoms Procla1nation, 195S . 2. T·hese Regulatio11s may be cited as the ''Custon1s (Temporary Importation) Regulations, 1965.'' 3. The term ''Ta.riff'' as used in these Regulations means the Revised Iinport and Export Tariff published in Legal Notice No. 153 of 1951, as amended. CR:OSS REFERENCE Custoins Revised Import and Export Regulations, 10/8 (1951) L. 153, 16 Consol. L. Eth. 7.
4. Subject to the conditions specified in Articles 5 and 6 hereof the following goods may be imported temporarily into Ethiopia ,:vithout payment of import duty prescribed in the Tariff: (a) Professional articles and samples imported by foreign businessmen and commercial travellers. (b) Cameras, ftlrn and other photographic equipment, radio equipment, sound recording apparatus and other eq1tipn1e11t imported by foreign Press correspondents, 11ewsreel services, broadcasting and television • services. (c) Exhibits, stands and other goods in1ported by Foreign G·overnments, Tra.de organizations, commercial firms and other orga11izations for the pl1rpose of trade, edt1cational or cultural exhibitions. (d) Motor ,,eJlicles imported by bona fide travellers and to11rists in connec tion \\1ith tl1eir journey to or thro11gh Etl1iopia. (e) rviaterials, either in a processed or unprocessed state, whicl1 are import ed \Vholly or pri1narily for tl1e purpose of being further processed or rna1111factured in Etliiopia into products which are to be exported by the mant1facturer himself. 5. rfhe conditions of temporary importation witl1out payment of import d uty of goods s1Jecified i11 IJaragraphs (a) throt1gh (d) of Article 411ereof sl1all be as follo\vs: (a) In11Jorters shall s11bn1it declarations stating for \Vl1at p11rposes the good s are imported and shall 11ndertal(e to re-export the111 \Vithin a period not exceeding 6 months fron1 the date of i1n1Jortation. (b) If any of the goods imported. have not bee11 sho\vn to t11e satisfa ction of the Customs to �ave been re-exported from Etliiopia. witllin the period of 6 n1ontl1s, the importer sl1all, wl1etl1er demat1d has been n1ade by Ct1stoms o� not and not later tha11 15 days f ro111 the end of the sai d 6 :11011tl1s period, p�y all duties which shall be Ieviecl 011 the goods importe d 10 accordance with the Tariff. (c) The Ct1storns A11t_hority may req11ire the j 111porter to give sucl1 securi!\ ,vtl d rte impo as they may co11s1der necessary to e11sure that the goods "'INTRODUCTORY FOOTNOTE The headi�� of ��is Legal Not!ce in !he Negarit Gazeta gave t he year of the Procla.n1ation erroneously as 1965 . The Amharic version correctly reads ''1947'' E.C.
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CUSTOMS, IMPORT AN) EXPORT TAX.ES
16-10
------· -----::-� ---11ot b sol? or other\vise c1is
posed of i11 Ethiopia witl1011t payn1eut of d tity � and _ that } 11 a11y case w�ere th � goods are 11ot re-exported withi n tl1e specified �1n1e tl�e d11ty \.v1ll be paid 11ot later tba11 prescribecl i11 parag ra1)h (b) of tlus Article. 5 . Tl1e temporary i111po_rtation of tl1e r1aterials specified in pclragraph (e) of 6. . Article 4 l1ereof shall be subJect to tl1e follovi11g conditions: (a) N � manufactur�r or p�·ocesser of goods sl1all be allowed to i1nport n1a �er1als te �porar1ly_ t1�1t1J Ct1sto 111s De1)artn1e11t I1as granted 11in1, i11 writ ing, specific perm1ss1011 to do so. St1cl1 written permissio11 shall 011Jy be granted where the n1a11t1factt1r�r or processer can show: (i) 1�hat the �1nporte ? materials are to be used in the prodt1ctio11 of goods which are intended to be exported abroad, and (ii) That materials of adeq11ate substitt1tes tl1erefore ' of Ethiopian orig....i11 ' for tl1e n1an11factt1re or processi11g i11volved, are 11ot available. (b) A11y mat1ufactt1rer or l)rocesser who l1as bee11 granted sucl1 writte11 permission shall establisl1 a 11 approvecl licensed wareho11se i11 accord a11ce \vith the C11ston1s Proclamation 1955, and shall 11ndertake to pay all prescribed fees a11d charges in co11nectio11 therewith. (c) Materials which have been approved for temporary i1nportation shall, immediately on their release fro1n Custo1ns, be re111oved and lodged i11 such licensed wareho11se. (d) Such materials shall be removed from the licensed \,1arel1ot1se for 11se i11 manufacturing or processing 0111� 1111der the s11pervision of, and in the presence of th.e Custon1s official and only after all d11ty, taxes, fees and charges have been paid, except in the circ11mstances set out in paragraph (g) below.. (e) The mant1facturer or processer shall keep s11ch records of imported materials, and of goods prodt1ced therefron1, as tl1e C11stoms may re quire, and such records sl1all re regularly 1naintained, and sl1all be available for inspection and chec·<ing by tl1e Ct1stoms at all times. The Customs shall also have tl1e right to inspect and make such checks as they consider necessary on the 1nanufacturing o� processing operations. (f ) Whenever goods ma11ufactured or processed from materials temporarily imported are exported abroad, the ma1111facturer or processer shall prod11ce to the Customs doct1me.1tary evidence of such export, includ ing should the Customs so require, a certificate fron1 the Customs or other a11thorities at the port or place of destination that the goods have bee11 received and cleared for co.1s11mption in such port or place. The mantlfacturer or processer s11all, at the same time, produce a ce� tified statement of the q11a11tity of s11ch goods exported and the quantity of the imported materials contained therein. At the discretio11 of the Ct1s toms said details of goods exported may be accepted to cover all exports mad� d·uring st1ch periods of time as they consider suitable. (g) When the C11stoms are satisfied that tl1e documents so produced are true and correct, they shall allo� the �anufact11rer or processer to re move fron1 the lice11sed warehou;e, without the payment of d11ty and taxes, such quantity of imported materials of the same kind and quality - 461 -
ltfi-410.11 as bhose ex,iport�d tih.e eaity and taX!es om wWGb is eqiu.iiiValent t0 the amo 0, f dn:tty aincl taxes waic'h w&s paid on ul,e mater1a1ls �omtaiiied in go©.ds sl'l©Wn t10 have beem eXJJ>Ot'ted.
��!
CROSS REFERENOB
Ctistoms Pr0clamation, 14/7 (195 5) P. 145, 16 Co11sol. L. Bth. 1.
7. These ReguEaitio-ns shali ©ome into force on tke aaite of tmeir publication in nhe Negari.:t Gazeta. Done at Addis Ababa, this 18th day of Novemoer,1965.
12/3 (1952) L. 169*
REGULATIONS ISSUED PURSUANT TO 1'HE CUSTOMS AND EXPORT DUTIES PROCLAMATION, 1943 T11ese Regulations are issued by the Mi1rister of Fit1a11ce purst1ant to authority vested i11 l1in1 by Article 9 of tl1e C11stoms and Ex1)ort D·uties Proclamatio11 (Pro clamation No. 39 of 1943). CONSOLIDATION NOTE The Customs and Export Duties Procla111ation, 2/10 (1943) P. 39 Art. 9, under which these Regulations ,vere issued, ,vas repea]ed by 14/7 (1955) P. 145 Art. 172, 16 Co11so/. L. Et/1. 1-172, but ,vitl1out effect on tl1e validity of these Regulations . •
RegulaLegal Notice may be cited a, s the ''Ct1ston1s 1. This Working Hours . t1ons, 195?'' · _ . 2. Customs Hours and Da)1s for Wol'king: Ca,rgo a11d/or p,1ssengers n1ay be loaded and/or discharged on all days. St1ndays and Holidays excepted, fron1 sunrise to s11nset (i.e. 6. a.m. to 6. p.1n.). Special permissio11 to work 011 St111days or Holi days, and/or fro1n s11nset to sunrise on ordinary days, may be granted on special applicatio11 and on the isst1e by tl1e Ct1stoms, of a S_pecial Working Permit: Night, St1nday or I-Iolida)' Working Permit. The C11stoms Office Ho11rs, i.e. the botirs d.11ring wl1 ich tl1e C11stom House is open to tl1e public for t-he transaction of b11si11ess, sl1all be notified by a. Custo�is Notificatio11 issued by the Director Ger1eral of C t1 stoms a11d exl,ibited on a Notice Board at each Customs Station. 3. Customs Holidays: The list of l10Jidays as clecreed by tl1e Gover111neot shall be observed by t11e Customs Administrc1tio11. • • • 4. Fees for Working Cargo:_ The fees to be collected for Special perm1�sion to work ca.rgo on Sundays, Holidays or between st111set a11 ct SLltlrise 011 ordinary days are as follows: *INTRODUCTORY FOOTNOTE I,npl. amd. 14/1 (1955) P. 145, Pen. C. 16 Ex. 1 ( J 957).
- 462-
Cus-i·oMs, Iz,.1roR·r A:�o ExPoR·r TAXES From 6 p.m. to midnight 011 ordit1ari' days From 6 p.n1. to 6 a.m. 011 ordi11ary days Fro1n 6 a.m. to 6 p-�· on S1111days and flolidays From 6 p.m. to Illld111ght 011 S1111ciays a11cl Holidays From midnight to 6 a.n1. tl1e sa111e fee as from 6 p.111. to 6 a.n1. is to be cl1arged.
16-11 Etl1. $ 25.00 75.00 75.00 100.00
5. Fees for Working Passengers: The fees to be collected for Special permis . sion to work passengers on S1111days or I-Ioiclays, or betwee11 s1111set and s11nrise 01J ordinary days are as follows:Land�ng or embar�ng bet\vee11 6 p.01. a11j 6 a.m. or1 ordinary days Etl1.$ 10.00 Landing or en1bar.k111g bet\vee11 6 p.m. and 111idnigl1t 011 S1111days a11d Holidays Eth.$ 20.00 6. Special Permits when to be a�plied for: Special Permits are to be applied _ for from the Director of C11stoms during office ]1011rs, a11d are to be paid for at the time of application \Vl1ether s11bseq11e11tly used or 11ot. The age11t sbo11lcl state clearly on his application, ,vhetl1er tl1e permit i s req11ired for working cargo, working cargo and passengers, or disen1bark.ing or embarkii1g passengers 011ly. If required for ,vork ing passengers only, tl1e agent n1ust state t11e t111111ber of passengers concerned. Should, however, Ct1rfew ho11rs be i11 operation at a11y port, the working of m11st cease con1pletely t\VO l1ours before t11e stated ti111e. cargo and/or passengers • The age11t is responsible for tl1e delivery of any Special Working Permjt on board his vessel. Sucl1 pern1its are to be made available at any time for the il1spectio11 of the Customs Officer 011 dt1ty 011 board the vessel, a11d to a11y Ct1stoms official visiting the vessel. On con1pletion of the work such pernits are to be signed by a responsible officer of the vessel, givjng the time and date tl1at \>vork comme11ced and the time and date that work ceased or was con1ple:ed. After \vl1ich, sucl1 permits n1ust be st1rrendered to the Custon1s Officer 011 dt1t1 on board the vessel, or to tl1e vjsiting officer, \Vho will certify the times a11d sign the pern1it. All permits iss11ed by the Customs remain tl1e property of the C11stoms and must be surrendered to the Cus toms Officer 011 d11ty on board tl1e vessel on completio11 of the work and/or 011 clearance. 7. Special Permits: Vessels exe1npt fr(lll Payment of Fees: Vessels in distress, vessels working Government stores or cargo, and vessels shipping duty paid bunker coal or oil are exempt from tJ1e payment of ,vorking fees. 8. Any person who contrave11es the 1:rovisio11s of these Regulations sl1all be guilty of an offence and shall be liable on :;011viction to punishment in accordance with the provisions of the Penal Code. CONSOLIDAT:ON NOTE Imp/. an1d. 14/7 (1955) P. 145 Art. 172, !6 Consol.1:,, ]!th. 1 (re�ealing 2/_10 (]943) P. 3_9 t\rt.6, which was originally referred to l1ere1n ::s establ1sh1ng penalties for v1olation_ of this Article, and stating that all regulations made :Jnder P. 39 shot1ld have effect as if ma�e under P. 14�), Pen. C. 16/Ex. J (1957) Arts. 35:J-355 (pro_viding that violations of economic _ regulations shall be punishable in accordance \.\>ttl1 the pr1netples of the Penal Code)..
C .F. No. ····· ······ ······· ····· ·· ····· ····· ·········· · ···· ·· ·········· ····· ·· ··· ······· �···· Perm.it No. ·························••H••········································· Date · ····················· ······ ········· ··············· ······· ··�······· ·········································· ··········· ····· ·········· - 463-
AiNJID> P· A � . iENGER� SPECI... �AL WORK lBAOO PERMIT TO AGIE . . . . . . . . . . . . . . . . . . . . . . . .... . . .. . . - . . . . . .. . .. . . . . . . ·· · ···•·· . . ·· · ·· · · . . . · · •. ········•••···•······•·•••·••• •·•••··•••·•····..·········••'"-••t • . . .. . . . . . .. .. . ... . . . . ... . ·· ··
...... .. . • · ·••-•· · · .. .. · · . Agent .. .. . . .. ...... . .. . .. . •••••••• •• ••••••••••••••••••••••••••••••• ••••••. •••••• ... . ..••••.••••••• . Vessel ..•••••••••• .. .. ••••••••••••••••••••••••--••••••••·••••••••••·•••• • •• •••• ••••••••• .•••••• • . •••••••. •••••••••••••••••••• · •"••• . . . · · · . . · · . . . . . . . . . . . . · . . · · ···· � ·· .. ········ . ····· ······· ····· · ········ ······ · · ···· · . . .. . ... ... . . . . . . . . Berthed at · .... . ... . . . . - . . . Time, D·a te ;;; . ..•.......... ..... ... .... . . . ............ . . .... .. ..... ... .. . ................... ...., ..•.......••..• ..•..··............. ... . . . .·.······ . . . ....... ...················ Fee Paid. Bth. $ ..... .. ..... . ........... .. ... .. ...•• .... .. ................ . .. . . . .. . . . . . . . . . .. . . . .. . ... . . ... . .. .. .. . •·• . . ······ ... .. . . . . . ... . . .. .. .. .. ............ .... Permi\t iie•tll:lined by . .... ...... . .... ..... .. _... .. . l&�c<ri·�e.a the a1b0ve fe.e ·--� · ·�
· ·· ��k· ��·��·��;·���i·· . .. ... . . . . .. . . . . •·• • • · •· ·· ··· ··· · · ·. ·· · · ········ ··· ··· · · · ······ . .•. •. . . . .. .: : :: : : : : : : :
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. . . ......... . . . .. ... .... .... . . . .. .. . ....... .......... .... ♦•••• '.
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•••••••••••••••• ••• •••••l••••••••••••••••••••••........• ••• ••••••••••..••o..•••••••••••·•••••••..•••••••••••••••••••••••'°•••••• ..•••••••••• ..••••••�••••••••••••••oo•oo•••--••u •
Aecoumtant.
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Permit No. ··············································· ·····....................,. . ... . . . . House. . Ct.1stom . . . .. . . ······ .. .... . · . .. ... .. ·············�·· . . · .. . ... · · . . .... . ············ . . ················· . ... ······ ... ····· .. . . ............ . · .. . . . . . . ... . . ... ......... . ... . ........ ································ ..•• •..•... . . . . . . . .. . . · ... . . . . . . . . . .. .. . . ... .. .. .. . . . . . .... . . . . .. . .. . . . . . . . . . .. ....... ... ...._, Date . . C F No.
··········· ···········································································�···
SPECIAL WORKING PERMIT . . . . .. . ..... . .. . . . .. .. . . .. ... ..... ... . .. . .... . . .. . .. . . .. ... . . . . . ... .. .. . .. .. ... . . ... . ..... .. ... .. . .. . . . . . ... . . . . . . . . ... . .. . .. .. . .. . . . . . ..... .. . .. .. . . . . .. . . . . . . . . . . . . . . . . . . . . ............... ,. . ..... .. ... .. .... .. ... . .. . .. ........ .. . . ... .. .. . . . . .. . .. . . '"...... . . ... . ... ..... ... ...... ... ....... .............. . . Agent ·•··•········· .. . . ..,. ... . . . . .... . . . . . .... .. . . .. ... . .. . .. .. .... ... .. .... . . . .... . .... . . .. . . . . . . . . . . . .. . ..... .. .. . ..... . . .. . .. .... .. . .. ... .. .. .... . . . . . . . . ..... . .... .. ..... . ... . ........ "'. .. . . ..... . '. .... ... . Vessel . . .. . . . .. .... . . ...... . ... .. .. . . .. . . . .. . . .. . . . ... .. . . . . . . .. . . . . .. . . .. . . . . Berthed at .... ...... . . .. . . Working .of Customs Hours. . Is l1ereby . worl< Cargo ot1t . gra11ted permission to . . .... . . ... .. .. .. .... ...... ... . .... . .... . ..... . . .. . .. .. . . .. . ... .. ... . .. .. . .. . . . . . .. . . . . . ......... . . . . .. . . . . . . . . . . . . . . . . . . . ... . ... .. .... ..... . . ... . .. . . . ... .. .... From . .. . .. .. . ... ... . . ... ... ........ .. . . .... .......... . ... ..... .. . .... ... . .. .... ... ..... .... .... .. .... to. .. ,. ... ...... ...... ... . ....... . . . . . ..... . . . . . . . . . . On the . . . . . . ...... .' ... . . . ...... .. ..... ...... ...... . .... . ...... . . . . .. ... .. ... .. ..... . .... .. ...... . . ..... ...... . .... ..... .. . ........ ... .... . .... .... . ... ..... . . .. .. . . .. . . .... . . .. .. .... . . . ... . ... . .. . . . . ...... .. . . . .. . . ... .. . . . . .. .. . . . .. . . . . . .. . . .. . .. . . Fee Paid Eth. $ s . �
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.
. .....Ct1stoms Director .. .. ...... of . . ........ .. ... ... ... ..... . ... .. . . . .... .. ... ... . ...... . . . ... .. . . ... . . .. . . .. ... .. .... . . . . ... .. . . . . . ........ .. . . Time a11d date work co111me11ced Time and date \"1i1ork stopped ····························································--··················· ··············· ....................................... ... . '
······ ··········· · ··········· •························ ·· ········································
Ct1sto111s Office N.B. This Special Permit n1t1st be l1anded to tl1e Ct1sto1ns Officer 011 board . . . . . . . . . .. . tl1 e vessel \vhe11 .. ..... . work has stopped. .. . .. .. .... . . ..... . ... ... . . .. ... . . . . . .. . . . . . . . . . ...... . . .. . . . . . . .. . . .. . . . . . . . . . . . . ... .... . . . . . . . . . . .. . .. . . . . .. . . . Permit C.F. No. .. . . . . ........................ . ....... ..... . No. . . . . ... . . . . . . . . . . . . . . . .Statio11 .. . . . .. .. . . . . . . . ... .. ... . . . . . . . .. .. . . . . . . . . . . . . . . . . . .... .. .. . .. . ... . . . . . ... .. . . . . . . . . . . .. . . .. .. .. ... .... . C11sto1ns . .. . . ' . . . . .. . . . . ... . ... . . . . . . . . :Date .. . . . . . . . . . . .. .. . .. . . ,.
... ............... . . . . . ............... . . . . .............. . . . . . .. . ....... ................. ..............
•
•
•
. ••••••• ....•... • . . • ... .' .. ....>. ., '
· BAG-GAGE SPECIAL PERMIT TO WORK PASSENGERS ANo .... ... .... . ... .. .... . .... ..... ..... . . . . . . . Agent . . . . . . ... . . .. . . . ...... .... .. . . ... ... ........ .. . .. . . . . . . .• .. . .. Vessel ··············· ··...· ... ., . . , .. . Berthed at . . .. . sengers \>i1itl1 ls hereby . .. . . gran perm ted . .. .... . . k pas ... . .. .. wor . . .. g e . Bag thei . . ga r .. . . . . ..... issio..11... to ... . . .. . . . . . .. . . . . . . .. . . .... .. . . . .. . . . . .. .... . . ......... . . . . . . . ..... .. . .. ..... . . . . . . .. . . .. .. . ... . ... ........ ... .. . ... '... ... ... ... ..'. . ...... ... . ...... . . .. . . ... .. . ... .. .... . . . . . . to Fron1 . . . . ' .... . . ...... . . . .. . . . . . . . . . '. . . . . .. . . . . . . . . . . ' . .. .. . . . .. . . . . . . . . . .. . . . . . . . . ....... . . . ..................... . . . . .. .. ......... .... . .. .... . ..... ....... . . .. . . . .. . .. . . . .. . . . .. .. .. . . . ... . . .. ..... .. .. .. . . ... .... 011 tl1e . . . . .. . . . . . . . . . . . .. .. . . . . . . �· . . . . . . . . . . ... . . . .. .. . . ... . .. .. . . .. .. . . . . . .. . . . . . . .. . . . . . . . . ' ... ' .. ... . .. Director . of. Ct1stoms. . . . . .. . . . ... . . ..... .. ' . .. ...... . . . . .. . . . .... . . . . .. . . . . . .... . . . . . . . .. . . .... . .. . . ..... .. .. . .. .. ..... . . . .. . . . . . . ... .. .. . Time, Date work comme11ced . . . . . . .. . . . . . . . ..�··. .. . . . . . . ' . pleted Time, Date work com . ......... ........ . . . . . . ......�•.· .... .. .. . ... . . ........ . . .. ........ . .. .... . . . .. ........ .. . . . . .... . ....... . . ........ ........ . . ........ ........ . ... .. . . . ... ... ... .. .. .... .. . ... ... ....... .. ... ..... .............. . ....... . .. ... . . .. ... . . . .. . . . .. . . ... . . . . ' . . Ships Officer. ••••••••••••••••••••••••••• ..•••••••••••••••••••••••••••••..•••••••••••••• ..•••••••••..••••••••• .. •••••••••••••••••••I••••-- ■-•••••••••••••--••••••••••••••••• •••••••••• .. ••••"• ....
........... . . . . . . . ........... . . .... . . . . . . ......... . . ..................... .. ... .. .u
••• ••• • •• • • • • ••••• •••••• •••.. ♦ ... ... ..... .. . ... .. . .. . .. . . . . . . . .. ...... ..... .
..
•••• ""
•
.... ... .. .. .... ... ....... . . .. .. . . . . .... .. .. . ... ........ .......... ..... . ... ... ... .. . ... ' .
'
..... .
' " o••• .,.,
'
'
'
- 464
-
16-11,12
CUSTO�lS, IMPORT AN) EXPORT TAXES
Time, Date, ,vork commenced Time, Date, ,vork con1pleted.
·
·······················•··..······················......................,..........................................................
...................................: ..... ................... .······•··· ··································· ························ · ................................................................................... ........................... .. . . ........... . ............ '........ . Ct1stoms Officer. N.B. · This Special Permit 111ust be ha11ded to the Custo 111s Officer on board when tl1e ve�sel ba s completed the discl1arge/loadi11g of all Passengers with th eir · · · baggage. '
Done at Addis Ababa this 2.6tl1 _day o� Septe111ber, 1952. 23/7 (1964) L. 280 REGULATIONS ISSUED PURSUANf TO THE CUSTOMS IMPORT AND EXPORT DUTIES PROCLAMATJON, 1943 1. These Reg11lations are issued by the Minister of Finance p11rsuant to a11thority vested in l1im by Article 5 (a) of the C11stoms In1port and Export Duties Proclamation, (Proclamation No. 39 of·1943). 2. This Regulation may be cited as the ,:coffee Surtax Regt1lation of 1964''. 3. In this Regulation ''Tariff'' n1eans the Revised Import and Export Tariff IJUblish ed·under Legal Notice No. 153 of 1951 as amended. CROSS REFERENCE Customs Revised ln1port and Export Regulati,)ns, 10/8 (1951J L. 153, 16 Consol. L. Eth. 1.
4. There shall be charged, levied and colleited, a Surtax ·as defined 11nder Article 5 hereof. on all coffee exported fro.in Ethiopia, based on the average of the price quo tation on the l�e\v York coffee excl1ange for coffee Santos No. 4, F.O.B. New York (Trade) at the close of four preceedi11g we!ks to pe applied during tl1e followi11g twenty-eight days. · 5. The rate of S11rtax shall be as follows: '
.
U.S. cc11t per lb.
30 31 32 33 34 35 36 37· 38 39
Costoms Duty per 100 kgs. (according to the Legal St1rt: ax per Notice No. 222 of 1959) 100 kgs.
15.00 ·15.0(}15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00
•
'
;
1.00 2.00 3.00 4.00 5.00 . 6.00 7.00 8.00 9.00 10.00
.'
u·.s. 'cent '
per lb.
40 41 ' 42 43 44 . '• 45 . . � 46 47 48 49 50
Costoms Duty per 100. kgs. (according to the Legal . Notice Surtax per No. 222 of 1959) 100 kgs.
'
.
' '
...
15.00 ·15.00 15.00 . 15.00 15.00 15.00 15.00 15.00 . 15.00 15.00 -15.00
11.00 12.00 13.00 14.00 15.00 16;00 17.00 18.00 19.00 20.00 21.00
• CROSS REFERENCE Revised Import and Export Tariff (Atpendmen 1), 19/1 (1959)L. 222, 16 Consol.L.Erh. 7-432.
- 465-
1.-12.13
CoNSOLIDN:liED LAWS OF b'PHI0Pl:A
6. Th.e Assistant �nister of �ustox:ns shall notify the �uStoms Station,s by tele gram of the change 10 coffee prices and of the Surtax that 1s to be chargecl.. 7. In the case of ''forward sales'' t1:e merchants have the right to register th at the Head Office of the Customs Administratioa and to p_ay at. the same tim e Surtax according to the rate chargeatle on the day of registration. However ;: if a force of into these '•forward sale'' was made before the coming ; Regulation th Surtax is payable at the rate corresponding to the date of the ''forward sale. '' ' e 8. A Surtax Paid Receipt -will be issued to t�e exporter for presentation at the Customs Station throu.gh which the nerchan<i1se will be exported. !he Customs Export Duty and the Transaction Tru: of tw<:> p�r cent ad valorem w1ll be pay able at the Customs Station where the merchandise 1s declared for export. T'he Surtax receipt will be valia for a pecioa o·f one lilu1nd1rea and twenty days only from the date of issue. If the merchaadise is exported after this period and in the meantime the rate of Surtax is increased, the exporter wil1 pay the difference between the increased Surtax and the Surtax that has actually been paid. No reft1nd of Surtax once paid will be made. 9. If no Surtax is ch.argeable at the .time of registration of a ''forward sale'' a certificate of Registration will be issued to the exporter for the same purposes and under the same conditions as mentioned in Article 8 above. The Assistant Minister of Customs can refuse to register a ''forward sale'' if no evidence such as a contract, a telegram or letter co11firming the ''forward sale" is provided. 10. The registration of a ''forward sale'' for the purpose of assessment of the Sur tax should take place \vitl1in fourteen days from the elate on which the ''forward sale'' has been contracted, or within fourtee11 days from tl1e date of the coming into force of tl1ese Regulations, if the ''forward sale'' ,,,as made before the coming ir1to force of these Regulations. 11. In the case of non-registration, the Surtax is payable according to the rate chargeable on the day of exportation. 12. These Regulations shall co1ne into force 11pon tl1e date of tl1eir publicatio n in the Negarit Gazeta. D011e
at Addis Ababa this 15th day of Janl1ary, 1964. 27 /2 �1967) L. 330 REGULATIONS ISSUED PURSUANT TO THE NATIONAL COFFEE EOARD PROCLA1\1ATION, 1961.
5t rY Ind and u 1. These Regulations are issued by tl1e Mii1ister of' Con1n1erce afrl _B e o Coffe pursuant t_o authority vested in_ him · oy Article 5 (1) of' tl1e National th with nce 1961· (Proclan�at1on No. 178 of 1961) aild in accorda Proclamat1on_ � reco��endat1ons of the National Cofee Board and with th e consent of the Counci of M1n1sters. e s 2. These Regulations may be cited as t11 e ,, National Coffee Board Ce s � t egal ( c The National 1961 1967':. Coffee L No i e .lations, Board lations, Cess Regt gu i No. 242, 1961) 1s hereby repealed ani replaced by these Regulations.
- 466 -
---------------· --:-:=--�� 3. There is l1ereby in1posed o CUSTOMS, IMPORT ,\ND EXPORT TAXES
16-13,14
n all Etl1iopian-grown coffee exported fron1 Etl1io. a ces at th _ s e rate of two Ethiopian dollars (Eth.$ 2.00) per qtiir1tal. 1J1a _ 4. This cess shall be paid by tl1� exporter to tl1e Ct1stoms Departn1e11t at the . � 1me o.f export, ai1d shall be dealt ,v1th a11d accounted for iu the man11er set fortl1 1n Articles 5 (1), 6 (1) a11d 6 (2) of the Nati)nal Coffee Board Proclamatio11, 1961 . 5. Th� se Regt1lations sl1all con1e into force 011 the elate of tl1eir pt1blicatio11 in the Negar1t Gazeta. Done at Addis Ababa this 13th day of October, 1967. 21/8 (1962) L. 252 REGULATIONS ISSUED PURSUANT TO 1'BF: CUSTOMS AND EXPORT DUTIES PROCLAMATION, 1943 I. Th.ese Reg�lations _ �re issued by the Minister of Fina11ce, after tl1eir a1)proval by the Council of M1n1sters, pursuant to Article 5 (b) of the Customs and Export Duties Proclamation, 1943, as amended. II. These Reg·ula tions may be cited as the ''Diplo1natic and Consular Privileges Regulations, 1962.''
111. DEFINITIONS. As used in ·these Regt1lations, the terms set forth below shall have the n1ea 11i11gs i11dicated: (a) ''customs duties'' - all duties an:l taxes levied or imposed tinder the Customs an.d Export Duties Proclamation, 1943, as amended; (b) ''diplomatic a11d co1 1sular missions''- missio11s n1aintained by foreign governments in tl1e Empire of Ethilpia, · but excluding n1issions \vhich are headed by a person holdi11g only an honorary appointment; (c) ''d.iplon1atic officers''-· ambassadors, ministers, perma11ent charge d'af faires, counsellors, first, second ani third secretaries, attaches; (d) ''Consular officers''- co11suls-ge�ral, consuls, vice-consuls; (e) ''family'' - the ·spot1se a11d children under eighteen (I 8) years of age of the perso11 concerned; (f) ''goods i 1nported''- goods, equipme11t, supplies and material imported directly from abroad; (g) ''head mission'' - any ambassado1, minister, permanent charge d'afaf ires, · consul general or const1 J, who is the senior representative designated by l1is government i 11 the miss.ion to whic:1 he is attached; (h) f urniture and furnishings'' - goods imported for tl1e furnishing of the living quarters of the person concerned; (i) ''employees of diplomatic and co?s�lar missions'.' - all personne_l emplo� ed by diplomatic and consular m1ss1ons who are not classed as d1plon1at1c or consular officers; U) ''period of first arrival at post'' - a period of six �6) °:1onths .co�menci11g upon the date on which the perso11 concerned arrives 1n Eth1op1a to take up his dt1ties; -- 467 -
16-14
•
t (k) '' f>ersomal baggage'' - b:ood 1ug. ga�e eli· � diier ltuggarge· _accompatyiin g a @ en family t wy UF> 11J 1 1Bto or depart diplo'ttlaitic @r c@llSulaF officer and his ure fFom �he Empire of Ethiopia; (1� ''personal use'' - t1se by the person coacerne.ci or by his famiily. • •
JV. CONDITIONS l..JFQN WHICM lRIV'IL�G�S AU GRANTED. • A. All privileges grantecl he·re1.:1nder are accorded up?� the basi_s of Fecipr0cit y. In am:y case in which reci1pFocity is not gnamitem., �he M1n1s;try, of Finan·ee sh�ll take appropriate action to limiit pritVileges accor:ded to those granted by the foreign government concerned. B.
O·nly persons who: (1) are not n.ationals ef t?he Empire of Ethiopia• ; (2) are permanent employees of ohe sending state, o,r, if noit such; were not ordinarily resident within tb.e En1pii·e of Ethiopia at tl1e time of recruitment; and . . ( 3) are not engaged in any other profession or oc�upation within the Empire of Ethiopia; . . shall e11joy the privileges gra11ted l 1ereb1. • .1
•
CONSOLIDATION NOTE The Amharic version of Paragrapl1 (3) reads "do not l1ave any kind of livelihood work within tl1e Empire of Etlliopia''.
V. EXEMPTION FROM CUST01v1S DUTIES·.
'
A. S11bject to all of the othei: provisions of _these Regt1lation_s, the following ex emptions from customs dt1ties are hereby gr·anted to tl1e missions ) officers and em p loyees indicated: l. Class I - diplomatic and const1l ar missions: all goods, i11cludi1ig motor vehicl es, imported for the official 11se tl1ereof; · · 2. Class II - diplomatic officers· : furniture, furnishings and goods, including motor vehicles, imported at any tii:;i1e for their persona l use; 3. Class III - cons11lar officers: ft1rniture, furnisl1ings and motor vehicles in� ported within the period of first arrival •.at post for their .. , personal use. · ly app shall V g· r anted purs11ant to paragraph ,\ o.f this Article B. The exemptions and ma�c diplo to p11rchases made from diplomatic and co11s11lar n:ussion.s apd co11sular officers by persons who themselves enjoy tbe right to in1port articles so p11rcbased free of c11stoms duties. VI. LIMITATIONS UPON THE EXEMPTIONS G·RANTED .HEREBY th g i Nothing contained in these Reg1.1latio11 ·shall be constri.ied as authoriz n .1 e impor!ation into or �xportati�11 �rom t�1e_ Empire of Ethiopia of articles the 11 e e y an export�t1on of wh�ch 1s o� � granting I11Por ta pro�itbited rtat1on by law, or as p� p 1 th to with all requirements respect � ro imposed by la,v with f�om compliance_ t1on or exportation of certain types of articles. - 468 -
!�
CUSTOMS, :JMPORT Al�D- EXPORT·_TAXES
16-14
VII: SPECIAL -PROVISIONS CONGER>TING MOTOR· VEHICLES. �6 l !mitat A'. 1:'hei•e, s_ hall ion llpon the i�portation of mot�r vehicles for tl1e ' offic1�l -�s_e · of ' d1plomat1c and consular n1i;sions or for tl1e personal 11se of heads of m1ss1on•. . . . . B. All other � iplomatic a11d co11s11la� offi:, ers shall be authorized to import one (1) �otor vehicle free �f c�stoms du ties every tl1ree (3) years; provided, however, tl1at 1f, before tl1� exp:rat1on of said 'three· (3) year period, said n1otor vehicle is proved to the satisfaction of -the Customs Administration to l1ave been seriously damaged, another motor vel1icle may be irr,ported free of customs duty in its place. C. Custon1s d11ties at the rate then prevailing shall be paid by the seller ,vith re spect to any__ � otor vehi�le �rigiqally imJ)orted free of c11stoms d11ties upon the transfer or delivery of said motor vehicle :o a perso11 who does not himself enjoy t�e right to. im�?!t � � ot�� vehicl� free of c�stoms d�ties or who, if he enjoys said r1gl1t, has exercised said right during the preceding three (3) year period.
?e
, CONSOLIDA1ION NOTE : In the Amharic version, it clearly states that tl1e custo1ns duties to be paid are the customs duties prevailing at the time of the importation of the vehicle.
. •' VIII. EXEMPTION FROM INSPECTIO� The Director of Customs shall take appropriate meas11res to exempt from ct1stoms inspection goods imported for the official use of a diplomatic mission as well as the personal baggage and other goods imported or exported by diplomatic officers and accompanying family entering into or departi11g from the Empire of Ethiopia at any time. However, the right is reserved to make periodic or spot cl1ecks of such goods from time to time without advance notice. ,
IX. FORlvIALITIES WITH RESPECT ro CUSTOMS DECLARATIONS A. All declarations with respect to goods imported for the official use of a diplomatic or consular mission shall b e signed by the head of mission or acting head thereof. B. All declarations with respect to goods imported for the personal use of diplo matic and consular officers and employees of diplomatic and consular missions shall be made 011t in the name of the perso1 for "'hose use s11ch goods are intended, and, if imported for the use of a person other than the head of mission, shall be cot1ntersigned by the head of mission. C. All other formalities required by the Customs Administration in con11ection \.Vith the customs clearance of goods imp0rted or exported shall be complied with by the mission or the person concerned, as the case may be. X. CUSTOMS PAYABLE UPON RESALE OF GOODS IMPORTED FREE OF DUTY A. Customs duties at the rate then prevailing, in accordance with the provisions of Article 83 of the Customs Proclamatior, 1955, shall be paid with respect to any goods imported into the Empire of Ethiopia free of cust�ms dutie� which a�e sold or otherwise disposed of to any person vho does not himself enJoy t �e right to import such goods free of customs dutie�, if s11ch goods are sold or disposed of within three (3) years of their importation. B. Each diplomatic and consular mission :;hall exercise a�minis�rative control over the dispositioi1 of articles imported free ,)f customs duties which are sold under - 469-
lt6-14
eoncl1tio•n,s w1hwb Fender them I, ia.bte tCl> 1he f)ai�enit ef_ eas_t0�s duties as sp , ,,ecif•" d in pa�aigraph .A of ruis Article X, an,<li to ins�re th.a t s� 1d du , ,t1es_ are pa�cl, or if ;: of smd articles are sold to amy person w�o � lmself e� eys t�e r1gh,t to 1mp0rrt sue _ , t of wh1e.h said go-ods free c,f 011stoms du1ties, perso.n 1s a memb that 1he 111'1ss10n is n?�fiecl in order that it may assume administrative comtrol over the fart her di:� pos1t1on the reof.
oaoas
REFiEJWNCE Oastoms �noeJamatien, 14/7 (1QS§' P.145 Atrit. 83, 16 fJonsoJ. L. Bth. 1-83.
XI. 8.COP� OF Rlj0U1bA'fJtO)NS
�ese Regulations, ilJil the a�se11ce �f a bjlateral agreen_ie�t or tr� aty provid ing otb.�rw1se, shall a11>ply to all d1pl0inat1c aad consular nu.ss1ons, diplomatic and consular officers and employees of dJplomatic and consular missions in the Bmmpire of Ethiopia. XII. These Regulations shall come into force 011 the date of their publication in the Negarit Gaze ta. D011e
at Addis Ababa this 29t� day of January, 1962.
- 470 -
17-1 ------------�--
Section 17 TAXES OTHER THAN CUSTOMS A-Cattle Tax 14/1 (1954) P. 142* A PROCLAMATION TO PROVIDE FOR CA'l*l'LE TAX CONQUERING LION OF THE TRIBE OF JUDAH HAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETHIOPIA WHEREAS, We consider it necessary 10 ensure equality of taxation as between Ou� .s?bjects who obtain their livelihood from agricultural pursuits and pastoral act1v1t1es; and WHEREAS, We recognize that while farmers pay tithe and land tax it is but appropriate that cattle breeders should pay cattle tax; In accordance with Article 34 of Our Constitution, We approve the resolutions of Our Senate and the Chamber of Dept1tiesand We accordingly proclaim as follows: CONSOLIDA1ION NOTE The Constitution referred to here is the Conslitution of 1931. This Constitution was repealed and replaced by the Revised Constitution of 1955, 15/2 (1955) P. 149, 1 Consol. L. Eth. 1. The Article of the Revised Constitution parallel to the cited Article of the 1931 Constitution is Article 88.
1. This Proclamation may be cited as the ''Cattle Tax Procla.mation, 1954''. 2. All persons engaged in cattle breeding activity shall pay an annual cattle tax on each head of cattle, excepting suck.ling, at the fallowing rates: Camel, male or female Horned cattle Horse Mule Donkey Goat Sheep
Eth. $0.50 >>
>> >> >> >> >>
0.25
0.25 0.25 0.10 0.05
0.05
On any land upo n which pig breedint is carried on, each head of pig shall pay Eth. $1.00 (one dollar). · . 3. No person wh o breeds cattle on a1y land in respe�t o� which land tax and tithe tax are paid shall be subject to cattle tax for cattle which 1s bred on such land. 4. Our Minister of Finance may publ:sh rules in the Negarit Gazeta in respect of the following matters concernin& the collection of the cattle tax: *INTRODUCTOF.Y FOOTNOTP, ., Imp/. amd. Pen. C. ' 16/Ex.1 (1957).
- · 471 -
C@NSOLIDA.TBD LAWS O.F ]E�l:IIOPIA •
.
(a) to count t�e �umller of cattle in 01:der to levy the presGribed tax me�tiened in Article 2 above; and (b) to cause officiais acquainted wit· hin a chieftaioship �or t�e �ssessme nt of the cattle with a view to levying the cattle _tax by _est11'!1at1�n in lie u of co tmting the cattle, in cattle .breedi�g ar6as 10 a ch1efta1nsh1p. '
.
CONSOLIDATION NOTE
The Amharic vers.i® ef this ·Sub.art ,isle @ti� t.eads,.''11!0 eause officials and b� la� ats acquainted with the cattle breeding areas in a chie�tain� b.ip anti �tt�aJe ,�he number of cattle m l1eu of counting the cattle and levy the tm{ on the basis of such estunaf1on .
. 5. Should �ny cattle 0wn.er liatb�e ta p&y th� tax conside� him�elf aggrie ved by paying the tax 1n the mwne:r }i)Fescnbea l!Il A1rt1cle 4 �t,) he 1s at libert)f to submit his application for the counting of cattTe in orreer to pay the tax, and the tax collec�or shall, on receipt of such a,p,plicati0n, arrange fer co�lection of the tax by counting the cattle. 6. The cattle tax shall become due on tb.e 1st Maskaram of each year and be recoverable in f11ll under the respon.sibility of the Governo1· concerned, by the 30th Tahsas. 7. From the date of publication of the notice regarding the manner of payment refer·red to in Article 4 (b) above, should any person liable to pay the tax fail·to pay it before Megabit 30, Ou.r Minister of Finance may obtain an order from a Co11rt for the attachment and . sale of cattle by auction to. the extent of the tax due from each chieftainslup country, by legal · means.. . 8. An)' person who attempts to evade 1,aynient of the tax, or wilft1lly to deceive the tax collector in respect of .tp.e n11mber of cattle in llis possession or ownership, whether by driving them out of Our Empire, by l1iding cattle or giving false informa tion as to their 11t1mber or whereabo11ts, or who impedes any .tax collector in his inquiries or cluty of col111tin·g and assessing cattle, or. who assists in any of these acts, is gl1ilty of an offe11ce and sl1all ·be liable upo11 conviction to pt1nishment in accordance with. . the· provisions .of the · penal Code.
his
CONSOLIDATION NOTE I11zpl. amd. Pen. C. 16fEx.1_ (1957) Arts. 354�355, 360-363, 433-434, 740 (providing penalties for tax evasion a11d deceiving or impeding tax collectors in performance of tl1eir dt1ties and thus impliedly repealing the present Article, which provided penalties for tl10-se offences).
9. Our Minister of Finance may make regulations for the better carrying out of the provisions of this Pr�clamation . .
Done at Addis Ababa this 30th day of September 1954. •
,
•
,
.
.
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14/1 (1954) L. 187
RULES
ISSUED. PURSUANT TO THE CA'I-I'LE TAX PROCLAMATION 1954 .
st Ru _ T are he �es se is� ue d by tl1e M ini it ste r e of uth Fin o a 11 ce pu rsuant to a r y v h re� . �11 him by Article 4 of �he Catt.le.·Tax Proclamation, 1 95 4 (No. 1 42 of ]954) ( e e 1nafter ''the Proclan1at1on ''). . - 472
r,-
TAXES OTHER TI-IAN CUSTO MS
17-2,3 - ------ ------------� -.-, -�,-�� _ = �� 1. - This Legal Notice m ay be cited .
.,..
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.
as th� ''Cattle Tax Assessn1ent Legal Notice .
4 · ·. · ''. · 195 of 2. ASSESSMENT OF TAX: . · The Governor _of th e A\vraja_shall invite 11ot less than five chieftains and elders from each of the M1ktel Wor�da Ghizats a11d ascertain from them prior to the starting of the �ssessment, under \Vh1ch of the categcries in Article 4 (a) and (b) of the Proclamat1on they prefer to pay th_e tax. 3�. Sho:1ld .th� cattle breeders elect to pay the tax by co1111ting their cattle as _ 1n Article 4 (a) of the Proclamation, the assessors nominated for the prescr1�ed purpose will proceed to the place where tlte cattle are located and count them. 4. Taki11g of Censi,s: (a) Governor of the Miktel Woreda. concer11ed - Chairma11 · (b) Chief of the Woreda Treas11ry concerned - Member; (c) Chieftain of the Section concerned - Member; (d). Two elders of the Sectio11 concerned - Members, will arrange with e·ach of the chieftains to lave the cattle at an agreed· place. Each person's cattle shall be co11nted separately 11nder their vario11s categories and details thereof shall be ,vritten out a11d signed. ·: 5.�.-' In .the case of thos· � whq prefer to pay the tax according to Article 4 (b) of th·e· Proclamation, assessment shall .be made· ·upo11 comparing the number of cattle located.in each Woreda a11d .cbieftai11sh.ip.country by classifying them in their vario11s categories by: •,. .· ·· (a): Governor .of the. A,vraja - Chairman; · · (b) Chief of the Awraja Treasury - Me1nber; (c) Governor of the Woreda concerned - Member; (d) Chief of the Woreda Treasury co11cerned - Member; (e) Governor of the Miktel Woreda concerned - Member; (f) Five elders elected by the Govfrnor of the Awraja - Members. 6. While the making out of the assess1nent forn1 and sigi1ing thereo11 together with the Governors and delivering i t devolve upon the Chief of the Awraja Treasury in the case of Awraja G · hizats, the taking of the ce11s11s shall be on the Chief of the Woreda Tue��7. Any person elected for the assessment s�1all ma�e a sworn declaration and sign thereon prior to the commencement of l11s f11nct1ons. Done at Addis Abaga this 30th day cf S�ptember, 1954. .
�
'
.
B. Educational Tax 7/3' (1947) ·P. 94·
PROCLAMATION FOR THE ESTABLISHMENT OF TAX FOR EDUCATION , CONQUERING LION OF THE TRIBE OF JUDAH· HAILE SELASSIE I R O F ET�IOPIA: RO PE EM , D O G T F EC O EL . . . . ' . .. e ur ass d an to leol? r Pe Ou r fo on ati uc ed e ot om pr . ·. WHEREAS�-j-t is Our desire· t� · its progress towards ever high er standards; and · . .. · .
- 473-
.
'
CoNSOL.JPlTBD LAWS :OF ETHIOPIA
for· al1 l is aa asset an d a hener· WHEREA.S ' We consiaeF that e<ducati0n . It . to i 'd ing f or prov f o Our ssity nece P the eo of ple Itleans th.e nation, a. n d are convinced to achieve th1. s end ; NOW, THEREFO�E, i 11 acco1 �anoe with Article 34 of , our <:;onstitutio We approve the resolutions of Our �enate and the Cham1 ber of Dput1es a nd Wne accordingly proclaim as follows: CONSOLIDATION NOTE
The Constitu.tion riefeFFed to he.i:e is th, Constitution of 1931. This Constitution was repea l and repla� by the Revised Co,nstitution of l955, l� /2 (1955) P. 149, 1 C� nso!. L. Eth. 1. The Arti� _ Article of the 1931 Co.nst1tut1on 1s _ le of rhe Revised Constitution parallel to the cited Article 88.
I. This Proclamation may be cited as the ''Educatioaal Tax Proclamation ' ' ' 7 94 . 1 2. Taxes payable und.er this Proclamation shall be levied on all lands, including Maderia, Samon and Rist Gult lands. 3. Taxes payable under this Pro:)lamation shall be collected as one with taxes provided for by Our Land Tax Proc1an1ation of 1944 (No. 70 of 1944).
I
Shoa Harrar Arussi W-ollo \Vollega Sidamo Illubabor Gemu�Gofa
Kaffa
late of educational tax payable on each Gasha of measured land
DistTicts
Provinces
.
I
All districts
Fertile Etl1. $
Semi-Fertile Eth: $
Poor Eth. $
15.00
12.00
4.50
Consolidated educational tax on 11runeasured Gebbar lands Eth. $
.
6.00
I
All districts
13.50
I
12.00
I
'
6.00
4.50
'
l
Tl1e rates of educational tax payable on land ki1own as ''rist'' in the districts of Shoa Amara shall be as follows: FIRST CLASS LAND .
Eth:'$
6.00
..
.
.
THIRD CLASS LAND
SECOND CLASS LAND
Eth.
$
4.50
'
.
.
Bth. $
1.50 I.
i
-
!;
1
In provinces where land is measured, tl1e educational- tax shall be paid on t the , b a Gas above scale, bu� should . the measruement be more or less than a shall be proportionately increased 01 decreased. - 474-
T·AXES 0TI-IER ':'1-fAN CUSTOMS
GOJJAM TIGRE BEGEMDIR
17-3,4 .
In these three p ro �nc es the educ-c1tional tax payable by the Ia11d owner shall b e 30 Yo.of the l:1.nd tax which was in force in 1927 _ plus th e estimated tithe in money.
CONSOLIDATION" NOTE · The year 1927 referred to here is given according to t}1e Ett11op1an · c aIen d ar. That year corres· d th 11 io to e s per eptember 1934 to 11 Septen1ber 1935 in the Gregorian Calendar. ponds CROSS REFERENCE Land Tax Proclamation, 4/2 (1944) P. 70, 17 CJnsol. L. Eth. 11.
4. For th� better carrying out of this Proclamation, the provisions of the Land Tax Proclamation of 1944 shall be f ully enforced. CROSS R.EFEJlENCE Land Tax Proclan1ation, 4/2 (1944) P. 70, 1� Consol. L. Eth 11 . .
Done at Addis Ababa tl1is 30tl1 day of l�ovember 1947.
C. Excise Tax
22/ 17 (1963) P.204 * A PROCLAMATION TO PROVIDE FOR PAYMENT or EXCISE TAX CONQUERING LION OF THE TRIBE OF JUDAH • HAILE SELASSIE I ELECT OF GOD, EMPE10R OF ETHIOPIA In accordanc e with Articles 34 a nd 88 ofOur R evised Constitution, We approve the resolutions. of Our Se nate a nd Chambe1 of Dept1ties and We hereby proclain1 as follows: I. This Pro clamation may be cited as the ''Excise Tax Proclan1ation, 1963''. 2. Except as it is required by Article 28 of this P roclamation the Federal Excise Tax Decree (Decree No. 16) of 1956, as amerded by the Federal Excise Tax (Amend ment) Decree (Decree No. 40) of 1959 is hereby rescinded and replaced by this Proclamation. CROSS REFERENCE Federal Excise Tax Decree, 15/11 (1956) D. 16. Federal Excise Tax (A1nend.ment) Decree, 19/1 (1959) D. 40; orig. 19/1 (1959) D. 39; renc1n1. and a[XJ, 19/9 (1960) N.A. 6.
A .. DEFIN1TIONS 3. In this Pro clamation: association of pery an d an ns rso pe al t111 na y an an me all (a) ''person'' sh sons, whether incorporated ·or not; . et fort� in the Schedule s les �1c ar the n ea m ll ha s s'' od d go b) c ifie ''spe ·l annexed hereto-; _ . . des1gnated pur s�ant to 1ty r o �h e Au th n ea m ll a sh '. (c) ''Tax Authority' _ _ . • ·Artic le 24 hereof; and· ding or place destined fo r il bu e th n �a m ll a sh '' 1se ot eh · · (d) ''Bonded War s paid, sect1red in ac cordan ce i ta e th re fo be s od go ed � ifi storage of spec with req11irements of tl1e T ax Authority. •INTRO DUCTOR'{ FOOTNOTE A"1d. 24/15 (1965) P. 220.
- 475_;__
CoNSOLUDATED LA:WS. OF ETHIOP IA
17�
B . LEVYING OF TAX .. re the n atio �hall be charged, clam ��o this of ons j visi pro the 4. Sub ect to l�vie_d, ule hed Sc ed ach the att n hereto the E col·lected and paid at the rates set forth 1 Xc1se . · • Tax on specified goods: (a) imported; . (b) man11factured within Our Empire. 5. Specified goods imported by or m(anuf�c:red �t f��ories· owned @r operated overnmen�-�') or for by the In1perial Ethiopian Gov�rnme.nt , herei� ter 1 e use . x by the Government shall not be exempted from th.e ta. 6. Where under the provisions_ of Articl� 110 of the Customs Proclamati on of 1955 the owner of s·pecified goods imported 1s grant�d a d��w� ack of import duty on the re-exportation of goods, he shall be �ranted 10 �dd1t1on a drawbac k of the _ corresponding tax paid under tl:iis Proclamation OR sp.ecified goods imported. '
'
'
,
CROSS REFERENCE Customs Proclamation, 14/7 (1955) P. 145 Art. 110, 16 Co11so/. L. Etlz. 1.
7. Sub ject to such conditions as may be prescribed . by regulatio11s issued by Our Minister of Finance pursuant to Article 24 hereof the tax shall not be payable 011 specified goods ma11ufact11red within Our Empire which . are exported. 8. Nothing in this Procla1natio11 sh.all apply to yarn spun by ha11d a11d to handwoven clotl1. ....: . C. TAX · ON SPEcn�·mo GOODS IMPORTED-. .. '
9. The Excise Tax on specified goods . imported shall be charged, ley ied. an� collecied by Our Customs Administratio11 at the point of entry of such goods and shall be paid by the person importing the specified goods at the'time of .their clear·' ance thro11gh tl1e Customs. 10. Our Customs -Administration sl1all be l1eld responsible for the collection of the Excise Tax on specified goods imported and shall apply its rt1les and regula· tions for the assess1nent a11d collection of tlus tax . •
D. TAX ON GOODS MANUFA,CTURED \VIT!-IIN OUR El\'IPIRE 11. Tax 011 specified goods n1anufactured ,vithi11 Our E111pire shall-be charged, levied and collected by the Tax Authority and shall be paid by persons ma11ufactur· ing the specified goods. 12. T�x shall accrue a_t the !ime of manufacttire o� the · specifie� · goqds S:O�: except as 1� ma� b_e other �1se deci ded by the _Tax 1\l1thor1ty und�r Articl e 18 h er th �hall �e pai d w1th1_n a period of thirty ( 30) days from the end of the c�end�r �on or 10 which the spe c ified goods were ma11ufact11 red ( which n1 ay be the Ethi o ian · pand the · · Gregor1an ca1en d . er · ar month as may be· agreed betwee11 the Tax Authority '"actur 111an•w .c:acturer 11�bl . � to pay th� tax), provided however, tl1at where a �an ui, , : shall request fac1l1t1es to deposit specified goods witl1ou t pa yment of tax 1n a,B onded Warehouse ap�roved by the Tax Authority the payn1ent of the tax •for sp eci fiedi t ! g�o�s so _ depos ited n1ay, with the agreeme:pt!of the Tax At1thority, be deferred ;J an g e within thirty ( 30) days from the end of the cale r ndar month (Ethiopiaq or God w re e s as m ay have been agreed with the Tax Authority o g i e d sp ec if th e ) wh in ich removed from the Bonded Warehouse. · ·
- 476-
TAXES
0TI-IER Tl-IAN
Cusro:rv1s
17-4
. 13.' The• conditions tinde ! whicl1 a Bo 1xled Warehot1se shall operate sl1 all be . . Ja1d down by the Ta� Authority depe11d1ng OLl tl1e circt1n1stances of the ma11ufacturer concerned. No specified go_ods, ho,vever, stall be deposited i 11 or re111oved fro1n a Bonded Warehouse _except in the presence a1d t111der the co11trol of a representative of the Tax At1tl1or1ty.
E. OBLIGATIONS OF MANUFACTURERS OF SPECIFIED GOODS
I
14 .. Any person desiring to co1nmeoce tlie manufacture of specified goods shall: (a) inform the Tax Authority not later than fifteen (15) days in advance of the date on whicl1 ma1 1t1facturing. operations are to co1nn1ence, a11d (b) submit to the Tax At1thority at the sa1ne tin1e, on a forn1 wl1ich shall be supplied b � said At1tl1ority free- of cl1arge, a declaration containing such 1nformat1 on as n.1ay be necessary for· proper collectio11 of the tax. J 5. A n1anuf acturer of SJJecified goods shall: (a) allow a representative or reprt:se11tatives of the Tax At1thority to be stationed at his factory for the p11rpose of reve11ue supervision and of taking all - action incidental trereto; (b) maintau;i at tl1e factory and make acc11rate_ daily entries in such books and records as shall be prescr:bed by regt1lations issued purst1ant to Article 24 hereof; (c) produce on demand said books a11d records to a11y representative of the Tax Authority; (d) render st1ch assistance to the r<:presentative of the Tax Authority as is necessary·to enable tl1e representative to carry 011t his duties under tl1e Proclamation. . 16. A manufacturer shall not destroy or remove from a Bonded Warehouse a1 1y specified goods which have been damaged or contaminated or f?r which tax is l�Ot paid except with the approval of and in tl1e presence of an appo1nted·representat1ve of the Tax At1thority. . .
F. ·· POWERS OF. THE TAX AU'J;'HORITY 17. Any _representative of- tl1e -Tax ,f\11tboritY shall have the right to enter upon any premises of the factory: (a) -withi n , working hours only fo r the purpose of: (i) calling for, examining and maki11g extracts from_ any books of ; ry g to e tin th fac era n op rso pe e th by ed aiD int ma rd co re account or . e used in the manufacture (ii) taking stock. an d accou 1 1t of materials to? d, d of re an tu ac uf an g m in be or d re tu ac uf an m s od . of specified go . . · ; re {u a� uf an rr. y �_ . \ specified - goods. alread . . 11 10 at m la is oc th Pr of ns o 1s1 ov pr e th at th ng ni . (iii) otherwise ascertai _ . ed rv se g ob in be e ar r de 1n e1 e1 th · ,. ed su is an d regulations . 1 1s t this a1 ag c� en off an at th t ec sp su to on as re (b) at a11y t1me, u· 'h e ha s · be1·ng COIDIIll·tte d. IS er nd eu e� th d ue i,s ns tio la gu re . n or io at m la . oc Pr s or fails to rd co re d an ts un co ac er op pr ep ke to 18. ;;h ere· a manu1ac ils � tu rer fa , . · suhmit a monthly return or pa y the ta x within the time 1·1m1't prescri'bed i11 this Pro •
- 477-
17-4
CoNSOLlDi\TED LAWS OF ETHIO_PIA
is nd n fou tio tiga ves l i11correct, the i1i on u ich wh urn ret a s p clamation or submit Ta x . to er t11r rem fac 1 n1; ma ve the b1d � any Sli)e ci fied Authority shall ?e empowered to fo� tax the om 1l spec1fied goods to t1nt e ous reh Wa ed md Bo or y tor tac nJ the goods fro be removed 1s . pa1·ct .
G. ASSESSMENT AND PAYME!\T OF TAX ON GOO DS MANUFACTURED WITHIN OUR EM PIRE 19. If the tax Authority is satisfecl that tae beoks an� records m�intained by t,he manufacturer are properly kept 1nd taat tile monthly return submitted by him pursuant 110 Article 15 (d) he,reof is eorrect, the ta� as ealct1lat�d and p�id in accord ance with the monthly return shall t1e accepted; 1f n ?t .so s-at1sfied or 1f at any time within a period of two years from th.e date of subD11ss101;1 of a�y monthly retur n it appears that said return was incorrect, the Tax A11thor1ty shall assess the tax by estimatio11.
H, APPEALS 20. (a) Any manufacturer who Dbjects to an assessn1e11t of the tax made by the Tax Authority by estimation as prescribed by this Proclamation, may appeal to the san1e Co1r.mission of Tax Appeal which would be appro priate to deal with tl1e appeal against tl1e assessment of income tax. (b) S11ch Commissions are herel>y desig11ated to receive, hear and decide also appeals co11cerni11g the Excise Tax, presented by this Proclamation. CROSS REFERENCE Commissio11s for appeal against Income Tax assessments are provicled for by the Incon1e Tax Proclamation, 20/13 (1961) P. 173 Arts. 4�-61, 17 Co11sol. L. Et/2. 9.
21. Howe,,er, jt sl1all be the co11dition of tl1e hearing of a11y appeal that the appeal shall be 1nade in writing and shall be subn1itted t'o the Tax Appeal Coa1n1issio11 not later tha11 ,vitl1in thirty (30) days trom tl1e date of tl1e 11otificatio11 of tl1e assessment to the manufacturer. 22. If no appeal is made withi11 the period of thirty (30) days as prescribed in Article 21 hereof, the assessme11t of tl1e tax n1ade by tl1e Tax At1thoritv sl1all be final and conclusive and im111edia:ely exect1tive. · or al appe of cases provisions of the other Law, wl1icl1 are applied in 23. All l shal tax, proceedings co11cerning assess1nent and collection of income execution ss· asse the ½e applied also i� cases .of a1)pe�ls and executio11 }Jroceedings concer11ing 1nent and collect1011 of the Excise Tax prescribed by this Proclt,itnation. ,
CROSS REFERENCE See Income Tax Proclan1ation, 20/13 (1961) P. 173 Arts. 49-63, 17 Co11sol. L. Eth. 9.
I. POWERS GRANTED TO OUR MINISrfEll: OF FINANCE 24. Ot1r Minister of Fi11ance is authoriz.ed to isst1e regtilatio11s: (a) �esignating the Tax Autl1ority or Autl1orities whicl1· shall deal with �he 1mpler1:1entation and enforcement of the provisions of this Proclamat!0� regard1ng the taxation of specified goocls produced· within Our E n1�1r�, 1n th 1 · sp (b) · eci·ryin d w . g. the n1anner of pay1nent of the tax_ on good s prodtice Our Empire; - 478--.
r
TAXES OTHER 11-IAN CUSTO MS
17-4
(c) specifying the books a11d records to be kept a11d retur11s to be made llll der· Art'icI e 15 hereof a11d tl1e forn1 i11 ', , } 11c . h. st1ch hooks a.nd records shall be kept and rett1r11s made; (d) spe:ifying the ma1111er in v.rl1icl1 auy specified goods sl1 all be safegt1arded during 1nant1facture ,1nd storage t111til• the ta, x has bee11 pa1'd an d t 11e n1 a11� e� of release of st1ch specifiecl goods from storage; _ _ (e) specify1�g the cond1t1ons ltnder ""hicl1 tax n1ay be remitted or ref t1nded 011 specified goods 111a11ufactt1rcd vvithin Otir Empire \vhich are ex ' ported; (f) designating the specifie� goo�s set fortl1 i11 the Schedule an11exed .l1ere __ part1ct1lar 1tera of the to refe�ence to the Ct1stoms Tariff; and _ (g) prov1d�ng for better carrying into effect of the provisio11s of this Pro clamation.
J. PENALTIES . 25. An� n1a�11fa�tt1rer of spe_cifi.ed goods wl10 fails to pay tl1e tax witl1in the time prescribed 1n this Proclamation shall pay, in addition to the tax dt1e, a pe11alty at the rate of t,vo percent (2%) of the amounr. of the tax wl1icl1 is in default for each peri?d of thirty (30) days or part thereof in ,7,'hich the sa.id tax is in default, 11p to a maximum penalty of fifty percent (501 �) of the amo11nt dt1e.
K. OFFENCES 26. Provisions of ·tl1e Etl1iopia11 Penal Code of 1957 to the contrary not,vith standing: (a) any manufacturer who fails to iuform the Tax Authority in time about the commencement of manufacturing operatio11s as provided for in Article 14 (a) hereof or who fails to submit to the Tax Authority in formation required under Article 14 (b) hereof is guilty of an offence and he shall be liable on conviction to a fine of not less tl1an 011e thousand Ethiopian dollars (Etl1.$l,OOO) nor n1ore than five thousand Ethiopian dollars (Eth. $5,000); (b) whosoever is responsible for removal of specified goods from the factory or Bonded Warehot1se in contra"ention of an order given under Art. 18 hereof shall be g11ilty of an offerce and shall be liable on conviction to a fine not exceeding fift y thoust11d Ethiopian dol�ars (E �h.$50_ , 0�0) or to simple im. prisonment or both to a fine ._.and s1n1ple 1mpr1sonme11t. ,
.
CROSS REFERENCE
The provisions of the Penal Code dealing with dfences most like those described here are Pen.
C. 16/Ex.l (1957) Arts. 35 4-356, 360-365, 428, 432-433, 740, '.758.
1 isl gu tin l ex al 11 sh io at m c.la ro is th s· t ai ag � e 27. N·o punishmeilt for a 11 offenc � : or abate taxes or penalties chargeable under its prov1s1ons.
S N IO IS V O R P Y R O IT S AN R T L. e r th de n un tio xa ta to t ec bj su e er w ch hi w . 28 The Feder al Exc·ise Tax on goods Provisions of the Federal Excise Tax Decree No. 16 of 1956, as. amended by the - 479 -
CoNSOLllCA1'BD I.JAW'S OF ETHIOPIA
Federal Excise Tax (Amendment) Decre,e No. 40 0.f 19§9 and which had not been paid on specifie d goods delivered from the factory or a Bondea Warehouse approV�d by the Tax Authority on the coming into force of .this Proclamation, shall be Pa.Jct Of t h'i�, Procla .. � 1n.t0 ioFce within thrity (30) days from the dat� of cvn1m mation not at the_t.une of con11ng into force of this. Proclamati o� er irrespect or ive wheth of _ said goods had been sold or otherwise transferred to another person. CROSS REFERENCE
Federal Exc!se Tax Decree, 15/11 (1955) D. 16. Federal Excise Tax (Amendment) J?ecree, 19 11 (1959) D. 40; orig. 19/1 (1959) D. 39; re11�,n. and app. 19/9 (1960) N.A. 6. See also Article 2 of the pre�ent Proclamation (repealing the abow Decrees). '
I
29. (a) Within fifteen ( 15) days of the coming manufacturers of specified goods shall writing the quantity of specified goods a Bonded Warehouse approved by the has not bee11 paid.
into force of this Proclamation declare to the Tax Authority i� held in stock at their factory or Tax A11thority on which the tax
(b) Tax on such stocks shaJl ·be charged, levied and collected in accordance with the provisions of this Proclamation. U11les& application is made by the man11fact11rer to have such go_oos deposited i11 an approved Bo11ded Warehot1se, the tax shall be paid ,vithin· thirty (30) days of the coming into force of this Proclamation. (c) At. tl1e date of coming into force of ihis Proclamatio11, a11y place of storage used by tl1e manu.facturer of specified goods may, with the ap• proval of the Tax Authority, be regarded as a temporary Bonded Ware• l1ouse for the purpose of compliance v1ith tl1e provisions of Article 12 l1ereof; provided, however, tha.t t·his temporary approval shall not absol\re a man11factt1rer fron1 fut11re co1"L1pliance witl1 the provisions of Article 13 l1ereof. 30. This Proclan1ation shall come into forre the Negarit Gazeta.
011
tl1e date of its publication in
SCHEDULE Excise Tax Gooc/s I. S11gar of all kinds (bt1t excl�ding 1nolasses), per 100 kilograrnmes NET F.th.. . $1.5.00 .
,
2. Yarn of 0:atural cotton, or o� rnan-n1ade fibre or of a11y ad111ixtt1re thereof with each other or with any otl1er fibre whether 11at11ral 01· man-made, per kilogramn1e ·NET Eth. $ 0. 15 I'
3. Textile fa?rics _.man�actured wl1olly or }Jartly fron1 a11y type of ya�n spe�ifie?. 1n Article 2 of 1his Schedule, grey, white, dyed or printed, 1n pieces of any length or width, an d i 11 cluding blankets, bed.sh�ets, counterpanes, towels, tablecloths and similar article s per kilogramme NET . .. - 480-
l
'1
'I lJ
TAXES 0TI-IlR 1'1-IAN CUSTOMS
-----------:·�--- --- ---
17-4,5
-- -----·
N_O�E :. Tl �� tax on textile 1�abrics prescribed in Article 3 of this Sc]1edule sl1 all be pa1d 1n addit1011 to. tl1e tax pa)1ablc in accorda11ce ,\1ith Article 2 of tl1e Sc]1edt1le on yar11 lISed for tl1e1r n1a11l1factt1re.
CONSOLIDATION NOTE ,4,ncl. 24/15 (196 ing entire Sd1edt1le and also JJroviding, Ar ) P. 220 (replac t. P. 220 in ? · 4, that _ _ specified goods held 1n stock at tbe t1n1e of the amendn1ent should be taxable under the a1nended Schedule).
Done ,1t Addis Abab,t tl1is 13tl1 day of Jtil )', 1963. 24/10 (1965) P. 217
A PROCLAMATION TO PR0,7 IDE FOR THE PAYMENT OF AN EXCISE TAX ON ALCOHOL CONQUERING LION OF THE TRIBE OF JUDAH I-:IAILE SELASSIE I ELECT OF GOD, EMI'EROR OF ETHIOPIA In accordance \Vitl1 .Articles 34 a11d 88 of Our Revisecl Co11stitt1tion We approve the resolutions of Ot1r Se11ate ancl Cl1amber of Deputies and We l1ereby ·proclai1n as follo ,vs: I. This ProcJamatio11 may be cited as the ''Alcohol Excise Tax Proclarnatio 11 ' 1965''. . ,vitli a11y Regulations nJade there11ncler., are 2. The follo wing Iav.;s, ·to gether ' hereby repealed: (a) lhe Alc o l1 ol Prod.uGtion Tax Proclamati o� N o . 180 of 1961; (h) the Federal AJc ol101 Co11st11nption Tax Proclan1 ation No. 181 of 1961; (c) th.e Eritrean Alcol1ol Productlon Tax Act of 1959. CROSS REFERENCE Alcohol Production Tax Proc]an1ation, 21/3 (1961) P. 180. Federal Alcohol Consumption Tax Proclan1ation, 21/3 (1961) P.. 181. Eritrean Alcohol Production Tax Act. . ,,
A. DEFNITIONS 3. In this Procla111a tion: ''Alcohol'' means Etl1yl Alcol1ol, except in cases where it is specifically men tioned that this expression sl1all cover also other forms of alc ohol. ''Alc oh olic liquor'' means any alcoholic beverage of more than 1-5 degrees of a.lcohol, excep t grappa, , wine, vermot1th, beer or sto11t. . ''Bonded Warehouse'' mea1Js the building or place desti11ed for _ storage of taxable articles before the tax is paid, secured with the req11irement of tl1e Revenue · · Aut.boritv. ''De11atured Alcohol', means alcohol of a11 y form to which. has been added the s11bstance or s11bstances prescribed by Regulations issued pursuant to Article 35 hereof rendering it u11fit for human con.sumption. '•Degree of alcoholic purity'' means t:1e percentage of alcoh ol by �olume which a substa11ce contains measu red at a temperature of 15.56 deg rees centig rade.
- 481 ·-
17-§
'
CONSOLID.t'fBfi> LAWS 0'.F ETH[OPIA
• e of the fermente� ''Gr3.;ppa'' means that prodt11ct of the distillation of the residu J'a·ice of pressed � dFied or fresh gra, .. pes o·f more than 40 aEd not mor e than 60 degrees of alcohol. ''Person'' means any natt1ral perso11 and any associatioi1 of persons whether incorporated or, not. · re Alool1ol'' means alcohol cf a pt1rity of 96 degrees or n1ore. ''P u ''Re,,e11t1e Authority'' n1eans the a11thority desig11ated by Regulations issued pursuant to Article 35 hereof. ''Taxable article'' means any a.ruicle named in the First and Seco11d Scliedule to this Proclamation. ''Wine'' means a.ny fermented j1ice of grape or otl1er frL1it, of an}· degree of wine, spark:IJng wine, medicated, herb a.nd ton.ic alcoholic purity, still and includes • wine.
B. LEVYING OF TAX 4. (a) Subject to the provision; of this Proclamation there shall be charged, levied, collected and pa.d an Alcohol Excise Tax on taxable articles .in1ported and 1J1anufactured within Ot1r Empire. (b) The tax sl1all be -co1np11ted at the rates set forth: (i) in cfLSe of taxable articles im1Jorted, in the First Schedule; (ii) in case 9f taxable a1ticles n1anufactured withi11 Our .Em · pire; in the Second Schedule to tl1is Procla111atio11. (c) The tax prescribed i11 tl1e Seco11d Schedule on alcol1olic liqt1ors, alcoholic beverages, fortified vermot1tl1 or wine, and perfL1n1es mar1ufactured \Vitl1in 011r En1pire shal. be i11 addition to the tax 011 pure alcohol or grappa, or, i11 case of pe�fu111es, in addition to the tax 011 alcol1ol of any for111, imported or n1anufactured within Our Empire, 11sed in their man11fact11re a11d no alool1ol or grappa shall be 11sed i11 processing of the above-1nentioned ar:icles 11ntil tl1e tax 011 sucl1 alcol1ol or grappa has bee11 paicl. 5. Taxable articles imported by ::>r ma111Ifact11red at factories ow11ed or operated b)' tl1e Government or for the 11se by the Govern1ne11t sl1all 11ot be exe111pted fron1 the tax. 6. Nothi11g i11 tl1is Proclan1ati�11 shall apply to hon1e made Tej and Tella. C. TAX ON TAXABLE ARTICLES IMPORTED
� cted colle a11d sl1all be 7. Tax on tax�b_le ar�icles import�d charged, levied. � . ai Our Customs Adm.1111strat1on at the [J0111ts of er1try of said articles a11d shall be p 15· 00 Ct1st the importing the sa1ne at tl. e time persons tl1ro1tgl1 of tl1eir by cleara,11ce e 35 rticl 8. U11less i t is otl1erwise prescribed by Reg11latioi1s issLted t111der A th to sold : hereof, the tax shall be paid by means of Reve11ue labels which shall be ers ort p m importers by Customs Administrati)n a11d wb.ich shall be affixed by the i to containers of taxable articles. · <:11� form sl1all· prodt1ce fro111 the supp 1i· ei·. of the5 9. All 1·�por·te�s of a 1co110 l 1n alcohol cert1f:cate 1n the form p_res:;r1bed by Regt1lations issued tinder A rtie! e 3 hereof wherein the degree of purity of the alcohol shall be stated. - 482 -
TAXES 0TI-IER Tl-IAN CUSTOi\11S
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I
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l 0. (a) The i1nport of n1ethylatecl or de11at11red alcohol of a11y for111 is prol1ibited. a11d alcol1olic liq11ors a11d (b) No alcohol of any fo �n1, ex,ept beverages _ pe :f Limes e1111n�eratecl 1n Articles 2 t.hro11gl1 7 of tl1e First Scl1edt1le to tl11s Proclan1at1011 sl1all be allo\ved to be in1ported 1111less; (i) .it is of a pt1rity of 96 degrees or more; a11d (ii) the im�)<:>rter prodtices a pern1it issL1ed by the R . eve11ue Authority aL1thor1z111g h1n1 to i1nport tl1e alcohol in quest.ion. l I. Tl1e tax on taxable articles i111ported shall 11ot be _payable 011: (a) taxable articles whicl1 are in tra11sit tl1roL1gl1 Ot1r En1pire; (b) taxa �le articles i �por !ed as bo11a fide perso11al baggage of perso11s enter1t1g Ot1r En1p1re, 1f accon11Ja11yi11g said perso11s, so far as they are exempted fron1 the payn1e11t of Custo1ns Dt1ty i11 accordance \vith the Custon1s Tariff; (c) taxable articles in1ported by jiplon1atic and co11sular 111issio11s and by at1 thorized diplomatic at1d co11sular officers, provided that the quar,tity of st1ch articles wl1icl1 n1ay bt; i1nported free of tl1e Alcol1ol Excise Tax shall 11ot exceed tl1e qt1a11tity allo\ved to be imported free of C11sto111s Dt1ty by saicl 111issions a11d oficers under the Ct1stoms Tariff ancl Reg11latio11s regarding Di1Jlo1natic and Co11sular Privileges; (d) Sacramental '\Vi11es on proof to the satisfaction of the Director of Ct1s toms t11at they are imported exclt1sively for st1ch 11se. CROSS REFERENCE T.he Customs Tariff provision dealing \\ itl1 alcohol imported as bona ficle personal baggage is Custon1s Revised Jn1port and Export Regulation�, 10/8 (1951) L. 153 Art. 388, 16 Consol. L. Eth. 7. Provisions dealing with di1:ilon1atic and con;ular exemptio11 from ct1ston1s duty are Custon1s R.evised lmport and Export Regulations,' 10/8 (1951) L. 153 Art. 394, 16 Consol. L. Eth. 7 and Diplomatic and Consular Privileges :Regulations, 21/8 (1962) L. 252, 16 Consol. L. Eth. 14. 1
.12. \\'here tinder tl1e provisio11s of Aiticle .110 of tl1e Customs Proclamatio11 of 1955 the owner of taxable ,trticles in1ported is granted a dra\vback of import dt1ty on the re-exportation o( said articles he shall be granted in additio11 a drawback of the correspo11ding amo11nt o .f the t�x _paid u11der tl1is Proclan1atio11 on the same articles. CROSS REFERENCE Custon1s Proclan1ation, 14/7 (1955) P. 145 Art. 110, 16 Consol. L. Eth.· l .
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. 13. Ot1r Customs Administration sba.l be held responsible for the collectio11 of the Alcohol Excise Tax on taxable articles imported a11d shall apply its rules ancl regulatio11s for the assessment and collection of this tax, provided that st1ch. rules are not inconsistent with the provisions of this Proclan1atio11.
D. TAX ON TAXA .BLE ARTICLES l\tlANUFACTURED WITHIN OUR EMPIRE 14. Tax on taxable articles manuf,1ct1red within Our Empire sl1all be cJ1arged, Jevied and collected by the Revei1t1e A11thority and shall be paid b y perso11s mant1facti.1ring the same. - 4f3 -
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ETI-I1 0PIA OF LAWS D LIDA1 B CoNSO
u �·e of th e t ax a.ble article t ac uf run m e th f o 1e tin · atl d · 15. Tax shall accrue at the · i d_ s ue <le ss ttu ula t io� r r eg A y b d !l e rib ticle 3 c s e p1 e is except as it n1ay be otherw ta�able articles reven ue of rs ne i a nt o c e th to labe l ng xi hereof, it sl1al l be paid by affi . ty ri ho ut A u e n e ev R e th or labels so ld to man1tfact11rers by ar ticles ·?efo re said arti le ab tax o t d xe affi be all sh els lab cles 16. Su ch re ve1111e ,. pr duction an d no ta of ace l p e th ? at tise o h are W d xabl e are delivered fro m a B on de artiol e shall b e either re movecl. from th.e place of prodttctto11 or c onsumed at thi s place bef ore the tax has been paid. 17. (a) No person shall possess revenue labeJs m enti011ed in Ar�icle 15 here of uitless he 11.as acquired th�m fro m the Reve1�ue Authority or witI1 its permission; and, n o m anufactur ers shall, ,vithout the permission of tae Revenue Authority part with any st1ch label, except by affixing it to the container of taxable articles. (b) The tax on taxabl e article; to which a revenu e labe l is required to be affixed and wllich does no: bear st1ch label shall, except at the premises of a B onded Warehouse or where a bottle has been opened for actu al consumptio11, be presumed 11ot to have been paid, and the on11s of proof that the tax has bce11 paid shall be t1po i1 the person in whose possession the bottle or other container is discovered. 18. Subject to such conditions as may be l)rescribed by Reg ulatio11s issued by Our Mini ster of Fina11ce 11t1der Artic1e 35 hereof the tax sl1all 11ot be payable on: (a) taxable articl es ex1)orted fro111 Our Empire directly .from a Bonded Warehot1se; (b) Pure or de11atl1red alcohol stIJJplied by a licensed distiller, \Vitl1 permis sion of the Revenue A11tiority, to a hospital dt1l y ap1Jroved by Our Minister of Pt1blic Heal':h. 19. Our Minister of Finance may 1rescribe by Regulations issued under Article 35 hereof that ,vhere pure alcol1ol rua11t1fact11re d with.i11 Our Empi1·e is used for certain medical, scie11tific, i11dt1strial or technical p11rp oses, the tax on st1cl1 alcol1ol maJ' be repaicl or remitte d wholly or i11 a p art .
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E. LICENCES FOR PRODUCTION OF TAXABLE ARTICLES MANUFACTURED WITI-IlN OU R EMPIRE
20. (a) No person sl1_al� m�ntrfactur e f'or sale alcol1ol of a11y degree of pur ity ,vl1ether by d1st1llat1on of a fermented liqt1or o r by a 11y other pro � ess an d 110 perso11 shall 1na 111factt1re f o r sale any other taxable article unless �e l1olds an excise licence for that ptlrpose issiied by the Revenue At1th.or1ty. (b) Such li�ences sl1all be isst�d a11nually and shall expire on the 30th Sene n ext after the date on wh.1 ch the)' were granted. (c) No such lice1�ce s�all be gr�nted or re11ewed except tipo ri Jaym en t 1 of the fee prescri bed 1n th e Th ird Schedt ile of this Proclamation. 21. (a) Tl1e �event1e Auth?r�ty ��ay reftise to isstie or renevv any lic ence a.nd D:1ay revoke any_ e x1st111g .1ce11ce if tile applicant or licensee bas a t anY time _ been convicted of a11y o ffe an Y r o 11c n e o u1 at 1d i er P ro tl cl is i am . re s vi o p � la� regulating the same s11bject n1· atter ' or of any offence mvolv1ng dishonesty or fraud. - 484 -
,.fAXES. 0TI-1El.
--�--=---=� -· ----(b) The Revenue A11tl1orit_Y 1n�y r�fL1se to iss11e or re11ew any licence or ,
(c) 22. (a)
(b) (c)
23. (a)
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. (c)
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TI-IAN CUSTOMS
17-5
_ su 1nay spe11d any ex1st1ng l1ce11 ,�e, for so long as: (i) responsibility for the manageme11t of the enterprise is entru sted . to a pers.011 vvl:o l1as been co11v1cted as specified i11 sub-paragraph (a) of tl11s Article 21; or (ii) the pren1�ses of the fa� tor:, _or its equipn1e11t clo 11ot co1nply witl1 a11y applicable regt1lat1ons issued pt1rs11ant to Article 35 l1ereof . No reft1nd of the ta.,x paid for any existing licence sl1all be made in the event of its st1s_pension or revocation under this Article 21. A11y pe�so11 aggrieved ?Y a reft1sal to isst1e or rene,v a licence or by the suspension or _revocation of any existi11g licence, may appeal to an Appeal C?mn11ttee, c?n1posed :>f a Cl1airman and two (2) other mem bers appointed from time to tirr.e by Our Minister of Fi11a11ce; provided, however, that any s�1cl1 appeal mt1st be n1ade within th.irty (30) days of the date upon ,vb1ch the applica11t or licensee is notified by the Re venue Authority of its decisic11. The Appeal Committee sl1all be appointed by Our Minister of Finance in all places as it may appear necessary. Any licensee shall cease to manufacture taxable articles within thirty (30) days of the giving 11otice by the Revent1e At1thority in the case 1 \'\ here no appeal is n1ade, or w thin fiftee11 (15) days of the rejectio11 of : the appeal i11 the case where th� appeal i� rejected by the Appeal Com mittee. An appeal may be made to th� Courts from the decisio11 of tl1e Appeal Commi_ ttee, provided, however, that any such appeal must be made within thirty (30) days of the date t1po11 which the applicant or Iice11see is notified by the Appeal Committee of its decision. Notwithsta11ding an appeal made to the Co11rts any licensee shall cease to mant1facture the taxable art.icles withi11 fiftee11 (15) days from the date upon wl1ich he is notified ·Jy the Appeal Committee of its decisio11 confirming the decision of the Revenue Authority that his licence shall not be renewed or sl1all be suspended or revoked and in si1ch cases the licensee shall not renew the mznt1facture unless he 'is allowed to do so by the final decision of the highest Co11rt to which the appeal is taken . In the instances specified in s11b-paragraph (c) of Article 22 hereof and sub-paragraph (b) of this Artice 23 the licensee shall, within thirty (30) days of the date t1pon which be was required to cease manufacturing, pay the tax 11pon all taxable articles already manufactured upon which the tax had not bee11 pai d. . ..
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N TIO IBU TR N, DIS TIO UC OD PR THE G NIN ER NC N CO IO ICT TR RES F. URED WITHIN �T FA MANU ES CL 'f! AR ... AND SALE . OF E BL XA TA . OU R EMPIRE . . 24. No person ;hall construct a factory for· the production of taxable articles until: ; so do o n tio ten s in hi of ity or � 1th At e nu ve a Re ) e th ( he has informed . (b) be has conformed to all direction of � e Revenue Al:lthor1ty concerning . se ou eh ar ed W nd Bo a of n tio ea cr d an y or ct fa n s io hi ict of constrt - 485-
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IA P IO H T E F © S W A L D fE A ID L CONSO
25. At e,,ery ·factory making ta�abl� articles a Bonded War�ltouse sha ll be operate shaLl be laicl down created a1]d the co11ditio11s under which it sl11all by Revenue Attthority depending 011 the citcumstam� es of the manufactur�r concer th e ned to be 1 removed directly to � ,t\11 taxable articles man·ufactt1red shall be re9u ve? th r removed ted depos �anded Warehot1se and none shall_ b:: therefrom exce i m � pt 10 the presence and \.lnder the authority of a representative of the Reve11ue Auth r o it y. 26. No distiller shall sell aimy product o· f rulcoholic dlstilla�i@n. ex.cept pure alcoh ol denatwred alcohol of a purity oii n, ot l€ss th.aa 185 degrees or graippa. 27. (a) A distiller s.hall not de1iiver from his factory of prod1:1ction eit her pure or denaoiire.d alcohol in conitailners of more tb.an 2 litres e xcept to: (i) persons licensed by 1he Revenue Authority to produce alcoholic · e\erages of more tha11 3�� of alcoh ol or per liquors, alcoholic b ft1mes; (ii) persons autl1orized by the Revenue At1thority to receive _pure or denatured alcohol in ½ulk for medical, i11dustrial, scientific or tech11ical pt1rposes, provijed th.at, as a conditio11 of release fr om the distillery, the person requiring t11e pure or denatured alcohol shall produce to the distiller a valid licence or letter of at1thority signed by the Reven tte At1tl1:::>rity as evide11ce of the entitleme�t to receive pure or de11att1red a]rohol in bL1lk. (b) No product of alcoholic d.stillatio11 shall be bottled oi1tside the premises \¥here distilled. 28. l:>erson at1tl1orizecl i11 accorda1ce with. the provisions of Article 27 hereof to acq11ire p11re or cle11atured alcohol in containers or 111 ore than two litres shall not dispose of s11ch alcohol to an)' other perso11 or t1se it for a11y other purposes than that for which permissio11 ,vas give11 by the Re,1enue A1rtl1 ority, withot1t the special pern1ission of tl1e Reventte At1thority i11 writing. G.
OBLIGATIONS UPON MANUFACTURERS OF TAXABLE ARTICLES WITI-IIN OUR EMPIRE 29. A ma11t1factt1rer of taxable articles witl1i11 Our En1 pire shall: (a) allow a representative or representatives of tl1e : Reve11ue Autl1ority to be statio11ed at l1is factory of prodt1ction t�or tl1e pt1rpose of re,,enue StlJJer, vison a11d of tal<ing all actio11 incide11t thereto; (b) n1ai11tain at the place of prod t1ctio11 a11d .m:1l<e accurate daily entries in such books and record; as sl1all be prescribed by Regulations issued purst1a11t to Article 35 hereof; (c) produce 011 demand at any tin1e said books and records to any repre· sentative of the Reve11t1e At1thority cltll)' atithorized b)' it in writing; (d) submit to tl1e Revenue Autl1 ority, 11ot later tl1 a11 tl1ree (3) days fro;; tlie e�d of, each n1 011th, rett1rn or rett1r11 s (in s11cl1 for1ns as n1 aY presc· ribed by Regulatio11; issi1ed. p11rs11a11t to Article 35 hereof), con · · · · 1on the . cerrung tlle acqu1· s1t in d , t1 se a11d disposal of ra w n1a.terials i1se JJrocess 0 f making taxable �rticles man11factt1re an dispose? of du�I�� d d . the nionth and the quantity of taxable artic toc k s 1n ng re les maini the end o·f each month·' - 486 -
TAXES OTHER THAN CUSTOMS .
. (e) refl:der s11ch assista11ce to ·the repre sentative of the Reven11e Authority as 1s nece ssary _to e11able tl1e representative to carry 011t his duties under the Proclan1at1011. 30. A n1anu�acturer . shall 11ot destroy or remove from a Bonded Wareho11se 1h1ch l1ave bee11 dan1aged or conta1ni11ated exce1)t with the \\ art1cl�s taxable any approval of and 111 tl1e prese11ce of an appointed representative of the Reven11e Authority.
H. POWERS OF TllE REVENUE AUTI-IORITY
31. A11y_ representa_tive of tl1e Reven11e Authority a11thorized in writing shall
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have tl1e r1gl1t at a11y time to e11ter upon any premises t1sed for the manufacture or storage of _a11y _ taxa_ble article_ if he ha s reasD11 to suspect tl1at an offence against this Proclamation 1s being con11n1tted, or at any time ,vithi11 the ,vorking hours for the purpose of calli11g for, exa1ni11ing books ai1d registers, making extracts therefro.m, or taking acco11nt of materials to be used ill the manufacture of taxable articles, or of the quantity of taxable articles bei11g man11factured or for otherwise ascertaini11g that the provisions of this Proclamatio11 and Regulatio11s iss 11ed p11rsuant to Article 35 hereof have bee11 complied ,vith. 32. Any representative of the Revenue Authority atttl1orized in writing shall have the po\-ver to take samples of taxable articles for analysis at no cost to the Re venue Authority and to exami11e, search for and seize any taxable article upo11 which he has reason to-believe tl1e tax l1as not been paid. 33. It shall be the duty of the police to co-operate \-Vith the Revenue Authority in the detection of offences against this Proclamation and Regulations is sued pursuant to Article 35 hereof. 34. Where a manufactt1r_ er fails to ke!p proper accounts and records or fails to submit a monthly return or pay tl1e proper tax required in this Proclamation or submits a return wl1ich upon investigatio11 is found i11correct the Revenue Authority shall be empowered to forbid the manufact11rer to remove a11y taxable articles from place of productio11 or Bo11ded Wareh.ot1s e until a proper system of accountancy is introduced. .
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I. POWERS GRANTED TO OUR ·MINISTER OF FINANCE
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35. Our M1nister of .Finance is authcrized to i ssue �egulations _: _ orities which shal� ? e res (a) de signating the Revenue Aut:1ority or. Auth poi1 sibl e for the impleme11tatJ011 and enfor�ement of the prov1s1o� s ? f this Proclamatio· 11 ·regarding . tax· able articles manufactured w1th1n · · · Our Empire; ere ee fi h or y tax an of t en ym pa of e t:m d an er nn ma the ng b) specifyi ( _ · 11nder; · d h ereunder, re q u1 re te ca ·fi rt1 ce or e nc ce i l (c) specifying the form of an y _ : an d of an y application for t1e same; e ad be s m to rn tu e re th d_ an �t ke be to ds cor re d an s ok (d) specifying the· bo s d re an ok bo ch su ich wh 10 rm fo e th d an by an y licensee hereunder, cords shall be kept and returns made; ce an en of nt e ai th m · d an t ou y la e ·r th to as ds ar nd · (e) spec1 y1 ng _ genera I sta. . an of tax y ur ma e nu fac o t th · e fo r us ed be t ne r h1 ma c. y any premises• or able article; - 487 -
CeNSOiiIDATEID l/AWS OF ETHIOPIA
· ic� ai1y ta xable ( f ) spesifyingi the maiJJl•Ber illl which. the condi1ti0ns undeF wh . article sh.all be mannfaetured ain<d traBsp�rted, . the e<qo1pmeut to be ke·pt b)' 01anufacturers, and the n1anner in wiruch 811 Ch manu fac ture and transport s,:b.all be supervised; (g) specifyiilg tb@ ma111 nerr iiil which an:Y !axable article shall be s�feguarded dtl!Jiing pr(l)au©tion alilcdi storrage until the tax has been paid and. th.e manner of release of s1.1ch article from storage; (h) specifying the manner in which and the substa11ce or substances with which aJlcoho1 shall be denatured; (i) spemyi1il,g th� c0Qcliti0m under whieh tl1e taoc may be remitted or refund eel on 1!W<.awle art4eles manufact�red within Our Empire, which are export.ed; (j) granting repayments a:md remittances mentio11ed in Article 19 hereof a11d det€1rmining the co11diitioms therefor; (k) providing for better ca.rryiI1g into effect of the provisions of this Pro clamation. J.
OFFENCES
36. U1 1less a greater pL1nishme11t is provided by the Penal Code: (a) any person who: . (i) r>rod uces for sale any taxable article witl1ou t bei11g i11 possession of a valid Excise licence; .. (ii) in1properly obtains an Excise licence by giving false inforn1ation or failing to reveal n1aterial particulars; (iij) t1ses for him9elf or transfers to any otl1er persot1 ar1y taxable article on wllich tlie tax has not bee11 paid; (iv) co11nterfeits any reven11e ba11delette, label, receipt or voucher which is or is desig11ated to be evide11ce of payment 11nder this Proclamation; (v) makes any false declartion f. or any JJ11rpose 1111cler this Proclan1ation or regulations iss11ed 1J11rs11ant to Article 35 hereof; (vi) fraudulently obtai11s a11y refu11d or reductio11 of the tax; (vii) by a11y other act fra11dulently e,,ades or attempts to evade or assist s in t�e evasio11 of payn1ent of any tax or fee in1posed by this Proclamat1on · (viii) fails to allo\v 011 dema11d ·a representative of the Reve11t1e Authority to .gain entry to .tl1e place at whicl1 taxable articles are being pro d11ced 01; stored· or . ,vho obstructs, assai1lts, iinpedes or iL1 an_Y hJs of 1 n nterferes Vi exect1tio an11er ! 1th the represe.ntative i11 . tJ1e -� . .- m _ · .. . duty acting 11nder Article 31 a11cl ·32 l1ereof; ·. · (ix) is responsible for the removal of taxable articles f'ron1 the place of p�oductio11 or a_ B_o11ded Warehouse at the place of prod uct�on y, orit Auth without the per1russ1on of a r�1Jresentative of tile Revenue whether ta� has been paid or not; shall be guilty of an offence a11d shall be p11nished witl1 a fi 11e of • not less than one tho11sand $ 1,000 Etliiopian dollars, and not Illore .- ·4.88 -
TAXES 0TtIER ':'I-IAN CUSTOMS
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tl1a11 � ei � tl1ousa11 d ($10,000) Ethiopian dollars or with impris on n1en� fo1 no_t less tl1an three 1_3) months an.d 11ot 1nore tl1an five (5 ) years, or \V1th bo th SL1ch fire a11d imprisonment; (b ) an y pe;so� \Vho contrave11es tre provisions of Articles 17 (a), 22 (c), 23 (b)_, -5, .:..6, 27, 28, 29 (b), 29 ( c) or 29 (d) of this Proclamation shall be gl11lty of a_11 o_ffen ce and be pu11ished \\ ith a fine of tip to five thot1sa11d ($5, 0�0) Etl11op1a11 clollars or witl1 im1)riso111nent of tip to 011e (I) )'ear or ,:v1th both sucl1 fi11e and i1np1is onment; (c) an y perso11 \Vho contrav en es a11y otl1er provision of this Proclamatio11 01: of_an y regt1lation isst1ed purst1,.11t to Article 35 hereof shall be pt1nisb eo ,:v1th a fine of t1p to one t ho11,an d ($1,0 00) Ethiopian dollars. 1
CllOSS REFER.ENCE The provisions of the Pe.oal Code dealing with offences most like those described here are Pen. C. 16/Ex.l (1957) Arts. 354-356, 360-365, 373-374, 3�7, 381, 428, 432-437, 630-635, 656, 658. Pro visions of the Code of Petty Offences which 01ight be applicable to offences described in Subarticle (c) are Pen. C. 16/Ex.l (1957) Arts. 740, 746.
37. In addition to any pt1nishn1ent in1po�ed 11nder Article 36 hereof, the Court on the applicat ion of the Prosect1tor: (a ) may order payme11t of a11y sun1 �hich is payable to the Revenue Autho rity hereunder, a11d Sl1ch order shall be capable of exect1 tio11 as a civil decree; and (b ) n1ay order the f orfeiture to the ·Gover1unent of any taxable article pro duced ,vithout a licence a11d an} machi11ery or appliance used i11 producing the same. 38. Only the issuance by the Court of an order pursuant to s11b-paragrap l1 (a) of Article 37 l1ereo f .shall bar civil proceedings by the Government for recovery of any slim owing and payable to tl1e Gover11ment l1eret1nder. 39. The general part o f the Pen al Code shall apply to any offence created by tl1is ·· Proclamat ion.
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CROSS REFERE�CE Pen. C. 16/Ex.1 (1957) Arts. 1-247.
40. No punishmei1t for a'n y offence a gainst this Proclamation shall ex tinguish · or abate taxes chargeable 11nder its provisions. .
TRANSITORY PlOVISIONS · . - · 41. Nothing in this Proclamation shall �ffect the li�bµity of any pe�so11 or body to pay taxes- 011 alcohol aiid any alcoholic pro�ucts, 1m,2orted ?r m anufact11re_d locally-� under enactmetlts whicll were.. in force p�l?� to .tl1e entry int?· force. of this Proclamatio11. · 1? at1on la oc is Pr th of e or to · in g in m :;o � e th � on 42. The rates o·f f::i.x to be applied shall apply to al l taxable articles which at t�e date of co�ng into force of this Proclamation have not been delivered from the Bonded Warehouse. ore coming f be ed su is s le ic t ar le b · xa ta f o · . 43 • All 1·1cences f·or the prodticti·on 111to forc e of this Proclamation shall expire on 30th Sene af. ter th.1s p roelam at·1011 conies into force. - 489-
11-5
EFFiIDCTIVE m:A1'E 44. This Proclamation shall come inito force on the eleve1, 1th day from th.e date Negarit Gazeta. of its publication in the FIRST SCHEDULE
Alcohol E'lcise Tax Eth.$
Tax.ah>le ArDioles Imwortecl
l. Alcohol o. f any fol'10 oJj not le;s than l90 degriees per, iiitme 0r bottle l!l\f' �@ @lil@ 111fine .........................................................................
8.00
2. G·rappa per litre or mottle up to on, e litre
.............. ....................... .......................... ...... ...
5.00
3. Alcoholic Liquors (a) per litre or bottle of more tha11 700 millilitres and 11ot more tha11 01Je Jitre ············"·····� .............................................................................................. (b) per bottle of n1ore tl1an 100 millilitres and not .more than 700 millil�itres .................. .......................................................... ................................... (c) per bottle of 100 millilitres and less ..................................:...................
2. 50 1.·15 0.25
4. Wine, ,rermouth and otb�r products of alcoholic fermentation containing more than 3% of alcohol
(a) per litre or bottle of n1ore tl1a11 700 millilitres a11d not n1ore tha11 011e litre ··�·······••u••····· ..··············�·························································.................... 2.50 (b) per bottle of 111ore than 100 n1illilitres a11d not more tha11 700 millilitres ....................................................................................t••··························... 1.75 (c) per bottle of 100 n1illilitres or less ............................................................ 0.25 5. Beer anci Stout of a,ny strength (a) per litre or bottle of moe that1· 650 111i]lilitres a11d 11ot n1ore tl1a11 011e litre ....................................................................... .......................................... 0 .3 0 (b) per bottle of more than 350 n1illilitres but not n1ore tl1an 650 n1illilitres ····················-··················································································•n••--··· 0.25 (c) per bottle of 350 millili1res or less ............................................................ 0.20 6. Alcoholic bevera.ges n.e .e. containing more than 3% of alcohol and · not more than 15% (a) · per litre or bottle of more than 650 n1illilitres and 11ot more than one litre .........................................................................:....................................... 0.25 (b) per bottle of 650 millili1res or less ............................................................ 0.1 5 7. Perfume (containing more than 3% of alcohol of any form) (a) per litre or bottle of n101e than 350 n1illilitres and 11ot more than one litre ......................... (b ) per bottle of more 350 millilitres ..................... . .. · .. ... . ... . . ... ... .. . . ... . . ..... ... ... ... ... .. ... ... ... .. ... ... . ' · · ··· (c) per bottle of I 0 0 millili t��� � � j �� � ·················· ······································ ····
tha�··1·oo·"�i·i1iiit;��·. ��·d·. ��-t· ·��·��-··th�·� - 490 -
2.50 0. 85 0.25
T�XES
0TJ:-IER Tl-IAN CUSTOMS
17-5
SECOND SCHEDULE Taxable Articles Manufactu1ed Within Our Empire 1. Pure Alcohol (a) Except i11 cases spec1·f1'ed 1n · Slll)1•-paragrapl1s (b) a11d (c) of this paragraph: per litre or bottle tip to one litre (b) Sold or. other\vise dis _ posed of tG tl1e for t1se 111 production of alcoholic liquors or other alcoholic bever_ages of n1ore than 3 degr:!es of alcol10I: per litre ........................................ ... ... . .. .. ... .. ... .. .. ... .. ..... .. .. .... ................. ......................... . . .... (c) Sold or otherwise disposed of to licensed 1nanufactt1rers for use in prod �1ctio11 of perft1mes of more than 3 degrees o.f alcol1ol, subJect to tl1e condition that alcohol shall be de11att1r�d in a way prescribed by the R.eve11ue At1thority and st1bJect to ?t1cl1 other conditio11s as n1ay be prescribed _ by regt1lat1ons 1ss11ecl by 011r lllinister of Finance: per Iitre ........................................................................................ .........................................
i1��-��-��d· ·�-�-���f����;�;·�
'
'
Eth. $
8.00
4.00
2.00
2. Denatured Alcohol per litre or bottle tip to 011e litre
........ .................. .. ...................... .... ...... ....... .....
1.00
3; Grappa per litre or bottle t1p to one litre
........................................................................
5.00
· · 4. Alcoholic Liquors (a) Except as ·specified i11 s11b-paragraph (b) of tl1is paragraph 4: (i) per litre or bottle of n1ore than· 700 millilitres and not more than one litre ......................................................................................... (ii) per bottle -of 700 n1illilitres or less ................................................ (b) where alcoholic liq11ors ma11uf1ctured locally are prod11ced from o.r ,vith the lISe of alcoholic in1ported liquors,' if the quantity of the imported alcob,)lic liquors 11eed in the local production exceeds 5% of tl1e vc' ltime of the finished product: per litre or bottle of not n1ore than one litre ..............................
8.00
5. Wine, Ver111outh and other produc� o·r alcoholic fermen�ation of more than 3% of alcohol · per litre or bottle of not more that1 oqe .litre ............ ..............................
0.25
'
6. Beer and Stout of any Strength (a ) per litre or bottle of more thaD 650 millilitres a11d not n1ore . . ....... ...... .......... ....... ...... ........ ...... ...... . ... ........ ... ..... . ..... .. .. ; .. . . .... . . . . . . . . . . . . . . . . .. than One 11tre (b) per bottle of more th an 350 nillilitres �nd 11ot more than ......... ..... , .. ..... ..... .... ..... re lit e on _ an th e or m t no d an es 650 millilitr ...... ..... ..... ..... ..... ..... ..... ..... .... ..... ..... ..... ss le or es tr ili ill m (c) per bottle of 350 - 49l -
2.50 1.75
0.30 0.20 0.12
d t s an ee no g11 de more 3 an th ie mo of e. 7. Alcoholic beverages n.e. than 1 5 deIDTees of alcohol t d es l10 an tr e ili or ill m m 0 65 an th · e or m of le tt r o bo r re a ( ) pe lit . · · ········· ·· ········ · ······ ·······-········· · · ·· ····· · ··· · ········ ······ 0 ····· · ··· · ··· tha11 1 111 1'tre ···························· ..... (b ) per bottle of 650 m.illi1it1aes ou less ............................................................ 0.15 8. Penomes ( of mo1Te than 3 degrees of alcohol of anJ form) (a) per litre or bottle of moiie tnan 35 0 m_�lllilitnes :ana not mere �i..a:".l.11n � . n.e1 I1J,!J..c;-11'!e· ···············•··•· ·············· ·· ············································ 2.50 (b) p@li b0ttle of m0r,e than 1©0 mititres atlil01 ut more th.an 350 millilitres ··"···· ..········ ..··•·-···- ···················· ··········•.-•- ···· ·· · ······•·· ···· ······· ········ ············· ··· ···•· ·•·-• 0.85 (c) per bottle of 100 n1illilitres or less ............................................................ 0.25 9. Tej and Tell a (if manufactured in factories and e�cept home made) (a) per litre or bottle of more than 350 millilitres and not more t.hat1 one lit.re ..................................... ................................................................................ 0.10 (b) per bottle of 350 millilitr,!s or less ............."............................................... 0.05 l!-J,.1
V,.J.' . .l,'
.I.'·
•••••••••••••••lo•••••••••••• •-•• •• •••• •
,_
TlllRD SCHEDULE Annual E1cise Licence Fee
1. 2. 3. 4. 5. 6. 7. 8.
Eth.$ For a distillery of alcol1ol, except grappa ...................................................... 500.00 For the prod11ctio11 of alcoholic liq11or ............................................................ 200.00 For the production of alcoholic beverages of more than 3 degrees of alcohol ......................................................................................................................................... 100.00 For the productio11 of wi11e, vermot1tb and otl1er prodt1cts of alcoholic fermentatio11 of 1nore than 3 degrees of alcohol ........... . 100.00 50.00 l;:.-or tl1e production of grappa ........................................................................ .......... . For the prodt1ction of beer a1d stout ............................................................ 150.00 For the production of perfun1es of more than 3 degrees of alcohol 50.00 in any form .................................................................................................................................... For tl1e 1Jrod11ction of tej or tella (1nan11factt1red in factories) 100.00 Do11e at Addis Ababa this 22nd day of April, 1965.
.. '
26/14 (1967) P . 249 A PROCLAMATION TO PROVIDE FOR PAY1\1ENT OF EXCISE TAX 0� PETROLEUM PRODUCTS AN)) LUBRICANTS CONQUERING LION OF THE -T·RIBE OF JUDAH · · HAJLE SELASSIE I ELECT OF GOD EMPEROR OF ETHIOPIA
In acc?rdance with Articles 34 and 88 of Our Revised Constitution, We appro_ve the resolutions of Ot1r Senate and Chamber of Deptlties and We hereby proctairn as follows: - 492-
17-6
I. This proclan1atio11 n1ay b e citecl as th:; ''Petrole111.11 pro dtic .· t s an r1c ll ar1 d L b · t s Excise Tax Proclan1 ation, 1967''. 2. The '' A11nual Highway Rei1ov,1tio .1 Expe11clitt1re Procla 1l1 atio11 1948'' l0 of 1 ati 3 on (Proclan !948) \vith all i� subseqt1e 1 1t a111endn1e11ts, J1�ve bee11 repe�l ed by the A1111t1al H1gll\Vay Re11ovat� on Expe11ditt1re (A 1 11 eL1d111 e11t) Decree, , 1960 (Decree No. 43 of 1960) a1 1d replacea b:y the prese11t Proclan1atio11.
�?·
CROSS REFERENCE An�ual Highw�y Renovation Expenditt1re Proclamation, 8/4 (1948) P.103. Annual l-Iigl1way Renovation Expend.1ture (Amend.ment) Decree, 20/2 (1960) D.43.
A.· . DEFINI'fIONS 3. In tl1is Proclamation:
l
(a) ''Bonded Warel1 ouse'' means any building or tank or other contai11er approved either by the Ct 1storns Administratio11 or by the ''Tax At1tho rity'' for the storage of taxable petroleum prod.ucts and lt1brica11ts be fore the tax is paid a.nd shall include the follo\ving types of Bo11cled · · Warehouses: (i) Ct1ston1s Bonded Warehot1ses a1)proved for the storage of in1ported taxable petroleum prodt1cts and lt1bricants upo11 whicl1 tl1e tax has not been paid; (ii) Excise Bonded Warehot1se� approved for the storage of taxable petroleum products and lut,rica11ts produced in Ot1r E111pire t1po11 which the tax bas not been paid ,rnd sitt1ated. either at the place of production o.r, if specially approved by tl1e Tax At1tl1ority, at any other place; (iii) Special Bonded Warehouses approved for the storage only of tax able petroleum products and lt1�rica11ts exempted from the tax and taxable articles which may qe subject to the payment of the tax at reduced rates under Article 19 hereof.. (b) ''Person''. m.eans any natural .person or any associatio11 of persons whether incorporated or 11ot. (c) ''Tax Authority''. mea11s the Autl1ority desig11ated by Ot1.r. Minister of Finance purst1ant to Article 18 hereof. ,, . (d) ''Taxable Petrolet1m Products and Lubricants'� mea11s petroleum pro dt1cts and lubricants specified in. Article 4 (2) hereof. B.
LEVYING OF TAX
4. (1 ) There shall be charged, levied, collected and p�id_ the Excise !ax on petroleum prodlicts an d lu.brica�ts P!odt1c�d \Vtthin Our Empire and. imported at the rates i11clicated 1n this Article 4 (2). Tax (2) Taxable Petroleum Prod11cts and Lubrica11ts Eth.$ (i) Light petroleun1 0.10 per ·············'·························· · ············· ············ gasses ··································· kilogramme
- 493-
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(ii) B 'enzin6, b>en.�01!1me, �tr@l, gase1i,me ... .... . .... .... ... .... ... .... .... .... .... .... .... .... s it ir sp r to o m er th d o an · ···· •··· .... .... .... .... .... l oi el es dj d an J oi s ga , (iii) N a.phtha .... .... .... .... .... .... .... .... ., .... .... n ffi ra pa eu w po d an e en os er ) K (iv ly rt pa ot lly ho w g, tin ba bF 11\l s l d 0i e an s a. ) (v Ore 1 of n1ineral origi 11
................ . ............................ u .........................
0.22 5 0.185 0.17 5
Peli litrr e per litre per litre
0.235 per kilogram,me
NOW 1f!he taxes proviaed! ferr under items 2, 3, and_ 4 a:be:v.e sha�l be levied on the qu·antities �alculated by adjusting speeific gravity and volume at obierr¥ed tempera:ituJlie (o 1•hose ait a st•andard temperature of 20 degrees Centigrade (68 degrees Fahrenheit).
5. Taxable petroleum proclu.0ts ans lllllh>r 1 Li.can1ts iD:1ported or produced by the Imperial Ethiopian Goverament, or for the use of said Government, shall not be exempted from the payment of the tax, provided, however, that �he Government shall be exempted from tax on such petroleum prod11cts and lubricants as are ex empted under Article 6 hereof. 6. The followi11g articles shall be exempt from the tax: (a) crude or partly refined _petroleum oils desti11ed for further processing in a refinery i11 011r En1r-ire; (b) petrole11n1 prod11cts and lubrica11ts used by air lines and air force insti tutio11s belonging to the Imperial Ethiopia11 Government or, on the sr>ecial agree111e11t of the Minister of Finance, 011 the basis of recipro city, s11ch f11els arid ]11bri:::ants to be 11sed by foreig11 air lines and air force institutio11s; (c) (i) fuel for 11se in agrict:ltur,11 tractors for tl1e p11rpose of preparation and cultivatio11 of tl1e soil a.11d in the 11arvesting of the products of the soil; . ' (ii) fuel for 11se in machinery engaged in boring or drilling for the purpose of exploration a.nd prospecting for minerals; (iii) f11rnace ojl for use in statio11ery e11gi11es a11d boilers foe stean1 and power generation. In no case sl1all exen1ptions mentioned above extend to petroleun1 products and lubricants t1sed in the tra11sportation or ca1·riage of any goods a11d passeng ers. 7. Subject to such conditions as may be prescribed by regulations issued by Our Minister of Finance pursuant to .�rticle 18 hereof, the tax shall not be payable o n taxable petroleum prodt1cts a11d lubricants J?roduced wit11iii Our Emp. ire which are exported. 8. (a) T�xable _petrole11m _prodJcts and lt1bricants exempted in accord�ce w1tl1 Article 6 of this Prcclamation shall be exeint)t from the follo wing taxes char?eable under tl1e Transactio11 Taxes Proclamation, 1963 (Proclamat1011 No. 205 cf 1963): ��) transact�on tax on goods imported; (11) transaction tax on g)ods manufactured loca lly; and (b) �unicipal taxes or taxes chargeable by aiiy Awraja Administratio �, if t. imposed on petroleum products a11d lub b1e c u s ricants shall be _ to the following limitations: l
- 494 -
l
\t
TAXES 0TI·IER Tl-IAN CUSTOMS
17-6
(i) The_ t�x charge�, levied, collected and paid on petroleum products spec1f1ed under 1t�n1s 2 tl1r0ugl1 5 inclusive of Aricle 4 (2) hereof, shall no� exceed Eth. $0.02 per litre a11d on petroleum products and lubricants who_lly or partly of mineral origi11 shall not exceed .Eth. $0.02 per kgm. (ii) Ligl1t petrole11n1 gases and petroleum products free or exempted from tl1e tax t111der this Pr)clan1ation or taxable at reduced rates introduced by Our Mi11ist�r of Finance pursuant to Article 19 hereof, shall be free of any taxes imposed by Municipalities or any Awraja Autl1ority. C.ROSS REFERENCE ·rransaction Taxes Proclan1ation, 22/18 (1963) P.205, 17 Consol. L. Eth. 17
C. TAX ON TAXABLE PETROLEUl\{ PRODUCTS AND LUBRICANTS IMPORTED 9. Tax on taxable petroleum products and. lubricants in1ported shall be charged, levied and collected by Our Cu;toms Administration at the Customs stations of entry and shall be paid by perrons i1nporting the same at the time of their clearance through tlle Customs, ·br at the time where such, Articles are removed fron1 a Customs Bonded Warehouse, where such a facility l1as been allowed by the Customs Administration, ex,;ept in the following cases: (a) where tl1e taxable petroleum ·product and lubricant imported is removed from the place of in1portatio11 or from Customs Bo�ded Warehouse for export, or (b) when th·e taxable petroleum pro ,iuct and lubricant imported is removed u.oder revenue · control from· the place of importation or from Customs Bo11 ded . Warehot1se to any other Bonded Warehouse. • 10. Our Customs Administratio11 shall be held respo11sible for the collection of ion the tax and shall apply its rules and regulEtions for the assessment and ·collect · · of the tax. ..
D. TAX ON TAXABLE. PETROLEUM· PRODUC. TS AND LUBRICANTS . PRODUCED WITHIN OUR EMPIRE ,
,.
11. (a) The tax on taxable petroleun1 products and lubricants pro�uced within Our Empire shall be charged, leYied and c �llecte� by the Tax Au t�ority and except as stated in paragraph (b) of this Article 11 shall be p� 1d by the person producing the taxable petroleUD]. products and lubricants. (b) Where the taxable petroJeum J.Xoduc� and lubricant has been allo�ed to be transferred by the Tax Authority from the place of production le ab h tax on suc e du tax the ce, pla er oth y an at se ou 1 rel ed Wa nd a to Bo . petroleum prodttct a11d Iubrican: shall be _paid by the operator of such Warehouse. 12. The tax due on taxable petroleum products and lub!icants shall be payable before delivery of the taxable petrole·um pioducts _and lubricants from the place of production, or Warehouse. as provided fo r by Article 11 (b) hereof, and no taxable - 495 -
17-6
lOPIA H T B F © S W A L D 'I'R M JI CoNSOL
d e th o fr p,l e ce h ei d � .' of � e pr o� m re: e 1> · o l al rn o � � s. t tl Iu an ri uc t d . uc pe an . _ , • . tF@leum precl s. g 1n se w ca o f 11 0 e th · n 1 t p ce ex d a· t10.n o:r Warehou ,se unt11 th e tax 1s P J t an ic br j� remo ved with lu d �n t uc od pr m le:.1 tro pe e bl (a) Where the tax.a an ise c om r f x Ex Ta ity or nded ut A B � x Ta o e th oil n sio 1is the special per11 _ re he r reprocessi ng ew fo els or on ct1 u . od pr o: e ac pl e th se at ou eh ar W at the re finery. (b) Whe,re the taxable petroleum product an.d lub�cant is to be r�mo ved with the written pero1ission of the Tax .Aut_hority from an Excise Tax or Special Bonded WarehoLise for: export or for an approved use pro vided for un<der Article 6 llereof. E. BONDED WAREHOUSES .
13. (a) At each place of prodttctic11 of taxable petroleum prod�cts a11d lubric ants an Excise Tax Bonded Wa.rehouse shall be establ1shed to which taxable petroleum products and lttbrica11ts sl1all be removed as soon as they are produced. (b) Excise Tax Bo11ded Warebot1ses at places otl1er tha11 t11e place of pro ductio11 of taxable petro:e11m prod11cts and lt1bricants and Special Bonded Warehouses may be established 011ly with the permission of the Tax Authority. (c) All Excise Tax Bo11ded Warehouses a11d Special Bo11ded Warel1ouses shall operate in accordance with tl1e regt1lations wl1icl1 shall be iss1ted by Our Minister of Finarce. 14. All Excise Tax Bo11ded \\Tarehouses and all Special ·soncled \.Varehouses s\1all be subject to tl1e co11trol of represe11tative or .re1Jresentatives of the Tax Autho rity and no taxable petroleu111 product a11d. l11bricant shall be ren1oved from said Bo11ded Warel1011ses except i11 tl1e 1Jrese11ce a11d with the pernlissio11 of s11cl1 repre se11tatives. i 5. Ot1r Mi11ister of Fi11ance sl1all be e111powered to issue Regulatio11s specifying the co11ditions under wllich taxable p�troleun1 l)rodt1cts and lubricants 1nay, ,vith the permission of the Tax Authority, be ren1oved fro111 the place of productio11 to approved Bonded �arehouses_ aod i11 partic11Iar deter111i11iog what allowa11ces shall be made for losses incurred 10 st1ch removal, cl11e to cat1se beyo11d tl1e co11trol of either the producer or the distributor, and tl1e circ111nsta11ces i i 1 ,�11.ich sucl1 loss es sl1all be exempted. fro.111 the pay1ne11t :>f the tax.
F. OB LIGATIONS OF PRODUCERS OF TAXABLE PE'fROLEUM PRODUCTS AND LUBRICANTS AND OF OPERATORS OF BONDED . WAREHOUSES 16. Any producer of tax�bl� petrole11m products an ti d l bricailts atlCI �l 11y operator o·f a Bonded Warehouse within Our En1pire shall: (a) allo:" a repr· esentative or representatives of tile Tax Authority to _be stationed at the place of prodtictio11 or of h L r f � us e o a Bonded Wareho purpose of revenue supervisio11 and taki , eto he r t ng all actio11 i11cidental -'496 -
I·
.,
,-1 AXES 0TtlER 'fl·IAN CUSTOMS
-1 7-6 -------------------· (b) mai11tai11 at the J?lace of :prodt1ction or at a Bonded Wareho11se a11d 1�1ake acclirate cla1ly entries in thG boolcs ai1d records co11cer11ing q11anti t1es of tax:1ble pe�roleum prodt1cts and l11bricants produced or received _ a1�d d1spo� e� of 111 ��corda11ce •,yitl1 regul,1tio11s which may be iss11ed by Ot1r i\11n 1ster of F1na11ce pt1rsua11t to Article 18 hereof· ' (c) prod11�e 011 den1a11d said books and records to a11y al1thorizecl representatives o.f tl1e Tc:lX At1thority: (d) s�? mit to the Ta� �utl1ority sucl1 periodical rett1r11s as may be pres c11bed by 011r M1ruster of F11. 1ance; a11d (e) in � e11eral, render to tl1e Tax A11tl1ority and its represe11tatives st1ch ass1stanc � as may be necessary ti) enable tl1em to carry out their d11ties 11nder this Proclan 1atio11. G. POWERS OF THE TAX AUTllORITY . 17. A11y represe11tative of the Tax Authcrity sl1all l1ave tl1e right to enter upon the con1po11nd and any premises at the place of production or at a11y Bonded Wareho11se: . . (a) ,vithi11 worki11g hours only, for the purposes of: (i) calling for, exan1ining and making extracts fro1n any books of accou11t or records n 1aintait1ed by the person operati11g the place of production or Bonded ,varehot1se; (ii) taking stock an d acco11nt of taxable petrolettm products and lt1bric ants prodt1ced; (iii) other\vise ascertaini11g that the provisions of this proclamation and reg11lations isst1ed here1111der are being observed. (b) At any time, if he has reruon to suspect that an offence against this Proclamatio11 or regulations iss11ed thereun der _l1as bee11 or is being comn1itted.
H.. POWERS GRANTED TO OUR MINISTER OF FINANCE 18. Our Minister of Finance is a11thorized to issue regulations: (a) desig11ating the Tax Authority which shall deal with implementatio11 and e·nforcemen t of the provisions of this Proclamation regarding taxable petroleum prodt1cts and :ubrica11ts produced within Our Empire; (b) desig nating taxable petroleum pr?d11cts_ and- lubrica�ts specifi� d un�er Article 4 (2) and those mentione:l 1°: A;t1cle 6 h�reof _in comparison w1th _ the Customs Tariff list giving descr1pt1011 of srud articles correspo11d1ng to their chemical an d physical properties; (c) specifying co11ditions of distribLtio11 of petroleum products and lubric ants exempted from the tax and sucl1 which_ in cases mentioned under Article 19 hereof ma y be subje,t to taxes at reduced rates; {d) specifying conditions u nder which t�x ma y be remitte� �r refunded ? n taxable petroleum products a n d lubrican ts produced w1th1n Ou r Empire which are exported;
- 497-
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•
17-6.7
ETHI0PIA CoNSO]i,llE>AlfED L�ws OF
t and re turns to ,¥> ke �e to s rd co re be Illad: (e) specif;im,g th.e books s ch u ich bo wh tn ; m for 0ks and rec the 1J1d a eof her 16 under Article ord s sh.all be kept an d return s ma�e; a n� ta xable pe�roleum produ ets ich wh in r . nne ma the (f) specify�ng and n tio uo and storage lu bricants shall be safeguairded dur, mg rprod until the tax has been pa id; (g) regulations mentioaed in �ticle 15 h�eof; (h) such other regulations which m ay be ne�essary for the better carrying out of the provisi0 ns of this Proc1amat1on. e pm o el_ nt_ o_f Our d�v ic nom e?o the for_ ry a ess nec be a Empire, 19. In ca se it m y Our Minister of Finance, in consultation with the Council_ of Ministers, shall be empowered to iss ue regulations introduc�ng further exe�pt1ons fro.m t�e pay ment of tax.es chargeable under this Proclamation or to reduce the ra te of said taxes, in addition to the exemptions mentioned in Article 6 and 7 hereof, where it may be necessary in connection with the use of taxable, petroleum products and lubric ants in specific branches of ind ustry, or mining or a griculture. a nd
I. OFFENCES 20. U11less otherwise higher penalties are provided in the Pena l ·code of Ethiopia: Whosoever is responsible for the remov al of taxable petroleum products and lubrica.n,ts from the place of l)rod uc1ion or from an y Bo11ded Warehouse without payment of tl1e tax due in co 11trav,en\ion of the ,provisions of this Jlroclamation; or Vv'hosoeve;r, witho11t lawf11l exc11se, has i11 his possession or use taxable petroleum products and lt1brica11ts exempted. from the tax or s11bject to the payment of the tax at red11ced rates for different lJurp,oses .tl1an suc. h which justified the exemp tion from or reduction or whosoever in any other way evades the payment of the tax or a part thereof shall be guilty of an offence and shall be liable on conviction to a fine not exceeding fifty thousand Ethiopian ·-dollars (Eth. $50,000) or to simple im prisonment or to both a fine and simple •imprisonment. ' CROSS REFERENCE The most likely provisions of the Penal Code wl1ich deal witl1 ofiences such as those described here and \vhich might entail a higher penalty are Penal Code. 16/Ex.1 (1957) Arts. 360-364 as aggra• vated by the circumstances described in Art;. 365, 630-635, 656 a11d 658.
21. No pu1�shment for an offe11ce of this Proclan1atio11 shall extinguish or abate . taxes or penalties chargeable under its provisions . .
J. ENTRY INTO FORCE 22. This Proclamation shall corr.e into force 011 tl1e date of its publication in .the Negarit Gazeta. .. D one at Addis Ababa this 22nd day of J·uly 1967. 27/� (1967) L.331 · · R E G U L A T IONS . IS.SUED.PURSUANT TO �IE 'PETROLE UM PRODUCTS AND LUBRICANTS EXCISE TAX PR oc�AMATION, 1967 . t Y 1 . These Regulations are issued ·Jy · the Min ori · th pinance _pur�uant t au · t o f . vested in him b y Article 19 of the Petroleum �x se 'faX ci : r� � ts t n s an uc ric a d L�b Proclamation , 1967 (hereinafter referred t 0 a·s ''the : procl amat1on.' '). · •
•
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TAXES OTHER TI-IAN CusT01v-1s
17-7,8
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2. Tl1ese Regul�tions may be cited as ''The Petroleun1 Products and Lubricants Excise Tax Exemptions Regulations, 1967''.
3. Petrolel1m Prodt1cts a11d Lltbricants used by or for: (i) the I mperial Navy, (ii) 1\1ercl1ant Ships a11d Vessels cltdy· registered u11der tl1e Maritime Pro clan1ation, 1953, (iii) Foreign Slups at1d Vessels, (iv) Ii:stituti�ns or enterprises enga1ed in the exploitation of mi11erals pro vided prior approval of the Ministry of Finance is granted, (v) Rail\vay enterprises, (vi) Irrigation pumps and otl1er _pl111ps ltsed for the distribution of \Yater supplies to the public, (vii) Imperial Board of Telecomn1tnications of Ethiopia, (viii) Imperial Highway Authority, (ix) Stationary e11gines for the production of electricity for pt1blic supply. (x) Stationary e11gines of any factory whicl1 are to be ·used for prodt1ction of electricity in cases of interr1ption of public electricity st1pply are hereby exempted from the excise tax chargeable tinder tl1e Procla. . . mation.
CROSS REFERENCE Maritime Proclamation, 13/1 (1953) P.137, 11 Co11sol. L. Eth. 2.
4. These Regulations shall con1e i11to f,)rce the Negarit ·aazeta.
011
the day of their publication in
'
day of ]-J"oven1ber, 1967. Done at Addis Ababa this -10th '
D.. Health Tax . '
18/14 (1959] D.37*
THE HEALTH TAX DECRE�, 1959
CONQUERING LION OF 1HE TRIBE OF JUDAH HAILE SEL.�SSIE I ELECT� OF ·aoo, EMPEROR OF ETHIOPIA ld s ou ice sh rv h se alt r he Ou of s tie ili :ac e th at th . WHEREAS ' i� is Our. desire be improved· and : ·\ ch es su as ise d. ith g w in al r d fo ad m be ld � ou sh � WHEREAS, special provision _ nd s se ' ea 1s us io ? as leprosy, tuberculosis, malaria, an d other contag .� e to ad be m on s1 v1 pr al ci an fin l na :io di ad � at WHEREAS, it is necessary th ; es ic rv se th al he e th nd te ex to h l lt enab e Our Ministry of Public Hea '
t .
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•INTRODUCf0R1' FOOTNOTE Orig. 18/14 (i959) D. 36; renu111:. a1.1cl app. 19/� (1960) N.A.S.
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11-8
C©NSOLIE>Aif.HD l,;A�S ©F EmUlOPIA
r le ,2 Ou @f ti€ Ar vis Re ffll wi e ed nc rda co ac c ',\\:Insti-.· E in QR Efii �Ri W 'fH :WO , . . , (\J deer� +. rs, TIT, -vv,e accora·tngl11 ' . Slle tution' a11d on the advice of Our Co11nc11J or MIiJ.lll"'e as follows: I. This Decree may be cited as the ''Health Tax Decree, 1959'' . 2. There is hereby esta0lished a llealth tax wl1ic,h shall be charged, levied and collected as hereiaafter set forth. 3. 'Jlbe health tax sha,11 be collected together with the la11d tax and shall b levied on the sa.me lands in accorrdaEee with tke sam.e �aws an_d regulati0ns as th: land tax, th.at is, ilil ace01idauce with. tlae Land 'fax Pr@clam� t1on Nro. 70 of 1944, as amended by Proclamart:i@m Ne. 84 @i 1941 and Pir@clamat1on No. 117 of 195] and with regulations issued pursuant to these Proclamations. The health tax shall also be charged, levied and collected on ''Samon lands" ''Rist gt1lt lands'', ''Maderia lauds'' and ''Siso gult la11ds'' in the same way as 01� other city lands. CROSS REFERENCE The Land Tax Proclamation, 4/2 (1944) P. 70, as a111ended by Land Tax (Amendn1ent) Pro clan1ation, 6/5 (1947) P. 84, by Land Tax (.A.mendn1ent) Proclan1ation, 10/10 (1951) P. 117, and by various other Jaws appears at, 17 Consol. L. Eth. 11.
4. The rates of the health ta.x i11 respect of variot1s categories of land are hereby :fixed as follows: (a) measured lancls i11 all districts of tl1e Provinces of Shoa, Harar, Arussie a11d Wollo; Etl1.$ 15.00 JJer year fertile lands senli-fertile lands Eth.$ 12.00 per year poor la11ds Eth.$ 4.50 per year (b) mea.sured lands, in all districts of the Provinces of Wollega, Sida1110, Illubabor, Ge111u-Gofa and Kaffa: fertile lands Eth.$ 15.00 per year semi-fertile lands Eth.$ 12.00 per year IJoor lands Etl1.$ 4.50 per year (c) unmeas11red ''Gebbar land'' i11 all Provinces: 1st category Eth.$ 6.00 per year 211d category Eth.$ 5.10 IJer year 3rd category Eth.$ 4.50 per year 4th category Eth.$ 3.00 per year 5tl1 category Etl1. $ 1.50 per year (d) ''Rist land'' in the Provi11ce of Sl1oa Amara.: 1st class Eth.$ 6.00 per year Eth.$ 5.1O per yea1· �nd class .:,rd class Etl1.$ 4.50 per year 4th class Eth.$ 3.90 per year 5th class Eth.$ 3.00 per year th class Eth .'$ 2.1O per year � . th class Eth.$ 1.50 per year · · 8�h class Etl1.$ 0.60 per year .. . e - In the Province of GoJJam, Tigre and Begemdir the health tax sha. � 11 be . paid 1n money at the rate equal to 301/o of the an1ount of land tax which was in fore 1n the year 1927 (E. C.) plus the estimated tithe in ino . ney. - 500 -
17-8,9
TAXES. 0TI-IEH. Tl-IAN CUSTOl\/IS
6. The l1ealth tax shall be collecte d on citv. Ia' 11 ds a·, t ·t.h e I.ate of 30% of· t he rates 1.,r O · · a1 tax 011 Iand. · · · · 1v. 1 un 1c1p Collectio11 sl1all 1:e made by of the l\ ·['th � M11 n1c � 1 a I Atit I1or1t1es, and amou11ts so collected shall· be tra1.1sn1 itted to Our 1v 1111 ster of F1nance . 7. All_ t�xes collec�ed l1 ere11 nder s hall be acco11nted for se aratel Y 1· 11 tl1e b001,."s P stry of M1n 1 F111ance. of Our 8. This Decree shall come i11to force on 1st Maskaram, 1952 (12t11 Sept., 1959). Done at Addis Ababa this 31st day of August, 1959. E,
Income Tax
20/13 (1961) P. 173* A PROCLAMATION TO PROVlDE FOR PAY.MENT OF INCOl\llE 1AX CONQUERING LION OF TEE TRIBE OF JUDAH HAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETHIOPIA In acc?rda 1 1ce with Articles 34 and 88 of Our Revised Constitution We approve the resolutions of Our Senate and Cl 1amber ,)f Deputies and We hereby proclaim as follo\vs: . 1. This Proclamation niay be cited as th� ''I11come Tax Proclan1atio11, 1_9 61''. 2. Except as is required by the provisions of Article 73 hereof, the Income Tax Decree, 1956 (Decree No. 19 of 1956) and the I1 1come Tax (An1endn1ent) Decree, 1959 (Decree No. 34 of 1959) are l1ereby resci11ded and replaced by tl1is Proclamation. .
I. DEFINITIONS
3. In this Proclamation, 11 11 less the conteKt otherwise req11ires: (a) ''body'' ·means any incor1Jorated body with linuted liability; ( b) ''pe rson'' means any nat11ra l perso11 , and a ll forms of associatio11s, ng partnerships, b11t excluding incorporated bodies witl1 limited udi incl , liability; (c) ''busine ss'' 1neans any industrial, commercial, banking, trans1 Jort or mining activity pursued by any i:ers�n. ?r body, as well as any person or body c arrying on any of s11ch act1v1t1es; e s_" �1ea11s os l rp �a pu ltu icu a gr r fo ies v:t cti ''a or ' es' iti tiv ''agricultural ac ··· · (d) · arve� �1ng of h e th or d/ an d n of l t en pm lo ve de or � d/ a:n n the cultivatio _ _ s in� a?d breed1�g of �vestock i ra e th 1:le cl1 in al sh d an nd � la m any crop fro on such la nd but shall not 1ncl11de: o ses, rp . g pu rin be m r lu fo ts s re fo d :1.n ds oo w (i) the ex,ploitation · of 1�tural prod11c! s, ct ri ag of g in m or sf an tr (ii) the processing cir attle or c g 1n e re r r st , e � l, f ra � tu ul ric ag r to � g . (iii) other · activities re latin t1 es, 1n accorda nce v1 t1 d a� ai s re e h w s se ca · in d n · -maintaining pastlire 1a · . . . . . (
--;._ · __ __ ___ TE· FOOT NO RY DUC TO *INT RO _· . . , .. r • •
-_· _·
. ) C.65. 67 (19 /7 27 rr. co as 5 25 2 ) P. · 67 (19 ( 4· 2 2 24 p, ) 19 , 7/ · .Aind. 6/2 66
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11'14
��-----------___,,--�_...�--:--.----:::-:--:----- mme al Com.e fi the 1Em1;,i ,n
(e)
(f)
(g) (h)
0 vej e C� ith e ef of s oa isi oVi with the pr F e su p b>y de s tra a ed u � s or by er 1c:l ns co fue l aa sb Bffliliepia of 1960 e, d JJ: an tilflr na all e1 e» m m c0 a of S l' oli ti za nJ ga busiQess o:r 19 �e , cat @f . b� eeding 54 o. _ 142 on ati N m cla Pro g din an : (iv) n.otwit:, hst 1 _ g din tra 18 d ge ga n e. and 1neom.e t no s n . rso pe by activities pt1rsued derived theFefrom. ''income'' means every sort of revenue, fr0� whatev�r sourc� derived and in wh,ate¥er Ferm paid, credited or _JJe?e1ve�, whic� h·as its orig in within Ethiopta, ifres·pective of wne�aer. 1t 1s paid, cred1ited or reeeivecl withiin or wi�hout Ethl@]!)ia � ''gross income'' means tae total of all in.co�e received by any taxpayer before any d.eductions whici ma¥, be a1uthor1zed hereund.er; ''taxaible income'' mea\BS the amount of inc0n1e, calcl!llated in accord ance with the provisions of this P11oclamation and regulations issued hereunder, on which income tax sh.all be charged, levied and collected; ''taxpayer'' mea11s any person or body receiving income and liable to pay tax hereunder.
CONSOLIDATION NOTE Am,d. 27/4 (1967) P. 255 A.rt. 2A. CROSS REFERENCE . ComnJ. C. 19/Ex. 3 (1960) Arts. 4-10. Cattle Tax Proclan1ation, 14/1. (1954) P. 142, 17 Co11so!. L. Et/1. 1. Taxation of
NOTE OF DECISIOr..r
tM'O
related compar1ies
\.Vhere tl1e Tax Appeal Comn1ission decided to treat the appellant Company and a related com1Jany as a single entity for i11come tax purposes, althot1gh the two companies were registered separately ,,,ith tl1e Ministry of Com111erce an.d Industry, the High Court (Addis AbalJa) reversed tl1e decision a11d held tl1at the definitions of taxpayer in the Income Tax Proclamation does not n1al(e a11y disti11ction between two separate bodies and t¥lO bodies, 011e of whic11 is dependant financially on the other or two bodies which have the same sl1areholders. In default of sucl1 legal distinction' the two bodies are different entities a11d are subject to be taxed separately. Mosvold (Ethiopia) Ltd. v. Inland Revenue Departn1e11t (High Ct. Addis Ababa, 1967), l. Eth. L., vol. 4. p. 104.
II. LEVYING OF TAX as me inco the provisi?ns to_ h. e reof, every person or body having 4. Subj�ct _ .ied defined herein 1s liable to pay income tax thereon, whicl1 tax shall be charged, lev and collected as fallows: (a) on income from employment, including, ,vithout limitation, salaries, wages, allowances_, pensions, directors' fees and other personal emolu· ments: under Articles 7, 8 and 9 hereof (Schedule A); (b) on income from rent of lands and buildings (irrespective of for whateyer p urposes the lands an? buildings rented are to be used), including income from crop-shan.ng arrangements made betwee owners of the n ]ands and tenants: under Articles 10 an d 11 he reof •(Schedule B). - 502-
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· . TAXES OTHER. Tl-IAN :CUSTOMS
17.:9
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(c) on 'income from any trade, bt1siness, profession or vocation and from any activity mentio11ed in st1 b-paragraphs (i), (ii) and (iii) of Article 3 (d) l1ereof, and from a11y inter�t a11d from all other sources no t speci fically mentio11ed in paragraphs :a), (b) and (d) of this Article 4: under Articles 12 throt1gh 17 inclusive hereof (Scl1edt1le C). (d) on income from agrict1ltt1ral activities as defined in paragraph (d) of Article 3 hereof: under Articles 17A through 17H hereof (Schedule D). CONSOLIDATl·)N NOTE An1d. 27/4 (1967) P. 255 Art. 2B-C as corr. 27/7 (1967) C. 65.
5. Income tax sl1all be calct1lated septrately for the four Schedules referred to in Article 4 hereof, a11d shall be charged, levied, collected and paid on the aggre gate amo11nt of taxable income chargeable under each of said separate Schedules. CONSOLIDATJON NOTE An1d. 27/4 (1967) P. 255 Art. 2D.
6. If any income or part thereof is received i11 tl1e form of a benefit in kind, the valuation of said benefit in kind shall be a)proved by the Income Tax Authority.
III. SCHEDULE A 7. (a) The tax on income from employn1ent shall be charged, l�vied and col lected n1,onthly and shall be imposed on the taxable incom · e of the pre ceding months at the rates spe;ified. in this Article 7; provided, how ever, that where such income is received in the.form_ of a.payment cover ing a period longer than one (l).. month, the tax payable shall be com puted· by prorating the income receive� ·over t�e number of· n1onths covered by such payment. : ·.. . .· (b) The tax on i11come under this ,\rticle 7 (Schedule A) shall be charged, levied, and collected. at tl1e following rates: Taxable income per month Eth. $ .
Up to Over '' ', ', '' '' '' ,, '' '' '' '' '' ,, '' '' '' ''
25
25 40 50 60 80 100 125 · ·150 -i75 200 300 350 400 450 500 550 600 650
but '' ,' ', ,' ,, ,, ,, '' '' '' ,, ', '' '' '' ,, ,,
'
not exceeding '' ', ,' '' ,, '' '' '' ,' ', . .. ... ..,,.. ...... ,, '' ''• '' . '' ,, '' ,, '' ,, ,, ,' ,, '' '' ,, ,, '' ''· '' ,, '' '' .,
,
,.
Tax per month Eth. $ or %
\
.
I" •••
.
.
, , -
,
- 5�3 -
NIL. 0.75 40 1.50 50 2.00 60 2.75 80 3.75 100 4.75 125 . ·.. 11 50 6.00 . : 7.50 · , __ 75 1 · · · · . 200 . . . 9.00 -13.50 250 22.50 350 27.00 400 31 �so ·. 450 36.00 ' 500 40.00 550 46.00 600 52.50 650 , 60.00 700
HIOPIA T E F © S W A L E> B 1i A: tD L O S 00N
Taxable incon1e JPer month Etl1. $ '' '' '' '' 700 '' '' '' '' 750 '' '' '' ,, 800 ,, '' '' '' 850 '' ,, ' '' ' 90(:) '' '' '' ,, 950 '' '' ,, '' 1,000 ,, '' '' '' 1,075 '' '' ' '' ' 1,150 '' '' '' '' 1,250 '' '' '' '' 1,500 '' '' '' '' 1,750 , ' '' ', '' 2,000 '' '' 2,250 '' ' ' '' ', '' '' 2,500 '' ', , ' ' , 3,000 ,' '' 3,500 '' ,, '' '' '' '' 4,250 '' ,' , ' ' ' 5,000 A111d.
75©
8©0
850 900
,s0
[,000 1,075 1,150 1,250 1,500 1,750 2,000 2,250 2,500 3,000 3,500 4,250 5,000
CONSOLIDATION NOTE 27/4 (1967) P.255 Art. 2E.
T� per month Eth. $ or %
61.50 10 per 10.5 '' '' 11 11.5 '' ' ' 12 '' 13 ', 14 '' 15
16
17 18 19 20 21 22 23 24 25
'' '' '' '' '' '' '' ., ,, ''
ce11t '' ,, '' '' '' '' ,, '' '' '' '' '' '' '' '' ,, ''
8. Taxable income from en1ployment shall i11clt1de all 1)aym.e 11ts in cash and all benefits in ki11d unless Ot1r 1v1inister of Finance shall by regl1lations excluded certain categories of payments in cash or benefits in kind froni income from employment. NOTE OF DECISION Under an earlier law, tl1e Higl1 Court l1eld that salaries paid to tl1e cl1ildren of the manager of a business are taxable incon1e to the children, even tl1ough tl1eir salaries may not be deducted from the taxable income of the business as bt1siness expenses. Shalom Shalon1ay v. Inland Revenue Department (High Ct., Addis Ababa, 1962), J. Eth. L., Vol. 3, p . 58. Note: The decision ,,,as based on the Incon1e Tax Decree, 16/1 (1956) D. 19, and on the re· gulations issued under that Decree, 17/7 (1958) L. 215 Art. 8 (a), wl1icl1 were repealed and replaced by sin1ilar provisions in the present Proclamation and in 22/1 (1962) L. 258 Art. 17 (b) (i), 17 Con· sol. L. Eth. 10.
9. Income attributable to ·the month of Nahase and Pagume shall be aggregated and treated as the incon1e of one (1) n1011tl1.
IV. SCHEDULE B
10. (a) The tax on income frorn sources mentioned in paragraph (b) of Article 4 hereof shall be charged, levied, collected and paid. annt1ally and shall l, shal which imposed on the income of the be IJreceding accounting year in principle, correspond to th � Ethiopian �sea! year: provided, how eve r [ _ that the Income Tax Authority may, at rts d1scretion, allow the 11se 0 a different accounting year; ed , rg cha payable 1:3nder this Article 1O (Scl1ed 11le B) shall be (b) Th� t�x . and collected levied at the following rates: ) (20% t cen (i) in the case of income of bodies, at tl1e rate of twenty · per · of the taxable income; (ii) iri the case of persons at the follovving rates:
- 504 •
,.fAXES 0TI-lER fHAN CUSTOMS
-
Taxable annual income Eth. $
17-9
Tax per annum Eth. $ or %
Not exceeding 300 3.00 Over 300 but not exceeding 480 9.00 ' '' '' '' ' 480 6 00 18. 00 ' ' ' ' '' '' 600 72 0 24. 00 ' ' '' ,, ' ' 720 96 0 33. 00 , ' '' '' '' 96 0 1,2 00 45.00 ', '' '' '' 1,200 1,5 00 60.00 '' '' ' ' ' ' 1,500 1,800 75. 00 ' ' '' '' ' ' 1,800 00 2,1 90.00 ' ' ' '' ' ' ' 2,100 2,4 00 1 0 8. 00 ' '' ' '' '' 2,400 3,000 00 162. , '' '' ' '' 3,000 3,6 00 216.00 ' '' ' ' ' ' ' 3,6 00 4,2 00 27 0. 00 '' '' 4,200 '' '' 00 4,8 324. 00 . ' '' '' ' ' ' 4,800 5,400 378. 00 '. ... '' 5,400 ' ' '' 6,000 432.00 '' '' 6, 000 , ' '' . 6,600 480. 00 ' ' . '' ' ' ' ' 6,600 7,200 552.00 '' '' 7,200 '' '' 7,800 630.00 '' '' 7,800 '' '' 8,400 720.00 '' '' '' • •, 81 0.00 9,000 8,400 ,' '' 9,600 10 per ce11t 9, 000 '' , ' '' '' 10 .5 per ce11t 10,200 9,600 '' '' ' '' ' '' '' 10,200 '' '' 00 ,8 11 10 '' ' ' ' '' ' ' ' '' 11.5 l l, 4QO 10,800 ' ' ' ' '' '' 11,400 ,, '' 12 12,000 '' ' ' '' '' 12,000 '' '' 13 12,900 '' '' ,, '' 12,900 ' ' '' 14 13,8 00 '' '' ' '' ,, 13,800 '' '' 15 15,000 ' ' '' '' '' 15,000 '' '' ' 16 . 18,000 '' ,, '' '' 18,000 '' '' 17 21,000 '' '' '' , ' 21, 000 '' '' 18 24,000 '' ' ' '' '' 24,0 00 '' '' 19 27,000 ,, '' '' '' 27,000 '' '' 20 the of d 14 a11 13 les tic Ar th wi ce an ord acc in le ab rge cha (c) Surtaxes as a11y d on cte lle d co a11 ied lev , ed arg ch be all sl1 on ati lam oc l Pr Principa . ss of ce ex is in h hic 0 \v 1 le tic Ar s tl1i r ce 11n ble xa ta e om inc e th of rt pa the tl1irty tho11sand dollars (Eth. $30,000). • ,
I
�
CONSOLIDATION NOTE Anzd. 27/4 (1967) P. 255 Art. 2F: ..
. .
4 le tic Ar of ) h (b ap gr ra pa in d ne io nt n1e s ce 11r s0 . 11 Tl1e tax op. -i11come from h�reof shall be calc11lated in accorda11ce wi1h regi1latio11s iss11ed by Our Minister of Finance, \Vllich reg11lations shall; inter alia, provide that: i11 kind; ts efi en l b · al d an sh ca in ts en ym p1 (a) gross 1ncome sl1all incl11cle all le ab 11t ib tr ed at �v c re ts_ un no a1 s, er ar qu � d he 1is � (b ) if the· ta. xpayer rents fur1 oss gr as ed 11d cl be 1n l al sh t en pm ui eq d an e 1r ft1r1iit1 of g to in "ie nt tl re • income;_ - 5 0 5-
(c) the following a.mouiits shall be deducted Er0m gfoss inceme in calcula t-· ing taxabl· e income: (i) ta.xes, except income taxes, paid with respect to the land and buil d ings being rented; and (ii) one 9-uarter (1/4) ?f the gross income received as r�nt for ?U.ildings, furniture and equipment, as �n _aUlowanc� for repairs, 1;t1 a1otenance and depreciation of such bu1Jd1ngs, ft1rn1ture and equipment. CONSOLIDATION N01rE Amd. 27/4 (1967) P, 255 Art. 2G. NOTE OF DECISION
Taxable Income from rent. Under an earlier law, the High Court held that, where a taxpayer owns both a business which produces income taxable under Schedule C and the premises used for the business, he may deduct from his Schedule C incon1e a reasonable allowance for the rental value of tl1e premises, with the result that this amount will be taxable under Schedule B rather than Schedule C; if he does so, he may not also deduct from his Schedule C income for depreciation and repairs on the premises. Shalom Sha]omay v. Inland Revenue Depart1nent (High Ct., Addis Ababa, 1962), J. Eth. L. ' vol. 3, p. 58. Note: The decision was based on 16/1 (1956) D. 19 Art. 11, which was repealed a.nd rep]aced by simi1ar provisions in the present Article.
V. SCIIEDULE C
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12. (a) The tax on income from sot1rces me1.1tioned in paragraph (c) of Article 4 hereof shall be charged, levied, collected and paid annually and shall be imposed on taxable income of tl1e preceeding accounting year which shall, i11 principle, correspo11d to the Ethiopian fiscal year; provided, ho\vever, that the I11come Tax Authority may, at its discretion, allow the 11se of a different acco11nting year. (b) the tax on i11come paya.ble 11nder this Pi...rticle 12 (Schedule C) shall be charged, levied and collected at the followi11g rates: (i) on bodies, at the rate of twenty percent (20%) of taxable income; (ii) on persons, at tl1e following rates: 1"'axable annual income Eth. $
Tax per annum Eth. $ or o/o
Not exceeding 300 Over 300 b11t not exceedi11g '' '' '' '' 480 '' '' '' '' 600 '' '' 720 '' ' ' '' ', 960 '' ' ' ' , '' '' '' 1,200 '' '' 1,500 ' ' '' '' '' 1,800 '' '' '' '' 2,100 '' ,, ' ' '' '' '' 2,400 '' '' 3,000 ' ' ' ' '' ,, 3,600 '' '' .
.,
•
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506
480 600 . 720 960 1,200 1,500 1,800 2,100 2,400 3,000 3,600 4,200
3.00 9.00 18.00 24.00 33.00 45.00 60.00 75.00 90.00 108.00 162.00 . 216.00 270.00
17-9
TAXES 0THE� Tl·IAN CUSTOMS
•
Taxable annual income Eth. $
Over '' '' '' ', '' '' '' ,, ,' ,, ,' '' ,, ,'
''
'' ,, ', ,., ''
4,200 b11t 4' 800 '' 5,400 ' ' ', 6,000 6,600 '' 7,2 00 , ' ' 7,800 ' , , 8,400 9,000 '' 9,600 '' '' 1 0,20 0 1 0,800 '' 11,400 '' ' ' 12,000 12,900 ,' 13,800 ' ' 15, 000 '' ' ' 18,000 21,000 , ' 24, 000 '' ' ' 27, 000
exceedi n g ,' '' '' '' ,, '' '' '' '' '' '' '' '' ', ', '' '' '' '' '' '' '' '' '' '' '' '' '' '' '' '' '' '' ', '' '' '' '' '' ''
Tax(per annum Eth. $ or ��
not
.•
4,800 5,400 6,000 6,600 7,2 00 7,800 8,400 9, 000 9,600 10,200 10,800 11,400 12,000 12,900 13,800 15,000 18,000 21,000 24,000 27,009
324.00 378.00 432.00 480.00 552.00 630.00 720.00 810.00 10 per 10.5 '' '' 11 ' ' 11.5 '' 12 , ' 13 '' 14 ' ' 15 '' 16 '' 17 ' ' 18 '' 19 ' ' 20
cent ''
,'
''
''
'' '' '' '' ''
''
',
.' '
CONSOLIDA1ION NOTE A1nd. 27/4 (1967) P. 255 Art. 2H-I.
NOTE OF DECLSIO N Income lax liability under !011g-ler111 co1itracts.
pay ual ann ng for vidi pro law the of ns visio pro tl1a1 held rr Cot l1 Hig e t law ier an er e�l Und � ? ment of tax on mcome derived from business apply to ordinary cases where assessable income can be determined each year. They do not apply to income derived from long-tern1 contracts, where Payn1ents the taxpa�er's income cannot be definitely deternined until the contract's completion. is due on made durmg the contract's perforn1ance are conditional and tl1erefore no income taxof the con_ such payments. Taxable income shot1ld be assessed a.nd tax be payable only at the end tract. J. , 64) 19 a, ab Ab dis Ad ., Ct 1 igl (H ent rtm pa ::>e ue ven Re . Marples Ridgway Ltd. v. Inland . .. Eth. L, vol. 2, p. 313. , and replaced led ea s rep wa ich wh 12 t. Ar 19 . )D 56 tl9 /1 16 on Note: The decision was based by similar provisions in the .present Article.
13. (a) . • (b) 14. (a) -
levied a n_ d collecte d OJ?. , ed g ar ch e l b al _ sh ) 0 % {1 nt e A surtax of te n perc n exc ess i is ch ru of e w 12 e� -h le i9 rt A r e nd e_u bl any part of the income taxa · . 0 ). 00 , •: · . 0 of trurty thousan d dol lars· (�th.$3 g ed, levied and ar e ch b l l a sh 0 ) % (1 en t rc pe An a d ditional surtax of ten nder Article 12 he re of u e l b xa ta e m co in e th collecte d on any pa rt of 0,000) . 15 $ . s th ar (E ll do d n sa u o th y ft fi which is in exc ess of one hund1e d l p ta ca p -u d ai p a i n � av h ia p io th E in In the case of a body incorporated 0 or more, �he l�1m1_ ts for asse �s1n g 000,00 ) 5, .$ th (E rs la l o d n o li of five mil eased b y multiply cr in e l b l a sh f o e e r 3 h the surtaxes set forth iri Article .J 0,000, respecti v e 15 .$ th d E an 0 0 0 , 0 3 .$ th ing the l imits of saiQ surtax es (E m f r o co b e m u n e f t o ) th _h /4 (� h rt u ) y e coefficient equal to Dne-fo
ly b th l. a it p ca p -u id a p f o rs a ll J d plete millions of Ethiopian
- 507 -
------��----�--�------. · For example: Eth.$ CoNSOLliDATBD LAWS OF ETHIOPIA
17-9
Pa id-up c-a'i.n1' -t ' tal ••••••' ••• ..•• ••• •• ••• •• ••• ••• ••• •••••••........... ...... . ............................. .. ................ ........ ...... . 7 '765 ,000 number of complete million of paid l!lp caipital ............................ .. 7 a.mount of ·taxable income above which the s1rrtax und.er paragraph (a) of Article 13 is payable ........................ 3 0 ,000 x 7 /4 = 52,500 amount of taxable income above which the surtax under �aragraph 5 1 0, 000 x 7 /4 = 262,500 ......... ........... ........... ........... (b) of Article 13 is payable (b) The provisions of paragraph (a) of this Article 14 shall also apply to bodies incorporated abroad having invested in Ethiopia five million dollars (Eth.$ 5,000 ,000) or more. 15. (a) Taxable income from sources mentio.m.ed in paragraph (c) of Article 4 hereof shall be calculated in accordance with �eg1:1Iations issued by 011r Minister of Finance in pursua.nce of the Pr1nc1 pal Proclamation. (b) Our Minister of Finance is empowered to issue regulations establishing rates of depreciation of assets includjng, withot1t limitation, buildings, machinary, furniture, motor vehicles and the like, for the purpose of calculating taxable i11come. u.J. '
CONSOLIDATION NOTE Ar11d. 27/4 (1967) P. 255 Art. 2J.
16. In calct1lating taxable inco1ne from sources mentioned in paragraph (c) o.f Article 4 hereof all expenses wholly, necessarily and excl11sively paid or incurred for tl1e purposes of creati11g i11co1ne shall be deductible from gross income . CONSOLIDATION NOTE A111d. 27/4 (1967) P. 255 Art. 2K. NOTE OF DECISION
•
Dedi1ctio11 of allo1vance for the rer1tal vali1e ofpren1ises olvned by taxpaJ,er.
Under an earlier law the High Court l1eld that, v,I1ere a taxpayer owns both a business wh.ich produces income taxable under Scl1edt1le C and the pren1ises 11sed for the business, he may deduct fron1 l1is Scbed11le C income a reasonable allowance for tl1e rental value of tl1e premises, with the rest1lt that this amount will be taxable under Schedtile B ratl1er tl1an Scl1edt1le C, if he does so, he n1ay not also deduct fron1 his Schedule C incon1e for depreciation and repairs on tl1e pren1ises. Sl1alon1 Sl1alo111ay v. Inland Revenue Deparlment (I-Iigl1 Ct., Addis Ababa, 1962), J. Eth. L., vol. 3, p. 58. Note: Tl1e decisio11 was based 011 a provision of 16/1 (1956) D. 19 Art. I 6 ,vhich was repealed and replaced by a similar provision tl1e JJresent Article.
17. Interest paid 011 any s11m received as a. loan, whether or 11ot so designated for use in any activity me11tio11ed in paragraph (c) of Article 4 hereof shall not be ded11ctible f�o1n gross income in calculating taxable income, except ,vhere said s.um bJect su nd credit instit11tion from approved a by 01ir Fi11a11ce received Minister of is . ter to the conditions wl1ich shall be . deter1nined by .regt1lations iss11ed by said Minis CONSOLIDATION NOTE P. 255 Art. 2K. . . A111d. 27/4 (1967) . ,
.
.
V. A. SCHEDULE D h p ra · rag 7 tax on The inc� · me · from agrict1lt11ral activities mentioned in pa 1 A. (a) (d) of Arti�le 4 - �ereof shall be paid by persons or bodies (o�ners � . of the lands as the r tu cut tenants gr1 case may be) exploiting lands for a purposes. · · · ·· - 508 -
TAXES 0TI-IER 'fl-JAN CUSTOMS
(b) The tax shall be imposed 011 taxable income ,vhich sl1all be deemed to be the gross i11con1e derivecl fro111 tl1e l1arvest din1i11isl1ed bv tl1e fo]lo\vi1Jg dedt1ctions: (i) the a1nount of any taxes 011 la11ds (Ia11d tax, edt1c::1tion tax , healtl1 tax) payable by the taxpayer; (ii) the amount of any rent payatle i11 cash or i11 ki11d by tl1e taxpayer; (iii) a deduction of 011e-tl1ird (1/3) of tl1e gross i11come in li.et1 of a11 assessment of production eipe11ses. (c) Where a taXJ)ayer mai11tai11s boo; cs, accot111ts ancl records of his agri� ct1ltt1ral activities, tl1en i11 liet1 of tl1e deductio11 of 011e-third (1/3) of tl1e gross inco1ne as prodt1ctio11 expenses mentio11ed i11 sub-paragrapl1 (b) (iii) above, a11y expenses as are sl10,vn to the satisfaction of tl1e assessing authority to J1a,1e bee11 incurred wholly, 11ecessarily and exclt1sively for the prodt1ctio11 of the income st1bject to assessment t111der tl1js Article 17A hereof may be declt1cted from the gross income to arrive at tl1e taxable income. CONSOLIDATION NOTE Aclded 27/4 (1967) P. 255 Art. 2I�.
17B. (a) The tax payable 11nder Article 17P,. (Schecl11le D) hereof shall be charged ,
levied a11d collected at the follo\\ing rates: (i) on bodies, at the rate of twe11ty percent (20%) of taxable i11come; (ii) on persons, at tl1e following rates: Tax per annum Eth. $ or %
Taxable income Eth. $
Not exceeding $300 per ann11m 300 but not exceedi11g Over '' '' '' '' 480 '' ,, ' ' '' 600 '' '' , ', , 720 '' '' '' 960 '' ', '' ,, '' 1,200 ', '' '' '' 1,500 '' '' '' ,, 1,800 ', ,, '' ' , 2,100 '' ,, ,, '' 2,400 '' , ' ,, ' ' 3,000 ,' , ' ,, '' 3,600 '' '' ,' '' 4,200 ,, ' ,' ' '' 4,800 '' ,' ', ,, 5,400 ,' ', '' ,, 6,000 ,, ,' , , '' 6,600 ', ', '' ,, 7,200 '' ,' '' '' 7,800 ,, ,, '' ', 8,400 - 509 -
480 600 720 960· 1,200 1,500 1,800 2,100 2,400 3,000 3,600 4,200 4,800 5,400 6,000 6,600 7,200 7,800 8,400 9,000
1.50 6.00 18.00 24.00 33.00 45.00 60.00 75.00 90.00 108.00 162.00 216.00 270.00 324.00 378.00 432.00 480.00 552.00 630.00 720.00 810.00
A CoNSOLIJDATm ffi.,Aw s OF iBl1HIOPI
lf�
Taxaible iino0me
--
Over 9,000 but , ' ,, 9,600 '' 10,200 ' ' '' 10,8©0 '' ', 11,400 ', '' 12,000 '' ,, 12,900 ' ' '' 13,800 '' '' 15 000 '' , '' 18,0QO '' '' 21,000 , ' ,' '' 24,000 '' 27,000
Eth. $
not exeeding '' '' ,, '' '' ', '' '' '' '' ,' ,, ''
,' ''
'' ,,
'' ,,
''
,, ,,
lfax peF annum
- -- .. -
Eth. $
9, 600 10,200 10,800 11,4())0 12,000 12,90© 13,800 15,000 18,0QO 21,000 24,000 27,000
OJi
10 10.5 11 11.5 12 13 14 15 16 17 18 19 20
%
per cent '' ''
,'
'' ''
'' ''
''
', ''
''
''
,, ,, ,, '' ,, '' ''
', '' ,' ', ''
CONSOLIDATION NOTE .r1dded 27/4 (1967) P. 255 Art. 2L.
17.C. (a) A st1rtax of ten perce11t (10¼) shall be charged, levied and collected on any part of the i11come ta:::able 11nder Article 17B h�reof which is in excess of tJ1irty tl1ousand doll. a.rs· (Eth. $30,000). (b) An aciditio11al surtax of ten perce11t (10%) sl1all be charged, levied and collected 011 a11y part of tl1e income taxable tinder Article 17B hereof which is in excess of one l1t1ndre·d and fifty tl1ousand dollars (Eth.$ 150,000). (c) Notv;1ithsta11ding the li1nits for assessing st1rtax set ·forth in sub-para graphs (a) a11d (b) precedi11� tl1e IJrovisions of Article 14 of the Principal Proclamation shall a1)ply also to the determinatio11 of the starting points from surtax i11 the cases of a11y bodies to wl1ic·h the provisions of the aforesaid Article 14 are c.pplica·ble. · CONSOLIDATION NOTE Added 27/4 (1967) P. 255 Art. 2L; corr. 27/7 (1967) C. 65.
17D. Taxable incon1e and the corresi:onding tax shall be assessed i11 accorda.nce ,vith one of the following_ two metl1ods: (a) Where the taxpayer is reqt1ired by regt1lations isst1ed by Our Minister of Fina_11ce_ to keep books of accot1nts a11.d records: by the Incon1e Tax At1thor1ty 1n the manner prescribed by Article 17E hereof. (b) In all other cases, by Local As sessinent Con1.n1.ittees wl1icb sl1all be el�cted by the residents of the locality by 111 ajor ity vote, i11 accordance with the procedt1re prescrited in Article 17F hereof. (c) There shall be established in each locality a11 Assess111ent Committ ee ong composed· of three members of wh.icl1 t,vo sha am m fro · ll be elected · · the res1'dents of the locality, as meinbers atld one from among the offic�als of the District who �as adeqtiate knowledge of the lo alit c Y 1 Ch�1rman, to assess the tar 1n accordan of ) (b ap ce w it h paragr l1 er �ticle I 7!). The Income Tax Authorit d all y in Addis Ababa sh �:tee I mine the• time an d place where the mee o en t ting of the Assessm C Jllill -510 -
w!
TAXES 0TI-IER 'fHAN CUSTOMS
17-9
shall � e l1el? an� in �ccordance w th the procedures the Auth ority ma; ab lis est l1, give directives and regulate the meetings. Attendance fee of t�o dollars (Eth .$ �.00) shall be paid to ea ch 111en1ber of the Con1m fo 1tt r ea ee ch m eet111g a member will take pa" rt • TI, e- AwraJa · Governor · is allt l1orize · d. to bar any 111en1ber of the Assess1nent Committee who repeatedly fai ls to atte11d meeti11�s a11d shall co11dl1ct election to take place to replace the discl1argecl n1�1nbers. ..
CONSOLJDATJO:'f NOTE Added 27/4 (1967) P. 255 Art. 2L.
17E. Where taxable incom� a11_d tl1e correspondi11g tax is to be assessecl by the Income Tax Al1tl1or1ty 1n accorda11c;! witl1 Article 17D (a) tl1e following · procedl1re shall be applied: (a) The Incon:e Tax �uthorit)1 s? all reqt1ire the taxpayer to submit annually a d�claration o� 111come derived fron1 agricultural activities in the pre ced1_ng accou11t1ng year, �l1ic� sl1all in pri11ci_ple correspo11d to tl1e . E tl11op1a? fis�al ye�r; provided, l1owevet, t hat the Income Tax Authority may, at _its discretion, allo\1/ the tse of a different accounting year. (b) The Income Tax Authority· shall proceed to assess tl1e tax in accordance with the provisions of Articles 38 to 42 of th e Principal Proclamation. (c) Any taxpayer \vho obje_cts to an a;sessme11t made u11der tl1is Article l 7E with r espec t to lus or its incon1e by the I11come Tax Authority may ap1Jeal to tl1e appropriate Tax Appeal Commission in accordance with a11d subjec t t o all th� conditio11s pre�ribed by Articles 54 to ·57 a11d 59 to a11d Artie.le 58 of tl1is Proclamation. 61 of th e Principal Procl�mation •• .
.
:.
.
...
CONSOLIDATION NOTE Added 27/4 (1967) P. 255 Art. 2L. Tl1e reference� in tl1e pr�e.nt Article to "tl1e Principal Pro clamation'' and to "this Proclan1.ation'' appear to refer to Proclamation No. 173 as amended by Proclamation No. 255. Thus, the references should be taken to refer t<? Articles 38 to 42 and Articles 54 to 61 of the present Proclamation ·as· i t appears, �vit� ·an1endn1ents, ·in. the Consolidatec/ Laivs. '
17F. Wh ere taxable income and. tl1e. corr esponding · tax is to be assessed by the Local Asse ssment Comn1itt ee in acc!)rdance with Article 17D (b) of this Proclamation the following procedur� shall be applied: (a) The Local Assessn1ent· Committee shall receive a- list from the Income Tax Au thori ty of all persons wi1hin the _jurisdiction o� the Commi_ttee who appear to be liable to tax ur�er Article 4 (d) of this Proclamat ion. tte e that the taxab�e i mm Co t e � ses As l ca Lo the to � � ars (b) Where it appe erson on the �aid p y � s by ie t i tlv ac a l r tu ul ric ag om fr ed income deriv th e Commit tee 0) 30 $ . th (E rs lla do d dre un h · ee hr t d e e e xc t t no lis does nts (Eth.$1.50). ce ty d fif an r lla do e on of t e ra e · th t shall assess t he tax a t Committee th�t t he tax ab�e e ss se As l ca Lo e h � t � to s (c) Where it appear . t les by any person o� th e said t 1 1v ac l ra tu l1l ric ag om fr income deriv ed . fillttee shall e C,o th 0) 30 .$ tl1 rs lla � do � d re nd hu list m ay _exceed thr e·e e� of the sa id. pers? n by m co in e bl xa :a d an s os gr proceed to ass ess tlie th is Proclamation; 1� �he of A e 17 cl rti A h it w ce estimation in accordan on s1 c1 � de be th l al sh te vo t y i or aj m e tll s te absenc e of unanimity of vo of the Committe e . - 511 -
1'7-9
Co.NSOl!.il!DA�BD LAWS ©F ETHIOPlA
---------------. ------------- ---:---.--:-.:-:1nclt1 me inc s s gro all i 1e111t ss1: asse � this � cle all ju. 0� � (d) For nbe ptir·poses come and bene��s _ in cash �r ku�d accruing to the taxparer from bis agricultt1ral act1v1t1es as de_fl?ed 111 paragraph �d) of Article 3 hereof i share ar1s1ng from crop-sha'1"1111g. eut excludimg a1ly (e) In forming an estimate of a taxpayer's gross incoll?-e which shall be taken as a basis for the assessroen: of the taxable 1ncome. the Local Assessment Committee s.hall take 1nto acco11nt: (i) tl1e harvest on the farm-land from which the income is derived ' (ii) the types of crops and the produce fro1n sttch farn1-la nd, (iii) local prices of such crops and produce. Tl1e gross income estimated after taking into account tl1e matters enumerated above shall be that inco1ne which the Local Assessment Committee considers shaIJ accrue to the ta,xpayer i 11 a 11orn1al year fron1 ltls agricultt1r,il activities connected with the farm-land. (f) The gross i1 1come as estimated under s11b-paragraphs (d) a11d (e) of this Article l 7F shall then be red11ced by the dedtictions autl1orized by Article 17A (b) (i), (ii) and (iii) hereof, provided, however, that the Con1111ittee shall 11ot allow any dedt1ction in respect of land taxes or re11t t111less it is satisfied by docu1nentary or otl1er evidence that such taxes or rent are d11e a11d payable in respect of the land from wl1ich the income is derived. (g) When the taxable i11con1e l1as bee11 assessed, the Local Assessment Committee shall determi11e the amount of tax payable thereon in ac corda11ce \Vith A1·ticle 17B of this Proclamation a11d shall i11for1n the Incon1e Tax Authority a.nd the taxpayer accordi11gly. (h) U11less otherwise provided by regt1lations isst1ed by 011r Minister of Fin�1nce, assessment made by a Local Assessment Committee shall be made for a period of five consecutive years, and t]1e tax so assessed shall be payable a1 1nually during s11ch lJeriod. Provided, howeve1·, that in case the taxpayer i s e11co1111tered \Vith difficulties in connection with his agricultural activities he shall notify sL1ch diffic11ltles or da.111age Sltstained by him to the Income Tax At1thority i11 the localit)' requesting tl1at the tax assessed be redt1ced or cancelled a1 1d that if tl1e diffic11lties or dan1age are found to be true and correct ti1e request sl1all be co.u11Jlied witl1. (i) \1/here the taxpayer o.r tl1e Local I11co1ne '"fax Authority objects to_ an assessn1ent made by a Local Assess111e11t Co1111 11ittee u11der this Arncle 17F he ?r it shall be entitled to appeal against sucl1 assessme 11t t_o_ th� appropriate Local Appeal Comn1.issio11 i11 accorda 1 1ce ,1vitl1 tl1e provi5ions of Article 17H hereof. aX T roe No thin in g ) tl1is Article shall apply to a11y cas (j _ ' e \.vhere· tl1e J11co · or1tY Aut hor1·tY �10t"fi 1 es th e Local Asse sment Co1111nittee tl1at t! 1e A tlth . � _ 1s proceeding to a11 assessment 111 accordance with Article 17D (a) hereof. CONSOLIDATION NOTE A{lcled 21/4 (1967) P. 255 Art. 2L.
- 512 -
TAXES OTHER TI-:AN CUSTOM S
J7G. (a ) The tax on _ i n�ome declared under tl1e provi siot1 of A rticle 17E hereof sb ll be paid 1n
ac�ordance with tl1e provisio11s of Ar ticle 46 of th � _ e Pr1nc1pal and of this Procla111a tiori. ( b) The ��x on incom� assessed by Local Assessme11t Con1mittee 11nder the provisions of Article I ?F shall be )ayable ar111uall y betwee11 tl1e 1st l Tahsas ar1d 30th_ �e11e 1n e�cl1 ye :tr as spe cifi ed in Regl1latio11s to be issued 1?Y (?ur Nl1n�st e: of F111a11ce and shall be J)aid to the Inco m e Tax Autl1or1ty 1n th e d1str1ct whe re the assessme11t is made.
CONSOLIDATIO:t-: NOTE ;1dcled 27/4 (1967) P. 255 Art. 2L.
I 7H. (a) Lo�al Appeal Comn1issions shall l:e app _ oin ted to deal with the a1)peals against assessn1ent of t ax made by Local Assessment Committees under Schedule D. (b) Each Local Appeal Comm ission shall co11sist of the followi11g memb ers: The Governor of t he Woreda................................... Chairman. On e of t he Judges of tl1e Woreda duly nominated by the Awraja Governor ...................._.............. .................. ........ ............................... ................................................ .... Member. Tl1ree Elders selected by the inhtbitants of tl1e place wher e tl1e land is locat ed ........................ Men1b ers. (c) The administrat ive procedure of each Local Appeal Commission shall be as pr escribed in Articles 51 ard 52 of the Principal Proclamatio11. (d) The Chairman and other member; of each Local Appeal Commissio11 shall be enti tled to receive for si :ti11g on panels such att e11dance fe es as shall be :fixed fron1 t ime to time by Our Mi11ister of Fina11ce. (e) Appeals shall be 1nade in writi11g and shall be submitt ed to tl1e Local Appeal Commissio11. Stich app eal shall be made not later tl1a11 within sixty (60) days f r o1n the date of the final notificati o11 of the assessn1ent to the taxpayer; unless this is done , the ass essmen t shall become final and concl11sive ai1d immediately executive. (f) It shall be a condition of the appeal that the appellant shall, before th e end of th e sixty (60) day period prescribed in S11barticle (e) hereinabove, d eposit with the Income Tax Authority: (i) an amou11t eqt1al to twenty-five percent (25%) of the tax assessed, or (ii) an amoun t equal to fifty percent (501/o) of the �ax assessed on �he appella11t's income for the last pr eceding year wit h re�pec t to which a final an d conclusive ass essnent has been made wruchever of tb.e above amounts is the lesser. (iii) Th e provisions of sub-paragr�phs (i) an d (i i) �f this Suba�ti� �e (�) ti al 1�es 1s ac ur ult ric ag ro f · e om inc on x � ta n e wh y � pl ap t shall no on to 1t1 a nd co be all sh 1t , ses ca ch st1 In . e tim st fir he r t fo d s as esse e the m ak in g of an appeal th�t the appell_ant s?all, bef �re th e nd 10 this Subart1cle pay to ed ib cr es pr d rio pe y da of the sixty (60) t of �ax payable on n ou am e th t as le a: y rit ho ut A th e In co m e T ax 1f e taxpayer th at ·income d ec1 ared by bi'm ·, provided , ·l1o · wever, th . . e 1n e co th In th wi · sit po de l al sh he e om nc 1 ' has no d ec1 arati·on. of o of t en rc %) pe ve (25 -fi ty en tw to _ al u eq nt ou Tax Authority an am ity. th e tax assessed by sa id Author - 513 -
l:7-9
CONSOLIDATED LAWS OF ETHIOPIA
· (g) The confi.Iim, recdll!ce, may AppeaJ Commission imorease or a Local · · nnuJ 1 1 comseque urt er sucn i. fr h 1a t· 1 1 make and ord,er thereof an assessment · po dis l n itio n the for ef the mat t: � � � may seem just and 11eceS5ary (h) Tb.e d�cision of the Local Appeal Co�ss1on, Sl!lbJ�ot to the pro visions of _Ar_ticle 58 as ame-? ded_ amicd �he prov1s1ollls of Alit1cles 59 to 60 of the Principal PFoclamat1on rnclus1ve shall be final ai11d conclusiv e and immediately executive. CONSOLIDATION NOTE Added 27/4 (1967) P. 255 Art. 2L.
v·1. EXEMPTION 18. · The following categories of i1co1ne shall be exempt from payme nt of in
come tax: (a) [Repd. 27/4 ( 1967) P. 255 Art. · 2M.] (b) income from their own employment of self-employed \Yorkers, such as \Veavers, pottery wor1:ers, blacksmiths, tanners and the like, who are not resident in municipal or township areas a11d \Vho do not emp loy other f11lltime workers; (c ) income from en1ployn1en1 of 1111skilled workers, employed by the day, who are not employed regularly by a single employer; (d) income from ernployment received from a·broad by perso11s present in Ethiopia representi1.1g fo1eign bt1sinesses or other persons n. ot doing busi11ess i11 Etlliopia, ,�,ho are not emplo),ed or 1·etai11ed by any employer i11 Etl1iopia; J)rovided, bow�ver, that if an) ' s11ch person remains in Etl1iopia longer tha11 one hundred eighty three (I $3) days in the aggre gate in any one (1) year, said income shall be deemed to have its origin in Etl1iopia a11d shall be st1bject to i11come tax ; (e) income fron1 interest rec�ived by persons on bank accounts; (f) income from dividends received by shareholders from bodies i11corporat ed in Ethiopia; provided, 11owever, tha.t amo11nts p,iid as dividends shall be inclt1ded i11 the taxable incon1e of the bodies maki11g such pay ments; (g) subject to reciprocity, in�ome fron1 e1nployn1ent received for servic es re11dered in the ex�rcise Df their duties by: (i ) diplomatic and co11Sular represe11tati\ es; and (ii) ot �er. persons em�loyed i11 any Embassy, Legation, Consu late _ M1ss1on of a foreign State, wl10 are 11at1onals of that State 8 . 1 t; bearers of diplomatic passports or who are i11 accordance wi te p nJ ex e international usage or custo111, normally a�d t1st1ally from the payment o: income tax; • · rorce JO 1' in inco Y me (.h) · . · spec1':fl ca 11 law exen 1Jtec l fro1n 111come tax b'-'.} the d · · : ove pr p Eth1op1a, b� 1_nter11at1onat treaty or by an agreement made or a by Our M1n1ster of Finance. 1
CONSOLIDATION NOTE Amd. 27/4 (1967) P. 255 Art. 2M.
- 514 -
i�
I
I
TAXES 0TI-IER THAN CUSTOMS .
17-9
19. (a-c) [Repel. 26/2 (1966) P. 242 Arts. 2,5, 19 Co,1so l. L. Eth. 3.] (d) Inco111e f rorn the re11t of 11ew buildi11gs completed on or after 11th Sep_ten1ber 1956 sl1all be exen11)t from payme11t of income tax for a peri�d of tl1ree (3) years _from tllf: d �te of completion of the building; _ 1� the b111ld1ng or part thereof is rented prior l1owever, tl1at provided, _ _ the date from said exerr.ptio11 shall commence to its �till co111 1)let1on, _ _ of re11t1ng, and provide ?, ft1rther, tl1at as a co11ditio11 to tl1is exemption, tl1e taxpayer s �a�l adv1_se tl1e Irx:ome Tax Authority of the effective date thereof vv1th1n three (3) montl1s of said date. CONSOLIDATION NOTE 1tn1d. 26/2 (1966) P. 242 Art. 2, 5, 19 Consol..L Eth. 3.
VII. INCOlVIE TAX .\UTHORITIES 20. The implementatio11 and enforcement of this Proclamation and of regt1lations issued hereunder shall be the duty of the I11con1e Tax Authorities designated below, acting under the authority of 0Lir Minister of Finance: (a) the I·ncome Tax Departnie11t of the Ministry of Finance; and (b) Provincial and District or other local Income Tax Offices designated by our Minister of Fina.nee. 21. All Incon1e Tax Offices shall be unde1 the general directio11 and supervision of the I11come Tax Department of the Ministry of Finance. The orga11ization of the Income Tax Autl1orities and the procedures ,vhich they shall follow i11 assessing and collecting taxes shall be prescribed in- regulations issued by Ot1r Minister of Finance. 22. Each taxpayer sl1all supply the l11coi:re Tax Authority with all information required for assessment of the tax and shaii if required, attend either personally or by a duly appointed representative at the office of the Income Tax A11thority for this purpose and shall furnish such records, oooks of account, vo11chers and other documents as may be reqt1ired. 23. The Income Tax Authority shall hay� the right to verify statements made by taxpayers and to send inspectors to checl records, books of account, vouchers and stocks maintained by them. 24. Each taxpayer shall notify the Income Tax Authorities of any change in his or its address. 25. All Government Offices and Municipalities shall supply to the Income Tax Authority, on request, any information avai:_able in official records necessary for determ ining the tax liability hereunder of an)' taxpayer. 26. All Government Offices an d Mu111cipalities shall notify the In�ome �ax Authority of all licences issued to 11e w busin�sses and to persons or bodies taking up professional or vocational occupations. 27. Municipalities, if so requested by the Minist� r of Fi�ance, and 11p_on pre sentation of satisfactory evidence thereof, shall no t issue a licence for 1:>us1� ess or fo r professional or vocational occupations to any taxpayer who has failed· (a) to pay the ta x du e hereunder; or . . . e nc na of Fi er 1st 1n M e th by ed 'b i cr es (b) to keep the records and accounts p� u_nder Article 42 o f this Proclamation. - 515 -
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CoNSOTu11DA'FED LAws oF ET1'110PIA
VIII. ADVISORY COI\tMITTEES 28. Our Minister of Finance sl1all appoint the following Advisory Committ ees· (a) a Ministerial Advisory Committee, (b) Provincial Advisory Corr.mi.ttees, and (c) District or Local Offices Advisory Committees. These Committees shal1 assist the Inco.me Tax Authorirties in assessing th.e taxes chargeable under Schedules A, B, C, or D, 1n cases where sueh taxes are to be assessed by estimation. CONS@LIDA.TION NOTE Atnd. 27/4 (1967) P. 255 Art. 2N.
29·. At least one-half (1/2) of the members of each Advisory Con1mittee, apart from the Chairman, shall be selected from merchants, manufacturers and persons engaged in professional or vocational occupations. Members of the Advisory ·com mittees shall be entitled to receive attenda11ce fees, the amou11t of which shall be fixed from time to time by Our Minister of Finance. 30. Tl1e qt1orun1 reqt1ired for hearing any case shall be a simple majority of the men1bers of the Con1mittee.
IX. DECLAJL4.TION OF INCOME 31. Exce1-:>t as specified i11 P..rticle) 32 a11d 33 hereof, in.come from employment taxable under Ai·ticles 7 througl1 9 l1creof sl1all be declared by the employer. 32. Ai1y perso11 ,¥ho is em1jloyed by 1nore than one employer in the same month shall himself declare the total an1ount of l1is i11come from employment d11ring said month, irrespective of declarations made by emplojrers. 33. Any employee of an Embassy, Legatio11, Consu.late or Mission of a foreign State who is not exempted f ro111 payment of income tax p11rsuant to paragraph (g) of Article 18 hereof, shall himself declare the total ,tn1ount of his income. 34. Income from sources chargeable 1111der Scl1edules B, C a11d. D of tl tls Pr?· clamation shall be declared by perso11s and bodies liable to pay the tax on said income. A111c/.
CONSOLIDATJOl'l NOTE 27/4 (1967) P. 255 Art. 20
35. (a) Income from employme1t taxable 11.nder A.tticles 7 throt1gh 9 hereoJ shall be declared each month, \Vithi11 thirty (30) days from the en of the montl1 for which tl1e tax is clue. n ti aroa (b) Income from sources cbtrgeable u11der Sched11le B of this Procl �e t of end shal_l b� declared annually witl1i11 thirty (30) days from tl1e Eth1op1an fiscal year for whicl1 the tax is due. on ati m (c) Income fron1 sources chtrgeable under Scl1edtlle C of this Procla shall be declared annually as follo\VS ·. e . Mi nis t r (.) ·r 0 ur h t 1 1 � taxpayer 1s required by regulations issued by . aY h of Finance to keep books of account and records in suc a ; of as to be able to submit to the Income Tax At1thority at the en - 516 -
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tl1e year � balance sheet and a profit and loss accot1n wi ne t th ces-· saf)' spec1.ficati�ns: ,vi! hin four (4) months fron1 the end of tl1 e annt1al accot1nt111g period fo1 whicl1 the tax is due• ' (ii) 1. f t he taxpayer is reqt1ired to keep only st1ch books of accot1nt and records as 111ay be necessary for hin1 to submit to the Income Tax . At1thor1ty a� tl1e e�� of tl1e year a summary of his daily revenue and e�pencl1tt1re d1v1d�d, o� 11ot, in certain grot1ps as it may be p�es�r1bed by regt1lat1ons issued by Our Minister of Finance: w1t�n t\vo (2� montl1s from the e11d of the at1nt1al accot111ting period for ,vh1ch the tax is due·' (iii) if �he taxpayer is not reqt1ired to keep any books or records: withi11 thirty (30) days fro111 the e11d of tl1e annual accounting period for which the tax is due. (d) Income from agricultural activities chargeable u11der Schedule D of this Proclamation except where the income falls to be assessed by the 1:,ocal Assessment Committees tinder Article 17D (b) of this Proclan1a • t1on, shall be declared annually, "1ithin four (4) n1onths fro1n 30t11 Sene, to the Income Tax Office 11eares: to the place where the agricultt1ral activities are carried on. CONSOLIDATION NOTE A111d. 27/4 (1967) P. 255 Art. 2P. NOTE OF DECISION Income tax liability 1,11der /011g-tcrn1 contracts. Under an earlier law, tl1e High Court held tl1at p1ovisions of the law requiring annual declara tions of income derived fron1 business app]y to ordinary cases where assessable income can be deter mined each year. Tl1ey do not apply to incon1e derived from long-term contracts, where the taxpayer's income cannot be definitely determined until the contract's completion. Payments made du.ring the contract's performance are conditional and therefore LlO income tax is due oa such payments. Taxable income sho11ld be assessed and tax is payab]e only at the end of the contract. Marples Ridg\.vay Ltd. v. Inland Reven11e De_)artment (High Ct., Addis Ababa, 1964), 1. Eth. L., vol. 2, p. 313. Note: The decision was based on 16/1 (1956) D. '.9 Art. 36 (c) which was repealed and replaced by 20/13 (1961) P.173 Art. 35 (b), as a.111ended.
36. (a) Except as may be otherwise prescri? ed in regulations isst1ed by Our Minister of Finance pursuant to Article 71 hereof: (i) Income shall be declared to the !ncome Tax �uthority in. the dis trict in which the taxpayer carries on a business or agr1�ultural activities but where the taxpayer carries on more than one business or agricdltural activity, and su�h b1:1si�esses or activiti�s a:e loc_ a!ed in several Income Ta x Authcr1ty districts, he shall notify 1n writing e th ce an Fi of s 1!' i e M th of t en rtm � pa ? De � x Ta me to th e Inco by on e rr1 ca es 1t1 tiv l ac ra t1;1 � ul ric ag or s se es sin bu l al n locatio of ess or sin bu ch ea om fr ed riv de e m co in e bl xa ta e th at m th hi so x e m Ta co e In th of ce Offi d ea H e th by ed at eg activity m ay be aggr . ed ss se as ly du x ta er op pr e th d ty an ri ho Aut e m to co s in it re la de ll sh ce o e on � ar � th � _ (ii) a business having more _ ce ad o� be . s it ch hi w 1n ct r1 st d1 e th of ty ri ho the Income Tax Atit is· located; •
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A PI IO F TH O E S AW L P :B A D LI SO oN C
i rat cla n de to the Inco me T it or his ke n1a ll ? sh� � nt de esi n-r (iii) a so Authority of the _ district wi�hin_ which the �aJor _part �f t�e inco�: being declared 1s der:ved or 1n which h1s or its principal agen t resides. (b) The agent or agents of a �o _n-resident tr�ding i�1 Ethiopia tl1rough said agent or agents shall be Jointly resJons1ble with th.e non-resident fo the making of declarations and for the payment of income tax whic� , t hereunder. may be due froD)l said non-resid.en CONSOLJDA1iION NOTE Amd. 27 /4 (1967) P. 25S Art. 2Q.
37. De.clarations shall be made or. special forms supJJlied by -the l11come Tax Authorities, which forms shall contai1 particulars regard.ing all revenues and ex penditures to be taken into account in computing taxable income.
X. ASSESSMENT OF TAX 38. The Income Tax At1tbority shall exa1ni11e declarations of income and assess the tax i11 tl1e n1aoner JJrescribed l1erei11. 39. If the records a11d books of accou11ts mai11tai11ed by the taxpayers are con sidered satisfactory by the Incon1e Tax .A-utl1ority, tax shall be assessed on the basis of said records a11d boo1<s of accounts. CONSOLIDATION 1'TOTE .,--1n1d. 27/4 (1967) P. 255 Art. 2R.
40. If no records and books of accol1nt are maintai11ed by the taxpayer, or if for any reaso11 the recor�s a11d booI<s of accou11ts are t11?-acce1Jtable to the Income Tax Authority, or if the taxpayer fails to declare hls or its i11come vvithin the time specifi ed in Article 35 hereof, the ln,come Tax: Autl1ority may assess the tax by estimation. NOTES DF DECISIONS Po1ver to assess tax by esti111ation The Higl1 Court held that the Income Ta{ Authority is en1powered to assess tax by estimation, if it finds the taxpayer's account bool<s unreliable. Mt1Jugeta Ayele v. Inland Revenue De1=artn1ent (l-:ligl1 Ct., Addis Ababa, 1965), J. Eth. L., 01. 2, p. 340. Assessment of tax by estin1atio11 1 \
arilJ arbitr earlie an law, tl1e Under t High_ Cou1 held y tha t the ma t ority attt1 x 1 � � ':1� � . . _ _ _ t taxpaye s a r books isregard u of accot1nt d , 1n . 1iab1lit determ1 111ng l11s 1ncon1e Y tax b .thed . the question whether the taxpayer has smta1ned losses which he clain1s to have sus�tn is a question of fact, and in the absence of evidence before tl,e Court that it was arbttran' for t_he . t_ax author1ty · . to reJec · t a taxpayer's books of accotint in determining b'1s 1·oconte tax l�ab1lity, 0e court cannot ho�d that t1e Tax Appeal Commission erred as a matter of law 1n upholding the tax authority's dettrmination in. th is respect. Shalom Shalomay v. Inland Revenue D epartment (1:-Iigl, Ct., Addis Ababa. 1962) , J. Et/1. L., vol. 3, p. 58. l Note: �e _decision �as based r on 16/ 1 (19 56) D was aorl , \Vhi ch Art 19 . epe . 41 ed _ . a replaced by s1trular prov1s1ons 1n 20/ 13 (1�61) P. 173 A.rt. 40 .
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41. If a !axpay er has submitted a de cla1ation of i11con1e, bt1t does not re e c ive th _of rio r e e d e p �3 ) years from the �1t e of tl1e receipt of tl1e decla within a ra tio by n the Tax AutJ1or1ty, a notice of assessn1ent d1ffere11t from the amot111t of tax declared the income declar ed sl!all be deemed approvi!d a11d the tax shall be deemed to hav� been assessed o� tl1at 1i1come; provide d, hovever, that the provisions of th.is Article 41 shall no_t relie ve the tax1Jaye r fro m liability for tl1 e payment of income tax on inco me \¥h1ch has 11ot be en set fortl1 in the said declaration. CONSOLIDATION NOTE
,4,nd. 27/4 (1967) P. 255 Art. 2R.
42. Ot1r Mi11ister of Finance may mak e regulations reqt1iring that certain cate� gories of taxpayers keeJJ records and books of account of st1ch type and i n such form as may be determined by Our Ministt:r of Finance. 43. Our lvlinister of Finance is em1Jowere d to prescribe by regt1lations that certa.i11 cat egories of taxpayers wl10 are not required to keep records and books of account as referred to in Article 42 l1 ereof a11d wl1ose annual taxable income as estimated by tl1e Income Tax Authority d,Jes not normally exceed six thousand dollars (Eth.$ 6,000) shall pay tl1e tax at fiJ<ed rates corresponding to the rates set forth in Article 12 hereof upon the income rs estimate d by the Income Tax Autho rity and that st1ch taxation, based ot1 the sane estimation, 1nay continue from year to year tinless re vis ed by said Authority; i:rovided, however, that said Authority once ever/ three (3) years . sha]l re,,iew said estimat e at least . 43A. The provisions of Articles 38 tl1re:ugh 40 of the Pri11cipal Proclamation and Article 41 of thjs Proclamation shall no� be applicable to the assessment of the tax on income chargeable under schedule D where the assessments are made in accordance \Vith the provisions of Article l 7F of the Principal Proclamation. CONSOLIDATI1)N NOTE
Added 27/4 (1967) P. 255 Art. 2S. The reference; in the present Af ticle to "the Principal Pro
clamation'' and to "tltis Proclamation'' appear to 1efer to Proclamat1on �o. 173 as amended by Proclamation No. 255. Tl1us, the references should be taken to refer to A!ttcles 38 thr�ugh 41.and Article 17F of the present Proclamation as it appear;, with amendments, m tl1e Consolzdated Laws.
44. (a)
(b)
45. (a)
XI. PAYMENT OF TAX With the exception of the cases referred to in Article 45 hereof, the tax on income fro m employment shall· be _deducted by employers from payments made to employees and transmitted to the Income T�x Aut� c� w� e for nth mo the o� d en the m frJ ys da ) (30 rty n thi y thi rit wi tho tax is due. If the employe r fails to de_duct said tax and transllllt 1_t, 1n dtie time, to the Income Tax }.uthor1ty, he shall be personally liable for payment of said tax. . . . . ed ifi ec at 1n sp th n tio la gu re by e ib cr es pr ay m e nc Our M· inister of Fina ereon x th ta e th d an d re cla de be ay m t en m oy pl ca�es _ Inco�e f ro �e;�ban a sing· ie month and· that the tax may be paid pa1 d 111 perio ds o · . sat• d regulations . d Ill in a special manne r as prescrite · . . of re 2 le he 3 ic rt A Ill ed ifi ec sp . s ce an st m cu A Per. son emp·1oyed 1n the err· · e ue b d hi h if ay c m w x ta of · nt ou am al ion " 1 't dd a _ y shall himself pay an . eater gr is t en ym plo em m fro e m co in e at eg gr the total ta x due on his ag i.. •s emplayers tit y b ed ct 11 ed d than the amounts - 519-
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CoNSOLlDATED LAWS OF ETIDOPIA
(b) A perso 11 employecl in the circumstances specified in Article 33 here oi sh.all himself pay the tax. (c) The tax referred to in this Article 45 shall be paid within thirty {3 0) days from the end of the month for which it is dt1e. 00 income fr?m sources chargeable under Schedules B and 46. ta� T' h e . C of this Proclamation shall be paid as follows: (a) the tax 011 declared taxable in�ome s�all be paid simultaneously with the submission of the declaration of income; (b) following the assessment of the tax by the Income Tax A11thority the difference, i:f any, between the tax declared and paid and the tax ass�ssed . ed the taxpayer by the Incom@ Tax Authority shall be paid by, or refund as the case may be, witbi11 thirty (30) days from tl1e date of notificatio� of the assessment. CONSOLIDATION NOTE Arr1.d. 27/4 (1967) P. 255 Art. 2T.
46A. TI1e tax 011 incon1e from s011rces chargeable under Schedule D of this Pro clamation shall be paid as provided in Articl e 17G of this Proclamation. CONSOLIDATION NOTE Aclded. 27/4 (1967) P. 255 Art. 2U.
47. Tl1e Income Tax A11thorities shall notify the taxpayer in writing of their decisio11s concerning the assessn1ent arid payn1e11t of taxes. 48. Decisions and 11otificatio11s of tl1e Incon1e Tax At1thorities shall be com• rn11nicated to tl1e taxpayer: (a) if possible by registered Jetter, or by ha11ding it to tl1e taxpayer in person, or, if be is absent, by ha11di11g it to a11y adult n1ember of his family or perso11 en1r)]oyed by him at bis resider1ce or at the place wher e he is carrying on a bt1siness or a 1)rofessional or vocational occupation; (b) if the ta.xpayer or otl1er perso11 ref erred to i11 paragraph (a) of t�s Article 48 ref11ses to accept a document or to sig11 a receipt for it, or 1f for a11y otl1er reaso11 the decision or 11otification can11ot be delivered to the taxpayer, the Income Tax Authority shall: (i) either affix the decisio11 or 11otification on the door of the premi ses where tl1e taxpayer has l1is reside11ce or is carrying on a business or a professional or vocational occt1pation; or t Cour which a (ii) p11blisl1 notice i11 at1 official journal o1• 11ewspaper in e Offic e th to notices are publisl1ed requiring the taxpayer to come l �roJl days (7) of the Income Tax Authority not later tl1an seven · fica nott the date of pt1blication i11 order to receive the decision or t1on; erly p pro : and the decision or 11otification shall tl1en be deemed to be · p sub• in to delivered. The cost of publication of tl1e notice referred a;:e • grapl1 (ii) of this JJaragi·aph (b) shall be charged to the account of taxpayer a11d shall be recovered accordingly. 00� ll a sh 48A. The provisions of Articles 47 and 48 of the Principal l:>roclamation charge be applicable to 11.otifications of the decisions regarding assessment of tax - 520 -
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· able unde·r · Schedl1le D of tl1· is Proclan1atio11 m:tde by Local Assessmen t Comm1ttee s h II e a s 1s b no s10 t 1 fie 1 dec d to the taxpayers in a ccorda nce witl1 Article 17D (c Such � _ ) pr es ib c in _ th� n,a nner � ed 111 the regt1latio11 s issl1ed pursl1ant to Article 71 of the Pr1nc1pal Proclamation . CONSOLIDATION NOTE . A�fed 27/4 (1?67) P. 255 �:t. 2V. Tl1e A111� aric V!rsion of the second sentence of this Article reads , Such dec1s1ons shall be 1n accordance w1tl1 Arlicle 17D (c) and sha11 be not'fi 11ed to t·h e taxpre ma scr nn 1 'b er e · e d t. · h 1n 1n the payers regulations issued pursuant to Art·1cIe 1·1 or tl1e pr1nc1p · · al n.,, mat io Procla
XII. TAX APPEAL CDMMISSIONS 49. (a) 1-11e following Tax Appeal Commissio11s shall be appoi11ted by Us: (i) a Tax Appeal Con1mission tG deal with appeals a gainst tax assess m_ents made by the I11come Tax Department of the Ministry of Finance; an d (ii) T ax �ppeal Con1missio11s fer Provinces, or, i11 case of need, for certain local Offices, to deal with appeals agai nst ta x as sessme11ts m ade by tl1e Provinci al or local Income Tax Offices situated withi11 the a rea for whicl1 the Cor11mission i s appointed. (b) The scope of autl1ority of each Tax Appeal Commissio11 a ncl the area for which th e Commission is appointed, the address of the Co1nmission a11d the 11ames of its President, ·vice Pre sident and all men1bers sl1a11 be published in the Negarit Gazeta. 50. Each T ax Appeal Commission shall consist of a President, a Vice Preside11t and at least five member s . At least half of all n.1 embers of each Cornnlission shall be chosen from a mongst merchants and persons carrying on profes sion al occt1patio11s. 51. (a) The President or, in his a bse nce or i11ability to act, the Vice Preside11t of each T ax Appeal Commission sb all be the administrative l1ead of tl1e Commission ' with the authority to fix the time and place . of he.arings and to assign members and ca.ses to the panels referred to 1n Article 52 l1ereof. (b) Each Tax Appea l Com111ission sb. all ha ve a secretary a11d a sufficient ion. an d of the num be r of clerks to keep the records of the Commiss proceedings of its panels. 52. (a) Each app eal shall be heard an� � eter �i D;ed by five membe�s of the anel , assig ned by p s a a g t1n s1t , on ;s1 Co l ea pp appropriate Tax A �� the President of the Comm1ss1on. eal Compp ax A T e th of n sio ci de e th be l al sh (b) The decision of th e panel • • m1ss1011. · e members th of te · vo y it or aj n1 y b n e k ta · · (C) Dec1s1ons of th. e pan. e1 sh.all be ss se o on as s1 r v1 re y an r fo ct a f or w la iJ s thereof, and ·sh all assign reason . ments made b y th e Income Tax Authonty. 53 • Th e pres1·d ent, v·1c.e pre s1·aent and other memb. er. s of each of the Commissions shall b e fixe d as 1 s ne pa on 8hall be g tin Sit r fo es fe entitled to receive such at te ndance from time to time by 011r Minister of Finance.
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CoNS<:>IJIDATED LAWS OP
ETHIOPIA
Any ta.xpayer who objects to an a ssessm� nt made with respect to h� y h ty ori ma t u A appeal t0 the a ax T e om Inc the by me inco or its . • PPron. 1o 1ss m priate Tax Appeal Com The appeal shall be made in writing and a copy t?ereof sllall b transmitted simultaneously to the I11come Tax At1thor1ty whi ch mad : the assessment. (b) In the case of a business or a person @r eody carrying on a professio 1 or vocation.al occupation, it shal!l be· a con�ition to the appeal that �: appellant shall, before the end . of !he thirty (30) day period pres cribed in Article 55 hereof deposit with the Income Tax Autl1o rity: (i) an amount equal to seventy-five percent . (75%) of the tax assessed·, or (ii) an amount equal to seventy-five perce�t (75%) of the tax assessed on the appellant's income for the last p.receding year with respect to which a final and conclusive assessment has bee11 made; whichever of the above amounts is the lesser. (c) Tl1e amount which shall be dep?sited_ with the In�ome Tax Authority pursuant to paragraph (b) of tl11s Article _54 shall 1n no event be lower tha11 the amot111t of tax payaple by the taxpayer pt1rsuant to paragraph (a) of Article 46 l1ereo.f 011 i11come declared by him. If the amount to be deposited p11rsl1ant to paragrapl1 (b) of this Article 54 is lower than said amount, it shall be a co11clition to the app_ eal that the appellant shall I)ay said amot1nt to the Inconie Tax At1thority before the end of tl1e thirty (30) days l)eriod IJrescribed in Article 55 hereof. (d) The pro,,isions of paragraph (b) of this l\.rticle 54 sl1all 11ot apply when the tax on income from a bt1si11ess or fron1 a professional or vocational occupation is assessed for the first tirne. In sucl1 case, it shall be a con dition to the malcing of a11 appeal that the appellant shall, before the end of tl1e tllirty (30) day period prescribed in Article 55 hereof, pay to the Income Tax At1thority at least the amount of tax payable pur suant to paragraph (a) of Article 46 h.ereof on i11come declared by l1iro; provided, I1owever, that if the taxpayer 11as made no declaration of income, he shall deposit vvith the Income Tax Authority a11 amou nt equal to fifty percent (50%) of the tax assessed by said Authorit y. (e) In all cases other tha11 those referred to i11 paragraph (b) of this Artic le 54, it shall be a condition of the ap1Jeal that tl1e appellant shall, before the end of the thirty (30) day period prescribed in Article 55 hereof, pay to the Income Tax Authority at least the amot1nt of ta x payable pursuant to paragraph (a) of Article 4,6 hereof on i11con1e declared_bY him; provided, however, tl1at if the taxpayer l1as made no declaratto � of income, he shall deposit with the Income Tax A11thority an �moun eqt1al to fifty percent (50%) of the tax assessed by said Authority . 55. An appeal must be m�de · within_ thirty (30) da�s from tl1e date of d eli.�hl� i ad is of_ the �otificati_on of the assessm�nt to the taxpayer. If 110 appeal m � w, th e iod per same th� or 1f the appellant period� fails tl11s to deposit or pay, within ss� a the si:jve amo11nts referred.to 1n paragraphs (b), (c), (d), or (e) of Article 54 hereof, cl me11t of tax made by the Tax At1thority shall. be considered as final- and con and immediately executive. 54. (a)
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TAXES OTHER Tl-lilN CUSTOMS
56. A Tax Appeal Commission may co11firm, redltce, i11crease or a11nul a11 assess ment and mak e such fl1�tl1er �ons equential order the reon as ma)' seem just a11d _ e final th d1spos1t1011 of tl1e matt er. Notice of the Com11lission 's de necessary for cision, the date th ereof, a11d of any amend111e11t to tl1e assess1nent shall be se11t to the Income Tax Autl1ority \vhicl1 n1ad e tl1e ass essme11t and whicl1 sl1all serve a copy of tl1e d ecisio11 on the appellant. NOTES OF DECISIONS Po.1v�rs of Ta:, .1lppeal Co1111nissions The High_ Court held tl1at a decision of the Tax Appeal Comm!ss1on tl1at tl1e app�llant shot1ld pay a fine, 1s not sustainable at law, where it was based on allegat100� not �ade by either party to tl1e appeal. ':"l1e Tax Appeal Comn1ission l1as no power to decide points which are not appealed and therefore its decision was based on improper procedure. Therefore, the court quashed the decision of tl1e Canmission. Bernadoni Guissepe v. Inland Revenue Departrr.ent (1-Iigh Ct., Addis Ababa, 1965), J. Eth. L., vol. 2, p. 334. The High Court held that the Tax Appeal Con1n1ission may exercise its power to increase or reduce tax assessments at the reqtiest of either party.It n1ay also annul an assessn1ent, if it is proved that the ta,xpayer l1ad no income. But under no cicumstances may it increase tl1e assessment on its own motion. A decision of a Tax Appeal Com1n:ssion to in1pose a fine on a Taxpayer, withot1t having been requested to do so by the Inland Revenue Departn1ent, was quashed by tl1e Higl, Court. Mulugeta Ayele v. Inland Revenue Depart1nent (High Ct., Addis Ababa, 1965), J. Eth. L., vol. 2, p. 340. Requiren1e11t to serve copy of decision 011 apptllant vVbere a ta,xpayer appealing from a decision Jf the Tax Appeal Commission failed to pay the tax in accordance \Vitl1 the Commission's decisi)n, but tl1e Inland Revenue Department failed to comply ,vith the High Court's order to give the :ax.payer a copy of tl1e Con1mission's decision, the High Court stayed the Con1n1ission 's decision md held tl1at tl1e failure of tl1e taxpayer to pay the ta,x in accordance witl1 tl1at decision did not bru the Court fro111 11earing his appeal. It warned the InJand Revenue Department "not to refuse to give to appellants copies of the decisions of the Tax Appeal Com.mission in the future.'' Orbis Co. v. In]and Revenue Department C-IighCt., Add i s Ababa, 1968), J. Eth. L., vol. 6, p. 74.
58. Should tl1e Income Tax At1thority or tl1e appellant be dissatisJied with the decision of the Tax Appeal Commissio11 on the grounds tl1at it is e rroneolIS on any matter of law, either part y n1ay appeal, within thirty (30) days from the date of !he Tax Appeal Commissio11's decision to the F.igh Court of App�al. The party making the appeal shall at the same time send a copy of tl1e subm1ss1011 to the other party and to the Income Tax Ap.peal Commission . CONSOLIDAT[ON NOTE A111d. 27/4 (1967) P. 255 Art. 2W. estio_n of I�w ar!s!n g y qu an ine te de d an ar he all sl1 �11; al pe ap e of t 59. Th cour _ on the appeal, an d shall, after reaching their de�1s�on thereon, notify t heir dec1s1on to the parties and return the case to the Comm1ss1011·. In no case may the court of appeal enter into the 1nerits of the assessment.
NOTES OF DECISIONS
Judicial revielv of Tax Appeal Co111mission's decisioir
II
l
.
.
· · d' ll woo the deduction of a sum, as being mterest on Where the Tax �ppeal Comm 1ss on � .an aI l eged.loan, the High Court 1e} ld th 1at ti1'! a�t1 re of the amount paid is a question of fact, wh. icl1 lhe Court may not consider. • J· ) 1967 a, a b Ab is d' d A ' t., C ll ig (H t en tm ar ep D Mosvold (Ethiopia) Ltd. v. Inland Revenue Eth. L., vol. 4, p . 104.
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CONSOLIDATED LAWS OF ETHIOPIA
Under an earlier la,v, the Hi,gh Court held t�at the tax a�1th?�ity may not arbitrarily dis rega r a taxpayer's books of a.ccot1nt in deteymining h!s income tax liabi_lity, ?ut that t�e question wbetb e� tl1e taxpayer bas sustai11ed losses wh1cl1 L1e cl�1n1s to baye susta1 ned 18 a qtiest1�n of fact, and i the absence of evidence before the <=:0�1rt th_at/t was arb1tr�ry- �or the tax authority to reject a tax� _ e tax l1�b1L1ty, the C ot1rt .c�not hol� that payer's b0.oks of a�c �unt in determ1n1og his .ncom th.e tax the ity ing author uphold s law in of deter 1atter T�x Appeal C on1011ss1on erred as a n mination in tl1i:s respect. . . Shalom Sbalon1ay v. Inland Revenue Department (High Ct., Addts Ababa, 1962), J. Eth. L., vol. 3, p. 58. Note: The dooision was based 011 16/1 (1�56) D. 19 Art. 60 whicl1 was repealed and repla ced by similar provisions in 20/13 (1961) P. 173 Mt. 59.
60. An appeal to the next higher c::>urt o� appea! fr om the decision of a lower
court of appeal may be made by either party w1th1n thirty (30) days of the notification of the decision of the lower court of appeal. The higher court of appeal shall confine its decision to the points considered by the lower court of appeal. 61. Notwithstanding a.ny appeal taken hereunder, the taxpayer shall pay the tax in accordance with the decision of the Tax Appeal Com1n.ission; provided, how , ever, tl1at if the assessed amo11nt is altered as a co11seqt1ence of the decision of the higl1est cot1rt of a1Jpeal to whicl1 a11 appeal is taken: (a) a11y amount overpaid shall be immediately refunded to the taxpayer, or (b) an:,' baia11ce due shall be im1nediately paid by the taxpayer. NOTE OF DECISIOl� V/l1ere a taxpayer appealing fron1 a decis[o11 of the Tax Appeal Conunissio n failed to pay the ta.x in accordance \Vitl1 the Commission's decision, but tl1e Inlan d Revenue Department failed to co1nply witl1 tl1e I·ligl1 Court's order to give tte taxpayer a copy of the Commission's decision, the Higl1 Co urt stayed tl1e Con1111ission.'s decision ancl held tl1at tl1e failure of the taxpayer to pay the tax in accordance witl1 tl1at decision did 11ot bar tl1e Cot1rt fron1 l1earing his appeal. Orbis Co. v. Jnlai1d Revenue Depart111ent (Higl1 Ct., Addis Ababa, 1968), J. Etlz. L., vol. 6, p. 74. 1
61A. (a) The provisions of Articles 4,9 thro11gh 61 i11clusive of the Principal Proclamation shall not be applicable to the appeal proceedi11gs in cases of appeals against the asses�ment of tl1e tax cha1·geable under Schedule D n1ade by Local Assessmect Co1n1nittees. (b) Such appeals shall be decided by Local Appeal Comn1issioL1s n1e11tio ned in Article 17H of th.is Proelamatio11. CONSOLDATION NOTE Aclcled 27/4 (1967) P. 255 Art. 2X.
XIII. LEVYING OF Tl\X
!
0 icl 1 Ar� Applic8: t ions for to ex�cutio11 e 1,ur 7H 62. of t1ant v1hi decisions cl1 s . b sh�! tion and Articles 55 Proclama Proclan1at1on anc 57 this of the Pri 11cipal cisio d of n l and fin concl11sive, s � ered �� as well as applications for executio consi? � � ru st 1n l shal 1nent1011ed _1n Article 61 (b) hereof, shall be 1nade to the Courts, which the Execut1011 Officer concerned to exec11te it tinder his responsibility.
CONSOLDATION NOTE . ,, A"!d. _27/4 (196 7) P. _255 Art. 2Y. The references in the present Article to "tl1is Procla mat io�ed the ''Pr10c1pa� Proclamation'' and ''h. ereof'' all appear to refer to Proclamation N o. 17 3 as a��nancl by Proclamat1on No. 255. Thus_, the r:ference� should be ta.ken to refer to.Articles 17H, , SS ,s 61 (b) of the present Proc]amat1on as 1t appea�s, witli amendments, in the Corzsolidated LaH
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0TJ:IER TI-l�N CUSTOMS
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ei11g 1101ified of a decisio11 referred to in Articlc after b 63. �f any person_ or body, _ 62 of this Proclan1at1on fails to pay tl1e tax ·,vitl1i11 the follo\vi11g period: (a) where 1:10 appeal has bee11 n1ade fro1n the decisio11 of tl1e Income Tax At1thor1ty, or Local Assess111e11t Con1n1itt ee rne11tio11ed i11 Article 17H of tb �s. Proclamation, or, \vl1ere tl1e appella11t did 11ot confor1n to the concl1t1ons of appeals specified in Article 17H of tl1is Proclarnatio11 a nd Articles 53 and 54 of the Pri11cipal Proclarnatio11: \Vitl1i11 tl1e period allo\ved for making at1 ap1)eal; or (b) wh ere. a11 8:ppeal l1as �e�n 111a.de: witl1i11 thirty (30) clays from the date of notrficat1on of a dec1s1on of tl1� appropriate Tax Appeal Commission; or (c) \Vl1ere an additional t ax is due i11 accorda11ce witl1 the provisio11s of Article 61 of tl1e Principal Procla111ation: withi11 tl1irty (30) days fro111 the date of 11otificatio11 of tl1e decisio11 of the highest cot1rt of appeal to which a11 appeal is take11. The Execution OfTicer is empov,ered, 011 r eceipt of a \varrant for that purpos e from tl1e Court, to attacl1 any funds, in clttding cash or credit held by another for such person or body, a11d to distrai11 and sell any n1ovable and immovable property of said defaulting person or bocly so as to collect the tax d11e t0gether with a11y penalties a11d cost of execution. (d) any person or body, who being reqt1ested to do so, fails to pay over or transfer to the Executio11 Officer any funds or property held by l1im or it for the accot1.nt of said defaulti11g person or body, sl1all become per sonally liable for the tax owed by the said defa11lting person or body.
CONSOLIDATION NOTE A1nd. 27/4 (1967) P. 255 Art. 2Y. TJ1e references in the prese� t Article to "this Proclamation'' and "the Principal Proclamation'' appear to refer to Proclamation N?· 173 as a111encled by Pro clamation No. 255. Thus, t11e references sl1ould be taken to refer to Articles, 17H, 53, 54, 61 and 62 of the present Proclamation as it appears, with an1end111ents, in the Consolidated La»1s.
XIV. SPECIAL PROVISIONS 64. All companies sh all submit to the Income Ta� A11thority a copy of tl1eir memoranda of association a11d statt1tes a11d shall notify any st1bsequent changes therein. ncon1e h an i 65. When an y taxpayer ceases to exercis� aoy activity_ fr?m whic _ chargeable 11nder Schedules B, C or D of th is �r ?�lamat1on 1s _derived, the person or persons respoilsible for wi11ding up �u_cll a�t1� 1t1es . shall notify t he Incon1e Ta x Auth ority of th e da te of cessatio11 of act1v1tr w1tl11� thirty (�O) days tl1ereof: Io �u�h cases arrears of the tax du e up to th e date ol cessation of act1v1ty shall be paid w1th1n 011e (I) month. CONSOL1DA1ION NOTE A1nd. 27/4 (1967) P. 255 Art. 2Z.
XV. PEN,\LTIES e m co its s in or e hi ar cl de to ils fa so do to ed r · 66 . A11y taxpayer wh o, be1n · g r equi ' be . assessed by the Income Tax with i.n the period specified in A rt ic le 35 hereof may - 525 -
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CoNSOI,IDA't'BI: ]...,AWS OF lE'FNIOPIA
. unt amo the of tax fim:ally ass of ) (20�{ e11t pe.vc ty twen lty, pena a as A°"thority, ess ed by said Income Tax Authority. 67. Any taxpayer w�o fails to pay the full amount of ta� due within thirty {30 days after the pay�e11_t 1_s due� sha� pay a penalty eqt1al _to tw@ perce. m.t (2_%) of th� amount of tax which 1s 1n default 10 respect of ever� thirty (30) d@ys dur ing which payment is i11 default" up to a maximum i;,enalty of :fttty pencent (50%) of the amou nt due. 68. Any tax.payer in one of the categoFies specified he'low who fails to mainta· su�h reeords and books of aeco:aiat as may li>e prescribed by Our Minister of Fina n�� shall pay a penalty of twenty percent (20%) of the amol!lnt of th� tax due: (a) busin.esses having an ann·1al tun1over of forty-eight thousan d dollars (Eth.$48,000) or more; (b) taxpayers engaged in professional a11d vocation.al occupations having an annual income therefrom of twelve tho11sand dollars (Eth.$12,000) or more; (c) taxpayers deriving a11 a.nnual taxable income exceeding twenty four activities. $24,000) from agric11ltural tl1ousand dollars (Eth. • CONSOUDATION NOTE An1cl. 27/4 (1967) P. 255 Art. 2ZA .
•
69. T11e penalties specified in P""rticles 66 through 68 i11clt1sive shall be added to a11d shall be deemed part of the ta.x and shall be recovered accordingly; provided> hoV!,ever, that said 1Jenalties may be ,vaived, i11 whole or in pa1�t, at tl1e discretion of the Income Tax At1thority. XVI. OFFENCES 70. (a) Any taxpayer who violates a11y of the JJrovisio11s hereof shall be put1ish able in accordance with the Pe11al Code of 1957. (b) No 1:,unisbme11t imposed purst1ant to paragra1:,l1 (a). of this· Article 70 shall extingi.1isl1 or abate taxes or penalties dtie. (c) Notwithsta11di11g the provisio1Js of Article 4-1 of this Proclamation and 55 of the Principal Proclan1atio11 tl1e Inco111e Tax Autl1ority is a11tboriz· ed to revise, at a11y time, any, of its previot1s assess111ents of tl1e tax in cases where it ap1Jears tl1at tl1e tax1:,ayer: (i) omitted to give a ft111 and pro1)er cleclaration of Inco111e; (ii) refused to suppl)' or �up1:,Iied the Tax A11thorit)' with false inform� tion co11cerning the s011rces or a111ot111ts of l1is i11co111e or tt1e size of his operations; (iii) committed any other offe11ce p1111ishctble 11nder the Pe11al Code of the Empire of Etbio1).ia. CONSOLfDATION NOTE . n,, t1 111 la ( P An1d. 27/4 1967) . 255 Art. 2ZB. Tl1e r!ferences in the JJresent Article to ''tl1is Proc a � o· and ''t�e Principal Proclamation'' appear tG refer to Proc]a111ation ·No. 173 as a1nendedheb�es:nt P t of 55 a11d s 4J cla.mat1on No. 255. Thus, the references sl1ou.d be taken to refer to Articl e Proclamation as it appears, with an1endn1ents, in tl1e Co,1so/idatec!.Lc1ws. . . CROSS REFERENCE 16/ . . . . . n c 1:hc;,. Article� of the Penal Code referred to in Article 70 (a) appear to be 1,r1mar1IY Pe Ex. 1 (1957) Arts. 354-356, 360, 362, 740. ,.
•
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XVII. PO'\VERS OF OUR MINISTER OF FINAN CE 71. Our. �inister of Finance may isslte Regl1latio11s for the better carryino- out 0 of the prov1s1ons l1ereof. 72. Our Minister of Fina11ce n1ay for good cat1se re111it, i11 \.Vhole or i11 Jart, the I pay by any abl tax e payer berel1nder. tax 72A. (a) If in any particular year tl1e ge11eral body of tax1Jayers i11 any 011e or more of the Woredas of Ot1r E1npire is u11able to pay the taxes previously assessed under Schedule D of 1lus Procla1natio11 owing to cljmatic or other hazards of natt1re 11ot fcresee11 at the time of assessment Our Minister of the Interior in concl1rre11ce witl1 Ot1r Minister of Fi�ance ma y recommend to Our Col1ncil of Mi11isters a remissio11 i11 wl1ole or in part of tl1e taxes so assessed; (b) Ol1r Co11ncil of Mirusters shail co11sider any recomn1e11dation 1nade under S11barticle (,1) hereof a11d having considered all the circumstances, shall submit to Our final decisi<!11 s11cl1 recommenclation as may appear just to Our Co1111cil of Mi11isters. '
CONSOLIDAT:ON NOTE Added 27/4 (1967) . P. .255 Art. 2ZC.
73. (a)
(b)
(c) (d) (e)
XVIII. TRANSITO RY . . PROVISIONS When tl1e tra11sition fron1 the Ethiopian cale11dar year to the Ethiopia11 fiscal year pl1rst1a11t to Articles 10 a11d 12 hereof results in a reductio11 of the accounting period from tvelve (12} to ten (10) montl1s, the follow ing changes shall be n1ade in as5essing the tax on income of said te11 (10) months period: . (i) tl1e taxable income · timits set forth in Articles IO and 12 hereof shall be multiplied by five-sixths· (5/6ths) ;. (ii) the fixed tax rates, but not the tax rates expressed in terms of per . centum, set .forth in Article- 12 hereof shall be ml1ltiplied by five· •·· · sixths (5/6ths); ·. (iii) the limits for surtax set for1h in Article 10 and 13 shall be multiplied b y five-sixths (5/6ths). When the transitio11 from the accounting year presently being used by to Articles 10 and any taxpayer to tl1e Etl1iopia� fiscal year pursuant _ 12 hereof changes the accounting year to a 'period of _other _than twelve months, the principle set forth in paragraph (a) of this Article 73 shall be similarly applied. . ' · . · · Income taxable 11nder Articles 7 through 9 hereof (Sc�edule A) shall be taxed in accordance wit h th� provisions hereof fro� tl1e first da� of the month .following the date of coming into force of thls Proclamation. d les an du B C) he f (Sc eo �e 17 gh ou thr 10 les tic Ar � r de un le ab me Inco tax 1 shall be taxed in accordance with the prov1s1ons hereof as from st Maskaran1 1953 E.C. to e r ior th ye pr pa y ax an by ed eiv rec or to � d ite ed _ cr or id l e pa Al incom l be taxed al sh le 73 tic Ar is th of ) (d d ah . ) (c hs ap gr ra pa ed in ifi tes ec da sp · e;. 56 re x ec 19 e Ta D m co In e th of s on i�i ov pr e th 1n accordance ·w1·th . ,
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CoN'sor.1nA·rno LAws oF EmioPIA
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(Decree No. 19 of 1956) and tJ1e Income T�x (Amendment) Decree· 1959 (Decree No. 34 of 1959) or of the prev1ous e11actments in force' as the case may be. 74. Subject to the provisions of paragra;phs (c), (d) .a11d (e). of .Art�cle 73 hereof tl1is Proclamation shall com.e into {orce 011 tl1e date of its publ1cat1on 1n the Ne gari; Gazer.a.
Done at Addis Aba·ba this 2nd day o.f Jttne, 1961. 22/1 (1962) L. 258 *
REGULATIONS ISSUED PURSUANT TO THE INCOME TAI PROCLAMATION, 1961 GENERAL 1. These Regulations are issued by tl1e Mi11ister of Fi11ance pt1rst1ant to au t.l1orit;' vested in rum by Article 71 of tl1e Income Tax Procla1nation, 1961 (Procla111ation No. 173 of 1961, hereinafter called the ''Proclamation''). 2. These Regi1Jations may be ci1ed a.s the ''Income '"fax Regl1lations, 1962". 3. Tl1e Income Tax Regulations, 1958 (Legal Notice No. 215 of 1958) are rescinded and replaced by tl1ese Re�ulations. Income Ciiargeable U.ndeir Schedule A
4. The fo]lo\ving categories of payn1e11ts i11 casl1 or benefits in kind shall be exclt1ded from co111putatio11 of income taxable under Schedule A: (a) an101111ts paid by employers to cover the actt1al cost of medical treat ment of employees; (b) allo\vances in lieu of mea11. s of tra11sportatio11 granted to e1nployee s in accordance with Gover11ment regl1latio11s or t1nder contract of employ ment; (c) amounts paid to employees i11 rei1nb11rse111en.t of tr,1velli11g expens es incurred on duty; (d) amo11nts of travelling exr.:enses paid to e111ployees recruited fr on ? else- _ where than the place of employ1ne11t on joi11ing and con1plet1011 01 employment or in co1111ec:ion \Vith tl1eir le,1ve, provided that such p ay· ro· p nd a ct ments are made purst1a11t to s1)eci ·f1c provisio11s of tl1e co11tra vided, further, that tl1e expe11ses covered by st1ch pay111ents are actually incur1·ed. s tbi of The allowances and payme11ts mentio11ed i 11 paragraphs (b) (c) and (d) d as ere d consi only be shall exempted are 4 from Article tax if the a111011nts involv;d re whe m reasonable by the Income Tax Author:ty, which is e111po\vered to redt1ce the such reduction may be justifiable. "'INTRODUCTORY FOOTNOTE
Imp/. amd. 27/4 (1967) P. 255.
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i
TA.'<ES
17-10 ---- �-- ----- --------· 0TI-IER TI-IJ.N CUSTOMS
5. I� tl1e0 tax on itlcome fro� em�loyn1et1t instead of being deducted from tl1e salary 01 ,vao: of the employee 1s paid by 1l1e employer in whole or in part, the a.mo11 nt so paid shall be added to the taxable i11come a11d sl1all be considered as part tl1ereof. 6. An en1ploye� \-vl10 meets tl1e fol�o,ving conditions may, if autl1orized by tl1e Income Tax A�ithority, pa y tl1e tax on 1i1corr.e received by his einployees from hin1 by use of special I11come Tax Stamps: (a) if h� empl�ys 110 more_ tha11 tei1 (10) employees who are liable to pa)' the ta x on income received from him; and (b) if none of said en1ployees receives n10.re tha11 011e hundred-fifty dollars (Eth.$150) per month from such employment. 7. Payments under Article 6 11ereof sl1all be made and shall be subject to the following conditions: (b) the special Ii1con1e Tax Stamps shall be obtai11ed by each emJJloyer from t�e I11come Tax At1thority or from age11ts appointed by said Authority and shall be affixed to a card supplied to said employer by the Income Tax A11thority; (b) cards shall be isst1ed a11nually on the basis of the Etl1iopian fiscal year; (c) Incon1e Tax Stamps shall be aifu:ed by the employer to the card isst1ed to l1im witlun thirty (30) days following tl1e month for \vhicl1 the tax is due; ( d) each employer sl1all tt1rn in said card annually to the Income Tax Au thority "'ithin thirty (30) days fo]owing the end of eacl1 fiscal year and shall be issued a new card in exchange therefor; (e) employers sl1all keep the cards in tl1eir homes or places of bt1siness and shall produce then1 tipon den1a!ld being made therefor at any time during working hours by a Tax Inspector. 8. In the event that an en1 ployer shall cease to meet the requirements set forth in Article 6 hereof, he shall tt1r11 in the card in his possessio� to the Income Tax Authority witl1 i1 1 thirty (30) days following tlle date upo11 which l1e ceases to meet said co11ditions. 9. The authorization to pay the tax in the manner specified in Articles 6 and 7 hereof n1ay be witheld or revoked at any time, withot1t cause, in the sole discretion of the Income Tax At1thority. 10. Unskilled worl(ers referred to in Article 18 (c) of the Proclamation shall be considered as employed regt1larly by one (1) employer if: . (a) they work for the same employer for more than fifteen (15) days 10 the aggregate in a single month; or . . (b) irrespective of the number of days in the aggrega te_ 10 a s1�gle month m co ac ing ive us ce ho re ey th r, ye plo em e m sa e th r fo for vvhich they work . th on m le ho w e th for er oy pl em y modation from an 11. Persons referred to .in Article 18 (d) of th e Proclamati?n, who remain �n Ethiopia for more th an one huildred eighty-tl1ree (183) day� 1n the aggregate 1n any twelv e (12) month period, shall be liable 1o _ pay t�e tax on 1nc?me fr_om_ empl?Y me.nt received by tllem for the entire period during which they are 10 Ethiopia d_ur1ng said twelve (12) month period, includiilg the per!od of_ the first on� hundred eighty d. r1� at th pe _ ng 1r1 dt a pi hio Et j e 11 thre (18 3) days in which they stayed - 529 -
IA J> lO H T E F O S W A L E> B T A CoNSOLID
17-10
B le u ed ch S er d n U e bl ea rg a h C e m Inco 12. Pursuant to Article 11 of the Proclamation, taxable income from so urc es chargeable under Schedule B shall be calct1lated as follows: (a) Gross it1oome sh.all incl11de: (i) all payn1ents in cash and all benefits i11 kind received by the les sor from the lessee; (ii) all payments made by the lessee on behalf of the lessor according to the contract of lease; (iii) the v·alue of any improvement made under the c�ntliact of lease to the land or buildings, where the cost of such improvement was borne by the lessee in addition to rent payable to the lessor; (iv) if furnished quarters are re11ted, amot1nts received attribu table to the renting of furniture and eqt1ipm.ent. (b) In calculating taxable income, 011ly �hose items mentio11�d in paragraph (c) of Article 11 of the Proclamat1011 shall be deductible fron1 gross 111con1e. 13. (a) Tl1e provisions of paragraph (c) of Article 11 of the Procla1nation and paragrapl1 (b) of Article 12 of these Regulatio11s sh.all be applicable only to a direct lease 111 ade by the owner of tl1e la11d or b11ilding to the lessee. (b) J11 the case of a sub-lease 111ade by a sub-lessor to a s1 1b-lessee, taxable incon1e of the lessee sl1all be calc11lated by ded11cti11g from the gross income of tl1e s11 b-lessor tbe an1ou11t o.f rent payable by him to the lessor. •
14. If tl1e amo1111t of rent paid to the lessor or sub-lessor covers a period longer tl1an one (I) year, the total a1nount of i11come fro1n s11cl1 re11t shall be attributable to tl1 e :fiscal year i11 vvhicb. the payn1ent was 111ade, bt1t tl1e tax 011 s11cl1 income pay able for said fiscal year shall be con1puted. b)' prorating the taxable incon1e over the number of years covered by the amou11t paid. 15. Income fron1 tl1e rent of objects which are part of the 11orn1al operation of a business, st1cb as gasoline pumps, gasoli11e statio11s ancl similar objects, shall be taxable not uncler Scl1edule B, but 11nder Scl1edt1le C. Income Chargeable 11nder Schedt1le C be shall s 16. Pursuant to Article 15 of the Procla111ation, tl1e follo,;vi 1 1g expe11se ble gea char deductible from gross income in calcL1lati11g taxable i11c0111e fro 111 sot1rces under Schedule C: (a) the direct cost of proclt1ci11g tl1e i11co111e s11cl1 as tl1 e direct cost of ina nu· fac�11ring and tra�i11 � operatio11s, of p;·ofessiorlal and vocatio11al occu· pat1ons, of explo1tat1011 of \VOods and forests, a11d. so 011 ; (o) general and ad1ninistrative expenses connectecl therewith; (c) depreciation, subject to the pro·visions of Articles 22 througl1 24 he�e�f ; (d) premiun1s payable on insura11ce directly co11nected with the a ctivity chargeable under Schedule C· ' . - 530 -
rfAXES
0TIIER TI-IAN CUSTOMS
17-10
----�--:--� � · ---· (e) con1mi sio s pa · . for serv1ce en dered · . id s r to bus1nesses or to persons o r . r. bodies en ga0o-ecl 1n a' p. ro 11ess·, one., o r vocati· onal occ11pat1· on,· prov1d · ed 1 that: s
n
(i) said services \.Vere i11 fact rendered; and (ii) the am?1111t paicl as _commi;sio 11 for sajd servjce s corresponds to t�1e. norn,a_I rates paid. b� other ?11si11esses or persons or bodies s1n11larly s1t11atecl for s1n11lar services re11dered in similar circun1s tances; (f) bad debt s , provided that the Income Tax A11thority is satisfied tl1at they are not recoverable and that th e taxpayer took all steps reasonably necessary for the recovery of the debt. . Travel e.\·penses
NOTES OF :DECISIONS
Under an earlier law, the High Court held that no written agreement bet\veen a concern and expert personnel is required to establish that expense! for air passage for said experts were incurred by the concern. The court quasl1ed a decision of the Tax Appeal ColTIJnission that said expenses, though necessary for the production of tl1e company's income, were not deductible because there ,vas no written agreement concerning then1. H.V.A. Etlliopia v. Inland Revenue Departmert (High Ct., Addis Ababa, 1962), J. Eth. L., vol. 2, p. 66. Note: The decision was based on 17/7 (1958) L. 215 Art. 7, which was repealed and replaced by similar provisions in 22/1 (1962) L. 258 Art. 16. Depreciation
\Vhere a taxpayer owned both a business which p-oduces incon1e taxable under Schedule C (and the premises used for tl1c business, the I-Iigh Court held under an �arlier law that he n1ay deduct from his Schedule C income a reasonable allowance for tl1e rental value of the premises, with the result that this amount will be taxable under Schedue B rather tl1an Schedule C; if l1e does so, he n1ay r.ot also deduct fron.1 I1is Schedule C income for depreciat. ion and repairs on the premises. Shalon1 Shalomay v. Inland Revenue Department (High Ct., Addis Ababa, 1962), J. Eth. L., vol. 3, p. 58. Note: The decision was based on the provisions of 16/1 (1956) D. 19 and 17/7 (1958) L.215, · ,vhich \Vere rep eale d and rep lac ed by . similar provisions in 20/13 (1961) P. 173 and 22/1 (1962) . L.258. ,
J 7. (a) No exp enditure n ot \.Vl1olly and exclusively incurre� for the pur�ose of d er A rticle 16 un on cti d du e a as ed ow all be l al sh producing tl1e income hereof. shall no t be re tu g na in w llo fo e th of ; re tu (b) Among other items, e xpendi allowe d: m ents to the u_ ol _e n1 al �n rs pe _ r he ot r o es ag w (i) su m s paid as salary, fi er n d d o re c hi e, 1 s 1 w h e, s ri rp te n e · · · e th f 1 o r . · tor or partne propr1e sp ons1'ble; re is e h ce an n te in a m pendents for whose urpose of �be p r? e p at iv r p er th o r o (ii) ex.penditure fo r mai 11tenance ersons ment1011ed 1n p er h ot r o e is r rp 1 e e n pr1etor o r par tn er _ of th.e . . , 17 le ic rt A is th f 0 ) (i ) h p (b ra g ra a p r partne r ; o r o et ri p ro e p th y . b e s ri p the e:,it. er m o r f· n raw hd t s wi um s (111 ) ." - 531 -
lIOPIA H 'F F lE O S W A L f.D 'f A ID L O S N o C
(iv) interest om tl1e ca,ll)ital of the propriet@r or paDt.nei: ruse cl in th� emterprise; (v) capital expenditures, including improvement and alteratioDs; (vi) sums paid as tax, pe.ialty or fin.e und�r the �roclamation, and any penalty or fine for bieaob. of the law, 1ncl1Ud1ng eJtpenses connected therewith; (vii) lesses net connected wii� o,r not arisi,ng out of the activity of tne enterprise; (viii) losses rec©verable B) inswanee @r G@liltraet of indemnity; (ix) donations.
NOTES OF DECISIONS Taxatio11 of salaries paid to a Schedule. C taxpayer's childre11 Under an earlier law, tl1e High Court held that salaries paid to a Schedule C taxpayer 's children are taxable income to tl1e children, even f1ou.gh the Schedule C taxpayer may not deduct their s alaries as bt1.siness expenses for purposes of determining l1is own income tax liability. Shalom Shalon1ay v. Inland Revenue Department (Higl1 Ct., Addis Ababa, 1962), J. Eth. L., vol. 3, p. 58. Note: Tl1e decision was based on 17/7 (1958) L. 215 Art. 8 (a) whicl1 was repealed and replaced by s;n1ilar provisions in 21/1 (1962) L.258 Art. 17 (b) (i). Capital e>:pe11diture Under an earlier law, tl1e High Cot1rt held tl1at capital expenditure is an expendit ure that is made once and for al] and tl1at brings into existence an asset or aclvantage for the enduring benefit of tl1e trade or business, while a revenue e:penditt1re is one whicl1 \vill recur year by year. Where expenses incurred in tl1e trade or business jo not bring any nevv capital bt1t are only intended to maintain existing ca1)ital, sucl1 as repairs of machinery, wl1ether or not usable for several years, sucl1 expenses constitute revenue expendittre and not capita.I expendittire.
I-I.\T.A. Ethiopia v. Inland Revenue De1)artment (Higl1 Ct., Addis Ababa, 1962), J. Eth. L., vol. 2, p. 66. Note: Tl1e decision was based on 17/7 :1958J L. 215 Art. 8 {e) wl1ich vvas repealed and replaced by similar provisions in 22/1 (1962) L. 258 Art. 17 (b) (v). Payn1ent of Transaction Tax Where the Tax Appeal Commission disallowed a deduction for tl1e pt1rpose of income tax of transaction tax paid for tl1e preceeding 3 years, the I-:Iigh Court l1eld tinder an earlier la\V that pay· ment of transaction tax is not a dedt1ctible expense for income tax pt1rposes, on the ground t�at it is not an expei1se wl1olly and exclt1sively :incurrecl for tl1e pt1rpose of produc.i11g inco111e. The 1-ligh Cou� als_o held that as tl1e transac�ion tax i, payable 111ontl1ly, the taxpa)rer n1a)' not take advantage of his failure to pay the ta.x on time. Mosvold (Ethiopia) Ltd. v. Inland R�veoue De1)arl111ent (Hjgl1 Ct., Addis Ababa, 1967), J . Eth. L., vol. 4, p. 104. Note: The decision was based on 17/� (1958) L. 215 Art. s \1/hich was repealed and replac� by 22/1 (1962) L.258 Art. 17. The Federal ,ra11saction Tax Decree 15/11 (1956) D. 17 (as arneoclb'aced by 18/14 (1959) D. 35) Art. 9, whicl1 is referred to in tJ1e jtidgeiue�t, was repealed and repl be pat� 22/18 (1963)_ P._205 Art. 20, 17 Consol. L. E1h. 17-20, which stipulates t11 at tt1rnover tax shall quarterly w1th10 30 days from the end of :lie qt1arter.
18. In the case of a business located and operating in Ethiopia as the branch, st1bsidiary or asso_ciated compa11y of a business located and operating abroad, 0� · payment of any kind made to t11e h�ad office or to the holding or assoc iate? colll i ess 1· n Et_ hiop1a pany of th� bus · n · shall be accepted as ded11ction from gr s s ncolllet ? � 1n ca1cu1at1on of taxa ble income unless the Income Tax Authority is sat1s fie tlia : 532 -
TAXES OTHER THAN CUSTOMS
17-10
(a) the payment in q11estion was mad e for services actually rend ered; and (b) said service was necessary for the bt1siness and could not be performed by other persons or boclies or by the b11si11ess itself at a lower cost. 19. If the Incon1e Tax At1thority bas reason to consider that the total amot1nt of s�laries _and other perso1 �al emolun1e11ts payable to the manager or managers of _ company 1s exaggerated, it may reduce said a1nou11t for taxation a private l1m1ted ptirposes to that limit �hich, i11 view of 01Jeratio11s of the con1pa11y, appears justifi _ _ able, either by_ d1sallow111g the payn1ents made to more tl1an one n1anager or in any _ other way which may be Jlist a11d appropriate. 20. A loss sustained by an enterpris e i11 one accounting period is not transfer able to a11other period. Business .Loss
NOTE OF DECISION
Under an earlier law the High Court held that business losses incurred in one accounting year afe deductible in respect of that year on]y and not in respect of any year during which the transac tion, the cause of the loss, was completed. Shalom Shalomay v. Inland .Revenue Departn1ent (High Ct., Addis Ababa, 1962), J. Eth. L., vol. 3, p. 58. Note: The decision ,vas based on 17/7 (1958) L. 215 Art. 9 wl1icl1 was repealed and replaced by similar provisions in 22/1 (1962) L.258 Art. 20.
21. The following shall be considered as credit institutions approved by the Minister of Finance for th e pt1rposes of Article 17 of the Proclamation: (a) any bank or insurance company duly licensed and registered to do business in Ethiopia; (b) any foreign bank or foreign insurance company ,vl1ich lends to any person liable to pay income tax in Ethiopia ; provided, however, that the following provisions shall apply ,vith respect to loans made by any such bank or insurance company: (i) any such bank or insurance company shall, prior to the gra11ting of any Joan to any such person, file a declaration in writing with the I11come Tax Authority \.vherein it 11ndertakes to inform said Authority conc erning all loans granted to any person liable to pay · income tax in Ethiopia; (ii) the fact of making any such loan shall be deemed to authorize the borrower to deduct from the interest to be paid by him on said loan the amount of tax d11e in Ethiopia on income from said in terest, and to p ay this tax, in the name and on behalf of t �e lending bank or insurance company, to the Income Tax Authority; (iii). the .borrower shall pay sue� · tax to_ the �c� me Tax Authority within the same period in which he h_1ms�lf 1s liable to pay the tax on his income, or, if he is not otherwise liable to pa� any such tax, _ within four (4) months from the end of the Ethiopian fiscal year; (iv) the filing of t�e declara�i� n re�erred to in sub-paragr�ph (i) ab�ve shall be· deemed to constitute th� agreement by th� bank or in surance company in question, up�n _ assess�ent be!ng made? to pay to the Income Tax Authority, within the time period prescribed
- 533 -
17-10
CONSOLIDATED LAWS OF ETHIOPIA
in � be income _tax la\\'� the. ba]ance ot· the. t_ax p,ayable with re spe to iilterest received by it which may be due either beca1:1se d�ducti ct ons at a ate calculated were lower made by borrowers t� an the rat � which applies to the aggregate amou11t of interest received by sai e d bank or insurance company or for any other reason.
Depreciation Allowance 22. St1bject to the provisions of Articles 23 a�d 24 hereof, deductions from gross income shall be allowed in calculating taxable income from sources chargeable und.er Schedule C in respect of depre�iatio ,n of :fixed assets, such as buildings, ma chinery, furniture, motor vehicles, and so on. 23. (a) Such dedttctions shall be granted only to taxpayers who keep satisfactory records showing: (i) the date of acqt1isition of the asset; (ii) the cost of acquisition; (iii) the total amot1nt ded:1cted, for inco1ne tax p11rposes, as of the asset since the date of accuisition. (b) Taxpayers clain1ing deductions for depreciatio11 shall furnish the Income Tax A11tl1ority with satisfactory evide11ce that the data mentioned in paragraph (a) of this Ar:icle 23 shown in their records are true and correct. 24. (a) the annt1al rates of depreciation shall norn1all;' not exceed: (i) in respect of buildings: fi\re percent (5%) of the origi11al cost of acqt1isition; (ii) in respect of n1achiner)': sixteen percent (16%) of tl1e original cost of acq11isitio11 for the first year of acq11isition and t\ve]ve percent (12%) in subseque11t years; (iii) in respect of furnitt1re: ten percent (10%) of the original cost of acquisition; (iv) in respect of motor vellicles: tv,enty percent (20%) of the origin al cost of acquisition. (b) In special circumstances or in res1,ect of partict1lar assets, the Income Tax Authority may pern1i1 the application of higher rates of deprecia�oo allowance, provided tl1at said At1tl10.rity is satisfied tl1at the period withi11 which said asset vill be con1pletely depreciated corresponds to its useful life. Maintenance of Accounts
25. For the purpose of Article 15 (a) of tl1e Procla111ation and i11 con11ect �on with the l?rovisions of Articl_ e 26 of these Regulatio11s, 1Jerso11s 'a.nd �odies carry i�� _ . 1ere ) l e 011 a business or engaged 1n a professional or vocationa ar n occt1 pat1o l · divided into tl1e fallowing categories: (a) Category A, which shall include the following persons arid bodi�s : (i) any. company, whether or not organized under the laws of EtbiopJa� the capital of whicJ-1 is represented, in �,hole or i� part, by shares, - 534 -
TAXES 0TI-IER Tl-IA:--l CUSTOMS
17-10
(ii) any other bt1siness l1avi11g a11 ann ua.l turnover of two ht1ndred fifty thot1sand Ethiopia11 dollars (Etl1.$250,000) or n1ore; (b) Category B, ':"l1ich. shall i11clt1de the followi11g perso11s or bodies, unless already classrfied 111 Category A: (i) any. bt�siness having an a1111.1al tur11over of forty-eight tl1ot1sand Etl11op1a11 dollars (Etl1.$48,COO) or 1nore; (ii) any perso11 engaged . in a l) �ofessional or vocational occt1pation whose annt1al gross 1ncon1e 1s twel,1 e tho11sa11cl Ethiopian dollars (Eth.$12,000) or n1ore; (iii) a11y person or body \Vl1ose ru111 t1al taxable i11come is esti1nated by the lncon1e Ta,'\ At1tl1ority 2s being over six tl1ousa11d Ethiopian dollars (Eth.$6.000). (c) Cate�ory . C, which . shall include all persons a11d bodies 11ot already classified 1n Categories A a .nd B \vhose ann11al taxable incon1e is estimat ed by the Incon1e Tax A11tl1ority as being six tl1011sand Ethiopian dollars (Eth.$6,000) or less. 26. Witho11t prej11dice to tl1e provisio11s of the Commercial Code of 1960, 1Jersons and bodies classified in Categories A a11d B shall maintai 11 the followi11g records and accounts: (a) Category A: records a.11d accounts V11hich will e11able then1 to submit to the Income Tax A11thority, at the end of the year, a bala11ce sheet, a JJrofit and loss accou11t a11d the details of the following: (i) gross profit, and the man11er in which. computed; (ii) ge11eral a11d ad1ninistrative expenses; (iii) depreciatio11 ;_ and (iv) provisions and reserves.; (b) Category B: books of daily reverue a11d expenditt1re, kept in s11ch form. as 1nay be i11dicated by the l11come Tax Departme11t of the Ministry of Finance, which will enable tl1e t:1xpayer to submit to the l11come Tax Authority, at the encl of each year, the totals of s11ch revenue and expenditure. CROSS REFE.IBNCE Comn1. C. 19/Ex. 3 (1960) Arts. 63-85.
27. The balance sheet, profit and Joss a:cou11t and the totals of revenue a11d expenditure referred to in Article 26 hereof shall be submitted to the Income Tax :'-nthority within the period prescribed for �e maki�g of declarations ?f income tn Article 35, paragrapl1 (b), sub-paragraphs (1) and (11) of tl1e Proclamation. 28. All entries i n the records and accounts referred to in Article 26 hereof shall be made either in Amharic or English; provided, however, the Income Tax Authority may, at its sole discretion, permit a11other language to be used. 29. All entries in the records and accounts referred to i11 Article 26 l1ereof shall be supported by appropriate vouchers. 30. Persons and bodies classified by the Income Tax Authority in Category C may be placed by said Authority int o one of. the following classes and shall pay the tax at the rate prescribed for that class:
- 535-
PIA IO m E F O S W A L D E Ti A ID L O S N Co Class
Estim,a,ted taxable income per year Eth. $
---
Not exceeding 300 but over '' 480 '' '' 600 '' 720 ,, '' 960 '' ,, '' 1,200 '' ,, 1,500 '' '' 1,800 '' 2,100 '' '' ,. 2�400 ,, 3,000 ,, '' 3,600 ,, '' ,, 4,200 '' 4,800 '' '' ,, 5,400 l)
300 n.ot exceeding '' ,, ,, ,, '' '' '' ,, '' ,, ,, ,, '' ''
'' ,, '' ,, ,, ,, '' ,, ,, ,, '' ,, '' ,,
Amount to be paid Eth. $
---
480 �00 ,20 960 1,200 1,500
1,800
2,100 2,lOO 3,000 3,600 4,100 4,800 5,400 6,000
3.00 9.00 18.00 24.00 33.00 45.00 60.00 75.00 90.00 108.00 162.00 216.00 270.00 324.00 378.00 432.00
-------
--
CONSOLIDATION NOTE Imp!. a111d. 27/4 (1967) P.255 Art. 21, 17 Co11sol. L. Eth. 9-12 (changing rate of taxation on income earned fron1 businesses and profess:ons).
31. Subject to the provisions of A:ticle 32 l1ereof or unless directed to do so by the Income Tax At1thority, persons and bodies placed in a class set forth in Article 30 hereof shall not be liable to st1bmit annt1al declarations of income dt1ring the three (3) years period for which said classification was made. 32. (a) If, during any year: (i) tl1e actual taxable incon1e of any taxpayer classified p11rsuant to Article 30 hereof exceeds six thousand Etl1iopian dollars (Eth.$ 6,000); or (ii) the taxpayer derives income from a sot1rce other than his normal operations; or (iii) the type of business carried on is changed; the taxpayer shall file a declaration to that effect with the Income Tax Authority and shall declare the a,ctua1 taxa·ble income earned during said year. The Incon1e Tax At1thority may tl1ereafter p lace te. said business in a differe11t class 01· category, as appropria . ess in btts of (b) The following are typical exan1ples of a cl1a11ge i11 tl1e ty1:,e carried on which fall 11nder paragraph (a) (iii) a.hove: le· who and (i) a retailer starts to act as wl10Iesaler or both as retailer saler; (ii) a merchant undertakes a productio11 activjty; n ow his (iii) a producer undertakes a trading activity with other tl1an products;
- 536-
T1\XES OTHER 1 1IAN CUSTOMS
17-10
(iv) a merchant who used to t:ade \\1itb certai11 limited types of 0croods starts trading with different types of goods; (v) a. 1nerchant opens an additiDnal shop or moves his sl1op to a different place ,vhich entails enlargement of bis activities. Assessment of 'fax 33. Pursuant to Article 22 of tl1e Proclamatio11, eacl1 taxpayer sl1all be liable to st1pply the Income Tax Authority ,vith all i1lforn1ation required for the assess1nent of i11come tax, including i11formatio11 about his operations or relationships with other persons or bodies whicl1 may be 11ecessary for control of his cleclaratio11 of 1ncome or his books of acco11nt . 34. (a) Wl1en assessing the tax, tl1e I11come Tax Authority shall i11itially assess tl1e amount of taxable inco1ne of the taxpayer and shall then,. impose tl1e tax at the rate correspo11di11g to this amount. (b) Tl1e amo1111t of taxable income sl1all be assessed either 011 the basis of records and acco11nts kept by th� taxpayer or by estimation, as prescribed in Articles 39 and 40 of the Proclamation. (c) Where a taxpa)1er has n1ore that1 one source of income, the Income Tax Authority shall assess the amou11ts of taxable incon1e from each of tl1e sources tl1e tax shall the11 be imposed 011 the aggregate amou11t of i11come chargeable u11der the appropri2te Schedule or Schedules. (d) When sending the assessme11t to the taxpayer, the Income Tax A11thority ·shall notify him of: (i) the amou11t of taxable i11cnme as assessed; (ii) the amo11nt of tax payable under the appropriate Schedt1le or Schedules; and (iii) any penalties chargeable under Articles 66 throt1gl1 68 of tl1e Pro clamation, which shall be show11 separately. (e) At the request of the taxpayer, the Income Tax A11thority shall provide him \vith such explanatio11s cc,ncerning the matters set forth in para graph (d) of this Article 34 hereof as may be deemed appropriate or necessary. Provisions Regarding Exemptioos for _t\gricultural Purposes 35. [I111pl. repd. 27/4 (1967) P.255, 17 Co11sol. L. Eth. IO (rede:6nin_g ''agricult11_ral activities'' and providing for income ta� on them �nd thus impliedly rep� al1ng _ definition and exemption from tax prev1cusly contained 1n the present Article).] Effective Date 36. These Reg11lations shall come into force and be applicable as follows: (a) as regards income chargeable under Schedule A_: . to income received after the end of the n1onth 111 which these Regula tions are published; - 53'i -
CoNSOLJ�A'l'BID LAWS OF ETHIOPIA
(b) as regards income ob.argeab� nn�er Scbed.ules iB an·d C : to income receiv.ed since tbe period fron1 the 1st Harnl1e, 195 4 (E .C.) (8th July, 1962). Done at Addis Ababa this 12th d.ay of September, 1962.
F. Lind Tax \
4/2 {1944) P. 70* LAND TAX FROCLAMATION CONQUERING LION OF THE TRIBE OF JUDAH HAILE SELASSIE I ELECT OF GOD, EtAPEROR OF ETHIOPIA .
WHEREAS, it is desirable that the systen1 of land taxation should be revised a11d simplified i11 order to ensure greater ease of payme11t and in order to diminish tl1e cost of collection; and WHEREAS, We understand that cliffict1Jties have arise11 i11 estimating the Tithe 011 la11d; In accordance with Articl e 34 of Our Co11stitution We a1Jprove the resolutions of Ot1.r Se11ate a11d tl1e Cl1amber of Dept1t.ies and We accordi11gly proclaim as fol lows: CONSOLIDATION NOTE Tl1e Constitt1tion referred to l1ere is tl1e Constitt1tion of 1931. This Constitution was repealed aod replaced by the Revised Constitution of 1955, 15/2 1955) P.149, 1 Co,zsol. L. Eth. l. The Article of the Revised Constitution parallel to the cittd Article of the 1931 Constitt1tion is • .\.rticle88.
1. Tl1is Proclan1ation may be citec as the ''La11d Tax Proclamatio11 of 1944", and shall come into operation on tl1e 1st day of l'VIeskere111, 1937 (I ltl1 September 1944). 2. The Land Tax Proclamation of 1942 is hereby repealed and replaced ·by the 1Jresent Proclamatio11. CROSS REFERENCE Land Tax Proclan1ation, 1/1 (1942). P. 8.
3. In this Proclamation: ''Tax collector'' means a person appointed a11d at1thorized by the Mi11i5ttY of Fi11ance to collect land taxes; able y p a is 11 ''Tax'' 1neans the amot1nt of land tax wl1icl1 by this Proclamatio in respect of any one year by the person fro1n wl10111 it is dt1e; ''Land owner'' n1eans the perso11 whose title to ownershiJJ of the land is re· cognized by law. ealed, p re 4. Any other taxes, services and. fees heretofore 1Jayable are l1ereby a11d tl1e taxes hereafter specified are substitt1ted. . .
. .•.
..
. *INTRODUCTORY FOOTNOTE . _ Anzd. 6/� (1947) P.84,_ 7/2 (1947) P.93, 8/12 (1949) P.1,06, 10/10 (1951) P.117, 25 /9A (l966) P.230, 27/4 (1967) P.255; 11npl. amd. Pen. C, 16/Ex.1 (1957), Crim. Pro c. 21/Ex.1 (196l), .
.
-538 -
17-11
TAXES OTHER TI:-It\N CUSTOMS
(By this it is mea11t tl1at the aforesaid provision applies 011ly for obligatory taxes payable i11 respect of Land Tax and DOES N·or MEAN that contribt1tio11s towards tl1e spirit11al edt1catio11 imparted bJ tl1e Churcl1 to tl1e parishio11ers, cons trt1ction of Cht1rches a11d in general fees give11 for tl1e t1st1al spirit11al protectio11 afforded by the C�t1rch to its Cl1aristian pa�isl1ioners dt1ring Jife and death as well as corn and fire\vood for the Church a11d salar)' for the store-keeper or any st1ch other ,vorks \vhich shall be carried ot1t by tl1e loc1l populatio11 in t111ion are prol1ibitecl.) Rate of Tax Payable on Each Gasha of Measure• Land Fertile
Semi-fertile -
I .
·->
·-u.... _, ·-
� (J
�
C:
.
.....
0
�
;:::l
:::s
�
�
0
0
.s •
'
Eth. $
_
0 ...cU- .....
0 . ·-
$
1
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- 539-
10.-
5.- 15.-
17-11
CoNSOLWAifED LAWS OF ETHIOPIA
In provinces where land is measured tax sh.all be paid on the above scale, should the measurement be more or }(}SS tha11 a Gasha, the tax shall be proport bu; io n. ately increased or decreased. GOJJAM TIGRE BEGEMDIR
In these three provinces t�e tax shall be paid �n money at the rate which was jn force 10 1927, pl1:1s the estimated tithe, in money.
CONSOLIDATION NOTE Amd. 7/2 (1947) P.93 (adding �he sente1ce found in parentheses as an ''interpretation'' of the prese.nt Article), 10/10 (1951) P.117.
5. (a) Lands known as ''rist land'' in the Province of Shoa An1ara shall, for th.e purposes of this Proc:amation, be assessed and classified into eight separate categories to be known as Class l, Class 2, Class 3, Class 4 ' Class 5, Class 6, C'Iass 7, Class 8 respectively. (b) Lands known as ''Unmeasured Gebbar Land'' i11 all provinces of Our Em1)ire shall, for the purposes of this Proclamation, be assessed and classified into five se1Jarate categories to be k11ow11 as Category I, Cate gory 2, Category 3, CateEory 4, Category 5 respectively. CONSOLIDATION NOTE Added 10/10 (1951) P. 117 Art. 3.
6. All assessment and classifications 1111der this Proclan1atio11 shall be made b)' tak.ing into co11sideratio11 the natural characteristics, tl1e actual area and the situatio11 of the land under assessn1ent. CONSOLIDATION NOTE Added 10/10 (1951) P. 117 Art. 3.
7. The assessn1ent and classificati:::>11 on any Ia11d in a Kabale shall not be taken t o represent the category of all lands in the same Kabale. Eacl1 and e, ery plot ot_ land which forms an entity shall be separately assessed and separately classified according to its 11at11ral fertility and superficial area irrespective of \Vhether the land is sit11ated in one or 1nore Kabales and irrespective of wl1etl1er tl1e ow11er or possessor has other lands i11 the same Kabale or not. 1
CONSOlIDATION NOTE Aclded 10/10 (1951) P. 117 Art. 3.
y o�sl previ been 8. All Shoa Amara Rist Unmeasured Gebba1· Lands wbicli have on lati �egis assessed and classified under any previous Proclan1ation or subsidiar)' shall,. for the p11rposes of this P1·oclal1ation, be re-assessed and reclassifi ed. CONSOLIDATION NOTE Added 10/10 (1951) P. 117 Art. 3.
o , i rov , 9. The rates of Tax payable on Ia11 d ktlown as ,,Rist Land in the P nce f Shoa Amara shall be as follows: - 540 -
TAXES 0TI-IEll TJIAN CUSTOMS
..
17-11
DESCRIPTION CF PAYMENT CLASS
LAND TA.X
Tithe
Total
8.7.6. 5.-
12.10.9.8.6.-
20.-
$
1
2
3 4 5 6 7 8
4.3.?-·
0.50
$
$
17.-
15.13.10.-
4.-
7.-
3.1.50
5.2.-
CONSOLIDATJON NOTE ,4ddecl 10/10 (1951) P. 117 Art. 3.
. 10. The Rates of Tax payable on ''Unn1eas11red Gebbar Land'' in all provi11ces of Our Empire shall be as follo\vs:
Description
I
Land Tax Tithe
I
Total
I
DESCRIPTION OF PAYMENT Categories 1st 2nd 3rd Eth.$ Eth.$ Eth.$
8.00 12.00 20.00
I
I
7.00 10.00 17.00
6.00 9.00 15.00
5th
4th Eth.$
I
4.00 6.00 10.00
Etl1.$
I
2.00 3.00 5.00
I
CONSOLIDAT:ON NOTE Added 10/10 (1951) P. 117 Art. 3.
11. The assessment shall be by the estirration of reputable persons to be chosen for the purpose and after the estin1ation t:1e assessors shall cause the registration of the land according to its classification in the eight categories scheduled to pay the yearly tax from 20 to 2 dollars respectively. Witl1 regard to those lands of or above one gasha the owner of sucl1 land shall be asked through the intermediary of the Governorates whether l1e accepts tl1e estimation and if s11ch owner agrees he shall pay the yearly tax of te11 dollars for land tax and 25 dollars for tithe, a total of 35 dollars a year per gasl1a of land. If however, the owner does not accept the estimation and consents to the measurement of the la11d such land shall be measured and thereupon should the land be foun d to be one gasha such· owner shall pay land tax at tl1e rate of 35 dollars to the gasha per year but should it be found to be less tl1an a gasha the O\Vner shall pay land tax at the rate according to its category as specified above. CONSOLIDATJON NOTE Added 10/10 (1951) P. 117 Art. 3.
12.
(i ) There shall be charged, levied and collected an an1111al tax, as prescribed above , kno\v11 as the Land tax. s ed ss� a cla all be sh tax to ble lia d :an , tax s thi of es os rp pu (ii) For the th wi the ry va all sh tax the of es rat the d an , or po or ile ert i-f e, sem fertil classification of the land. - 541-
17-11
CONS©.LliDATBD LAWS OF E�I:IJIOPIA
al ov pr of ap the the Counc iJ ©f th wi , all sh ce an Fin of r ste (jii) Our Mini _ 6azeta, amend the rates 0f tbe. tithe Ministers by notice itl tlie Negar,t • (iv) The tax sha ll be due o.n t:,e first Tahsas in each year and shall be p aid by the 30th Megabit. (v) (a) Any person who owos land \\1bich is subject to �'rist gt1lt'' or "si gult'' held by a third pe·rson sh.all, like any other Ethjopian Ian�� owner, pay directly �d in full to the Goyernnient Treasury land tax as scheduled in the Land Tax·Procla;mait:100 of 1944, as ame nded and the taxes payable unde:r; toe Educational Tax Proclamatioi; (Proclamation No. 94 of 1947) aind the Health Tax Decree (Decree 'No. 37 of 1959). (b) Any person who holds ''rist gult'' or ''siso gult'' with respe ct to
Iapd owned by him shall, like any other Ethiopian landow ner, pay directly to the Government Treasury land tax as scheduled i11 the Land Tax Proclamation of 1944, as amended, and the taxes paya.ble under the Educational Tax Proclamation (Proclamation No. 94 of 1947) and tl1e Hea:th Ta.x Decree (Decree No. 37 of 1959).
(c) Those \Vl10 clai111 exe1nptio11 fron1 the payment of land tax being l1olders of ''Samo11'' shall register their clain1s at the Ministry of Fi nance by 1st Tir, 1937, and prod11ce at the same time such evidence as \¥ill co11vince the Minister of Fi11a 1 1ce of the validity of their claims, provided tl1at tl1e Iviinister oi' Fi11a11ce n1ay exte110 the t.in1e ljn1it for registratio11, as n1ay be deen1ed necessary, by the publica tion of 11otice in the Negarit Gazeta. These Ia11ds, pe11ding f11ture legislatio11 to reg11larize their taxatio11, shall pay i11 respect of tithe the an101111t JJrescribed in tl1is Proclan1atio11. COl�SOlTDATION NOTE Orig. Ait. 5; re11i1n1. 10/10 (1951) P. 117 Art. 4; .a1r1d. 8/12 (1949 ) P.106, 25/9A (1966 ) P.230 Art.2. CROSS REFERENCES Educational 1�ax, 7/3 (1947) P.94, 17 Co11sol. L. Et/1. 3. 1�1ealtl1 Tax, 18/14 (1959) D.3 7, 17 Consol. L. Et/1. 8. Notices pt1blisl1ed by the Minister of Fi1a11ce i11 tl1e Negarit Gazeta pt1rst1ant to present Su� article (v) (c) extended tl1e time limit for re�istration of ''san1on '' (al1cl ''rist- gult and siso-gult ) lands up to Pagume5, 1944 (10 Septe1nber 1952). 9/11 (1950 ) L.143, 10/8 (1951) L.152 , 11/6(1952 ) L.160.
tion, n 1a . Procla owner shall land be liable Every to l)ay this 13. tax specified i 11 do who a11d owners of land on]y outside municipal or tow11sl1 ip areas except th�t _g usin not of tax 11nder tl1e Incon1e income reaso11 Tax pay Proclan not 1 atio 11 by not for or .nue said land for cultivation to raise cropE and J)roduce or for a1 1 y other use, 1 nt co or to other perso 1 1 or persons or bodies s11all be liable, renting said land to be · 1iable, to pay tithe in pt1rsuance of the prese 1 1t Proclamatio11. · · (1) The tax shall be deemed a debt dtie to the lnlperial Gove. rnment and n1ay at any .time after it l:.a s become due be sued for and rec overed b)' a ta x collector in any local court witI1 tl,e ftill cost of the s11it. - 542-
TA..XES
17-11,12
0TI·IER T·IAN CUSTOMS
(ii) When the full amou11t of the taI a11d costs l1as been recovered by n1eans of exect1tion of any jt1dge111ert obtai11ed against tl1c taxpayer a tax receipt shall be given J1i111.
CONSOLlDATlON NOTE O�ig. Art. �; renu,n. 10 f10 (1951) P. 117 1-\rl. .:.; a111d. 27/4 (1967) P. 255 Art. 3 (providing for an agricultural income tax instead of the tithe, ,vth i the exception noted in the present Article). {
CROSS REFERENCE
Inco1ne Tax Proclan1ation, 20/13 (1961) P. 173, 17 Consol. L. Eth. 9.
14. (i) Any person v.1110 reft1ses or wilfully 11eglects to pay the tax for which be is liable under this Procla1natio11 shall be gt1ilty of a11 01Te11ce and, in such cases as do not fall t111cier .t\rticles 360-362 of the Penal Code, shall be liable 011 conviction to pt111isl1n1ent in accordance ,vitl1 Article 740 of the Code of Petty Offe11ce. (ii) For the purposes of this Procl2.mation a la11dow11er sl1all be deemed to have refused or ,vilful]y 11eglected to pay his tax if tl1e tax remains t111paid t1ntil t11e 30t11 of Megabit (March). (iii) [In1pl. repd. Crim. Pro. C.21/Ex.1 (1961) Art. 209 (providi11g for recovery of fines and tl1t1s impliedly repealjog the present St1barticle, wl1icl1 provided for sale of offender's ?roperty to recover fi11es).] CONSOLIDAT[ON NOTE Orig. Art. 7; renu111. 10/10 (1951) P.117 Art. 4;a,ncl. 6/5 (1947) P.84; i111pl. an1cl. Pen. C.16/Ex.J (1957) Arts. 360-362, 740 (providing penalties for violation of tax laws), Crim. Pro. C. 21/Ex.1 (1961) Art. 209 (see note in text).
15. A receipt for tl1e an1ou11t of tl1e tax paid by eacl1 Iandow11er sl1all be isstied by the tax collector and delivered to the per,011 paying tl1e tax and such receipt shall be evjdence of tl1e payn1ent of the tax. Provided always that if a receipt cannot be produced, a court may at its discretion adn1it other evidence in proof of payn1ent. CONSOLIDATION NOTE Orig. Art. 8; ren11rn. 10/10 (1951) P. 117 Art. 4.
16. Our Minister of Ffnance may make rules i11 regard to the following: . (i) The classification of lands; . . . . (ii) Ge11eralJy as are necessary for the effective adm1n1strat1on of this Proclan1ation. CONSOLJDAT�ON NOTE Orig. Art. 9; renu,n. 10/10 (1951) P. 117 Art 4.
,
Done at Addis Ababa this 1 st day o:· November, 1944. 21/10 (1962) L. 257
REGULATIONS ISSUED PURSUANT TO THE LAND TAX PROCLAMATION, 1944, AS AlVIENDED .
to th e ly dt1 ial tan bs su ed lop ve s ha � pia l1io Et in : �� , e AS ur agricult _ WHERE cultivation of new· lan ds and the improved fert1l1ty of lands previously cultivated, and
- 543-
17..12
CONSOLIDATED LAWS OF ETHrOPIA
WHEREAS due to the above fao1s the old classification of land does not ear. respond in man; cases to the actual ccndirtions of fertility; and WHEREAS, a 11ew classification is therefore necessary, NOW, THEREFORE, the following regulati� ns are hereby _ issued by Minister of Fin.a.nee under Article 16 of the Land fax Procl_amat1on of 194 the 4, as amended by the P� oclamation No. 84 of 19�7 the Procl�mat1on N?· !?6 of 19 49 and the Proclamation No. 117 of 195l (hereinafter the , Proclamation ). I. These Regulations may be cit�d as the ''Land Tax Regulations, 1962''• 2. Legal Notices No. 64 of 1944, No. 132 ot· 1949,_ No. 154 of 1951 and No. 172 of 1952 are deleted and replaced li>y th.ese Regul ations. CROSS .IBFERENCES Classification of Lands Rules, 4/2 (1944) L.64. Land Assessment Regulations, 9/1 (1949) L.132_ Land Assessment Rules, 10/10 (1951) L.154. Land Assessment Amendment Rules, 12/6 (1952) L.172.
A.
GENERAL PROVISIONS
3. Subject to the provisions of A1ticles 4 hereof, all measured lands classified as se1ni-fertile and poor a11d all unn1e,sured Gebbar lands and Rist lands shalJ be reclassified and :placed: (a) As regards n1easured la11ds. into one of the classes specified in Article 4 of tl1e Proclamation; (b) As regards u11meas11red Gebbar lands a11d Rist la11ds, into one of the categories or classes ent1merated. in Article 5 of the Proclan1ation. 4. Tl1e following la11ds shall be excluded from reclassificatio11: (a) t111measured Gebbar lands and Rist lands of one gasha or above, n1e11tioned in ft_._rticle 11 of the Proclamation, on ,vl1ich the tax of Etb.S 35.00 per gasha is payable, (b) lands in the provi11ces of Gojjam, Tigre and Begemdir. 5. The nev.1 classification shall be made by classification com1nissio11s or in case of an Appeal by tl1e Appeal Commiss:011s which sl1all be organized by Governors General of the respective provi11ces in accorda·nce with. tl1e provisio11s of Articles 9 and 11 hereof. 6. (a) The Mal �(egn� with the help of Chikash11m at1d three (3) elders selected for class1ficat1on of lands ii1 accordance \Vitl1 Article 9 hereof shall prep�re a list of all la11ds in tl1e Malkegna. ched atta n shall be The 11st declaratio prepared ia tl1e form show11 iri the (b) hereto. (c) The entries regarding: (i) ''landowner's name'', (ii) ''area of land'', (iii) ''kind of land'', a11d (iv) ''previous classification." shall be filled in before the con1n1e11cement of the new classification by the classification commission. -544-
TAXES 0TI-IER TI-IAN CUSTOMS
17-12
(d) The ent !·ies r �garding ''11ew c]assificatioi1'' shall be filled in after tl1e completion of the ne\v classification by tl1e classification con1n1issioi1 a11d then the l\r1alkeg11a, the Chikasht1m and tl1e elders sl1all sign the declaration n1ade in tl1e f orn1 as attacl1ed l1ereto. 7. (a) 'Yl1e11 (ilassi!'yi�1g Ja11ds, classificatio11 com111issio11s sl1all apJ)ly provi sions of Articles 6, 7 and 1 I of the Proclamation·' (b) witl1 the exceptio11 of precipitous a11d rocky poor lands the classification shall be made ,vitl1 resp. ect to the higl1er level of the land. 8. In case of appeal, the la11d ?wner sl1all be i11forn1ed about the ti111e and place ,vl1en and ,v�1ere l1e sl �ot1ld be .available to the 1\.ppeal Com1nission in order to give _ the comm1ss1011 such 1nforn1at1on as may be necessary. If he is absent, the Appeal Con1mjssion shall proceed witl1 its work in his absence. B. CLASSIFICATION COMMISSIONS AND APPEAL COMMISSIONS 9. (a) All lands st1bject to the 1 1ew classification shall be classified by classifica tioi1 com111issio11 consisting of: The Governor of Miktel Woreda - - - - - Chairman - - - The Treas11rer of the Woreda Men1ber The Malkegn.a - - - - - - Men1ber - - - The Chikashurn Member Three elders selected by inhabitants of Malkeg11a - - - - Nlembers. or place wl1ere the Ia11d is located (b) The Miiiistry of Fi11a11ce shall assign a clerk to act as the secretary of the conlillissio11. (c) Tl1e decision of tl1e com111ission shall be made by the majority of vote. (d) As soo11 as tl1 e classification assessn1ent is made, it shall be sig11ed by the c11airn1an a11d all n1embers of the comniission, and a copy thereof shall be forwardecl by the chairman to the la11downer; another copy, shall be delivered to the treasurer of the Woreda. (e) If vvithi1 1 thirty (30) days from the delivery of the clas�ificatio11 assessment to the treast1rer of the woreda or to the landowner neither of them makes a 11d appeal agai 1 1st t11e assessmen!, the assessment as made by the clas�i fication commission shall be considered as final and the tax shall be pai d in accordance \vith this assessment. •
I 0. (a) Should the treasu1·�r of the \Voreda consider that the assessment is er ov be uld t wo be tha nk tl1i er wn do lan the uld sho or d 1 tin ate 11 1deres 1 charged, they shall be entitled to make an appeal. The appeal s�all be made in writing, the reasons tl1ereof shall _ be clearly stated and 1t shall n er t tha lat a no ed or W el 1kt M e th of or rn ve Go e be submitted to th nt n1e the ess of ass py co the of ery liv de e th m fro ys da ) (30 n withi thirty to the respective appellant. , al e pe th t ap ip of ce re e th on up a, ed or W l te ik M (b) The Governor of the a. ed e or th W of r no er ov G e. th to ly te ia ed m shall transmit it im
- 545 -
17-12
OoNSC>'LlVATED LA.WS OF ETHIOPIA
] eal, if submittecd in time, shall be co11sidered bry, the A,PPea! 11. (a) 'Dhe ap> · l COJlS·lS·t·1ng Of·, · lOl CommISS The Governor of the Woreda . - - Ohairman On e of the judges of the Woreda du�y appointed by the Governor general ,)f the province - Member An elder selected by inhafJitants of the place within which the land is located - - - - - M.ember a clerk whe shall give the app (b) The Ministiy of Finance siall assign • ea 1 ...i· . e appeal, if made b oow:mission nece-ssary ex.planat1ons riegarm.1ng th the treasurer of the Woreda o� _the appeal! if made by the land owne{ (c) The clerk assigned b) ' the M1n1stry of F11, 1ance shall act also as the Secretary of the Appeal Commission. (d) The decision of the Appeal Commission shall be made by the majority of vote; it shall be considered as final and the land tax shall be paid in accordance with this decision. (e) As soon as the appeal is decid.ed, the a_ss�ssme11t as made by the Appeal Commission shall be signed by the Chairman and all the members of the Appeal Commission and shall b e notified to the Treasurer of the Woreda a11d to the lando�ner. The land tax shall be pa>1able in accorda nce with this assessment C. o· A T H 12. All members of the classification Cqmn1is.sion and of tl1e Appeal Commission sha.11 tal<:e and sign the followi11g oatl1 prior to the co1nmencement of tl1eir dt1ties: ''Vie swear by the aa111e of God that as members of the shall perform tl1e d11ties witl1 which we have Classification Co1nmissio n we • been entrustecl honestly a11d conscientiously, withot1t favouring a11ybody and without trying to classify a11y land:-in an- t111just way. So help tis God." D. . PAYMENT OF TAX ON LA1�DS SUBJECT TO THE.NEW CLASSIFICATION . 13. 1�he rates, of la11d tax correspo11di11g to the new classification shall be applic· ab le. for the first tin1e to the payment of this tax for tl1e Ethiopia11 calendar year in whlch the new classificatio11- of a11y la11d will be tern1inated, a11d the tax calct1lated at these rates shall be considered as .d11e fron1 the 1st Tal1sas of tl1at calendar year. •
E: DATE OF COMING 'INTO FORCE OF TI-IESE REGULATIONS 14. Subject to the provisions of Article 13 l1ereot', these Reg11lations shall come into force 11pon the date of their publication i11 tl1e 1\/egarit Gazeta.
DECLARATION mentioned i11 Article 6 (b) a11d (d) of the Reg11lations. . We the undersigned having bee11 selectecl for classi:fica tio11 of land in the M8;lkegr.a ........... ,........................................................ u••· ··········· I ······················································ .. Malkeg11a I ... ············································· ···································••)••·······, Chikash.u m · I ........................................................... ............. ............. Selected Mernber .........' . I .............. ..................................... ..... ...............·· ····················., Sel.ected Men1ber . e " abo declare tba�. _the. list of land specifie,i herein1111der incltides all lands in the Malkegna without leaving any remainder. - 546 •
•oo •••o o ooo oOo tO o O oO O O,_ o• o o oo Io o O O oO • '
'
'
1�AXES OTHER ·rI·lAN CUSTOMS
17-12,13
vVe certify als o tl1at all t11ese la1 1ds have been classifi ed either by tl1 e prese11t Classificatio11 Commiss io11, or, as regards lands exclt1d�d fro111 the prese11t classi fication by Article 3 a11d 4 of these Regulatio11s, by a J)reviot1s Comn1ission a11d we declare that 110 t inassessed la11cl has bee11 left in tl1e 11alkegna. If contrary to our cleclaratio11 • a11y t1nas se ssed. land \Vere to be fot111d st1bse quen.tly , we sl1all be responsi ble for payn1e11t of t l1e tax l1ereon, or, i1 1 case of a land belo11ging to tl1e Gover11me1 1t, for tl1e valt1e of products which the Gover11ment n1 ay lose, or for a11y other damages , \Vl1icl1 the Government may l1avc becat1se of the fact that iis title to tl1e ow11ersl1ip of a la1 1cl has bee11 11ot disclosed i11 our declarat1on. . . The total area of la1 1ds in tl1e Malkeg11a i s ................ :................... :........ :.................................. ......... and the details regardi11g par .. .. tict1. lar lands are as follows: . . "' Area of lands · Previot1s classification Ne,:v classification en -·V Fraction -0 of gasha No. C V ,_ -0 C ,.... cd �s
�
of
ltems
"'Oz 0
(/)
0 cd
c,:I
0 1/2 l / 4· 1/8
m2
of Qie last No. of the ne\1/ ·-Cl .....cd Class or No. Class or classification classification �
.....0 category
assessment
category .
,
assessment
�
8
d.)
P4
. . . Sig11ature·:· : Malkeg11a· ..............,... :.. _.. :..... 1...........-........................... .......... Cl1i kashum ............... ...... ;.......... • .. Elders: .......................................................................................... Date of si gnatt1re .. . . .. . .. ... .. ..... . ... . . .. . .. ..... . . ....... ....................... . ...................................... ................................ . Done at Addis Ababa tl1is 30t11 day of: Marcl1, 1962. '
!
,o••••••••••••••.•••••••••••••••••••••.••••••••••
•
•
' •
•
I. ,. •
'
'
J
G. S'alt. ·.Tax •
I
14/9. (1955) P: 146*
A PROCLAMATION TO Al\.1END THE FEDERAL TAX. PROCLAMATION CONQUERING LION OF THE .JR;I�� OF JUDAH HAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETHIOPIA ,.
••
i
I
.
· ·· we approve. tl1e resolutions of Ot1r · s. t1"t·tit'_ion Pt1rst1a11t t o Article 34 of Our· c on h 3 f the p acco 10 a�d na t1ties e D of te and t ber Se he Cham . f t���:i!�;����:a, w� pro Federal Act, as _ratifi ed by Us for the Fe deration claim as follo,:vs:
°
CROSS REFERENCE . n \Vas repea_led . t1o . 1tu . . ·0 titution · of 1931. This Const The , the Const1tut1 1s �er� on r�ferred to ,,tnd .1._Tl1eArt1cle replaced by the Revised Const1tut1on of 1��' 5 /2(1955) P. 149, l·Conso/.:L.E_thAr le 88. tic 1s n tio itu nst Co 1 193 the f . . c Art} 1 ; � of the Revised Constih.1tion parallel to the ci_ ted. :;;· p• 124' 2 ·Consol. L. Eth. 2. (l 2) 5 9 1 · eCi 11 1 rat 1 Federal Act Art. 3, 2 Consol. L. Eth. 1,
i
. . 1011. at lam oc x Pr Ta lt Sa al er ed ''F e th · as ted i I. Thi s Procla111ation may b� .c of 1955''. .
. . OTE FOOTN . Y . . ODUC· T0R . •INTR . . 51). 1 (19 . Ex . 16/ n.C Pe . d a,n /. ip "' . 1 · 1 1 · · NA ''" -' nd. 19/1 (1959) D.39 as ·re �um : a11d app. 20/5 (1960) ' .
- 547• •
17-13,14
CoNS6LlDATED LAWS OF ETHIOPIA:
2 On all Salt (Sodium Chloride) entering Our Empire, pr0euced m·inect d or cte d lle an co s a. f ied lev ' ew id, oll pa be all �: sh tax e th in ere d th collecte (a) Salt with no more than 10% of foreig11 elen1ents - - E lh . $8 per 1 00 (b) Salt ,vitl1 more than IO% bu t no more Eth.. $5 per I oo than 30% of foreign element !Eth. $3 per 100 (c) Salt with over 30% of foreign elements Ex:F)orted Salt is not subject to this tax.
k gs, k8 k!s:
CONSOLIDATION NOTE Anul. 19/1 (1959) D.39 as renum. and app. 20/5 (1960) N.A.7.
3. Our Minister of Finan.ce is aut, horized to issue regulations:
(a) designating the al1thorities to be. charged with the implem entation of this Proclamation and the colleot1on of the taxes specified in Article ? hereof; (b) prescribing the n1anner and the time of payme11t of said taxes; (c) granting exemption of remittances in whole or in part from said taxes to certain branches of industry in cases wl1ere necessary for the eco nomic developmeL1t of 011r Empire; ( d) determining the conditions u11der- which said exemptions or remittances shall be granted; (e) generally for tl1e better carrying into effect of this Proclamation.
A111d.
CONSOLIDATION NOTE 19/1 (1959) D.39 as ren11m. a11d app. 20/5 (1960) N.A.7.
4. Besides imposing the punishments provided for in the Penal Code the Court may order that anyone wl10 evades or tries to evade the payn1ent of this tax forfeit, for the benefit of tl1e Gover111nent, tl1e salt and the 111ea11s of tra11sport object of the offence. CONSOLIDATION NOTE Inzpl. a1r1d. Pen. C. 16/Ex. 1(1957) Arts. 27, 360, 362, 363 (s11perseding penal provisions which formerly appeared in the present Article).
Done at Addis Ababa tl1is 28t11 day of May, 1955. 21/9 (1962 ) L. 254 REGULATIONS ISSUED PURSUANT rfO THE FEDERAL SALT TAX PROCLAMATION, 1955, AS AMENDED 1. These Regulations are issl1ed by tl1e Minister of Finai1ce purst1ant to au· thority vested i11 him �Y Article 3 of the Federal Salt Tax Proclamatio n, 195?, �� e) cttv colle ame11ded by the Federal Salt T�x (Ame11dme11t) Decree, 19 59·(11ereinaft er referred to as the ''P�oclamat1on' '). . 62 ,,. 19 n�, The 2. se Regi1lat1ons m_ay be cited as the ''Fed.eral Salt Tax Regulatio hall ns 3. The term ''foreig11 elements'' as llsed in Article 2 of tl1e Proclam atio . be deemed to include all elements other than Sodiun1 Chloride ' except \vater. ns • b perso e 4 • e Th tax t on im po rte by d �al t , sh all en try be pa id of at po th e int . . 1mport1ng the same at th� tin1e. �f clearance throttgh Customs. - 548 -
· 17-14 ------------------· ----x on-�a TAXES OTHER TI-IAN CUSTOMS
lt _ p roduced, mined ?� collected in the E 5. The_ ta n1 pi re in , cl udi11g salt _te rr 1to t� r1a e in l w a� uc er �d s a nd mar1t1me domai11, shal prod l· be paid by the persons produ�1ng, m1n 1 ng. or collecting the �ame. Except as may be otl1erwise provided in Article 11 hereof, the tax shall be paid before removal of s alt from the place where prodt1ced, 1nined or collected. 6. (a) Enterprises engagecl i11 the prodt1 ctio11 , mi11i11g or collection of salt shall be subJect to the supervisio11 of the appropriate Revenue A ut11ority; which shall be responsible for inst1ri11g that the tax is pa id. (b) Any persons operating sucl1 an e11terprise shall allow represe11tatives of the appropriate Revenue At1thorit)' to be statio11ed at or enter into the place where the salt is produced, mi11ed or collected for the purpose of revenue supervision an d of taki11g all action incidental thereto. 7. (a) Salt destined for export shall not be removed from the place where produced, mined or collected t1ntil permissio11 therefor has been received from the appropriate Revenue Authority for its ren1ova]. (b) Persons exporting salt sh all subn1it to tl1e representative of the Reven11e Authority stationed at the place of produ. ctio11 , mining or collection, ,vithin thirty (30) days from the date upon wl1ich permissio11 ,¥as re ceived to remove salt from said place, documentary evidence tl1at the salt was d11ly exported, and, if so required, withi11 s11ch further period as the Revenu e Authority may determine, a certificate of arrival from the port or place of destination.
8. Exemptions mentioned in Article 3 (c) of tl1e Pr?clamation are hereby granted to industries using salt for the purpose of the following processes: (a) for dressing of hides and skins; (b) for preparation of canned meat. 9. The exemptions specified in paragraphs (a) a11d (b) of Article 8 hereof shall be subject to the following conditions: . . (a) salt destined both for dressing of hides and skins and for prepara�..1on of canned meat shall not be removed fr.om the ,place of pro�uction, mining and collection 11 ntil permission for such ren1oval 1s given by the Revenue Authority; . . (b) salt de stined for dressing of hides and skins s� all, before its re1;11oval fr 0m the place. of production, mining or collect1on �e denattired 1n tl1e manner prescribed b)' the Revenue Au thority making the same unfit for human consumption; (c) salt destined for preparation of canned meat shall, aft�r the remo�a1, e uir t�e req th wi ce an rd co ac in d re u sec se ou reh wa a d be transferre to ments or the Revenue Authority, who shall thereupon exercise control over its u�e ; . aphs (a) and (b) of g� r� pa n' i ed ifi ec s es os (d) per�ons using salt f I P�P . ;he Revenue Authority such reports � to Article 8 he reof sh a· �u mi1 uthority. A id sa b d e r ui q e · r be Y ay m 1t regarding use of salt as . . . all keep daily sh lt sa of s er uc od pr at th ire u 10. The Reven1:1e Author�ty may req re�ords of production and d1sposa! of s lt, s 11 submit monthly reports based _on said records to the Revenue Authority an� sh_ a�fn ot de stroy such records for a period . te la re ey th o f o ne h ic ' w h to d rio pe (1) year following the end of the
- 549 -
rt1'-14,1S , 4Dli:a�ce _wi1tb. the J]>.r o:vi.sio I I. If ta;ie R.eveFI�e Allllth:0riit:y shalli oon, sicler tha1t e.0m n · p of A.rti�le 10 of these Regulati?�s we�ld Gau�e ui00IJI1:e ha�1 <dsm in ;the case �f sm al� . alis _ or nuni11ag or col!leet10Iil of alt, 1t mar a1i itrs ©le � e·.aterpr1ses of pfo0t1ct1om , cretio � _ a�ree t@ acce,t the payment of tax as a _ll!lnl'J? �u1n ca)cu1,Iatecll on the basis of ©&timate � monthly production, said lum p st1m being prod not later than at 1ihe end of tthe mon ith in which the salt is produced. . ' 2. ril, 196 Ap 8th on · ce for o int 12. Tlaese RegU!lation ,s shalJ come Done at Addis A:li>aba this 9th. clay of March, 1962.
H. StaJIIP Duty 17/4 (1957) D. 26* A DECREE TO PR01/IDE FOR PAYMENT OF ·SifAMP DUTIES CONQUERING LION OF THE TRIBE OF JUDA.H HAILE SELLASJE· I OF ETHIOPIA ROR ELECT OF GOD, EMPE . . .
PURSUAliT to Article 92 of Our Revised Constitution and on the advice of Our Council of Mi11isters We decree as foltows: I. This Dec1�ee may be cited as ''The Stamp Dt1ty Decree, 1957''. 2. The Stamp Dt1ty Proclamatio11 N·o. 41 of 1943 is hereby rescinded and replac.ed by this Decree. : .. , . CROSS REFERENCE
Stan1p Dt1ty Procla111ation, 2/11 (194-3) P. 41.
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Pa1·t I Definitions
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3. In tbjs Decree t1nless tl1e co11text otherwise ·1·eqt1ires: (a) ''instrument'' means a clocun1ent in-writing by whicl1 a.ny right or liabi lity is or J)t1rports to be created, transferred extended, extinlimited '· · · ' t g 1ished or recorded; (b ) ''to execute a11. instru1nerit'' i11ea11s to carry into effect and to negoti ate • · - · · · · . an instrume11t; (c) :'person'' means natural pers·on a11d· ai1y k:i11d· of association including · · · ·. · 1ncorpor:ate body. . •
•
· P.art II · . • .. . • · . . · General Regulations ·' . . In��ume�ts <;ba�ge�ble With the. Sta1np· Duty 4. Subjeqt to the provisions of th.is Decree t11e following instrume11ts a.re cha rge . . able with tl1e stamp duty: . . (a) Articles of �ssociation of a compar1y (Arts. 23-25); (b) Award (Arts. 26-�9); •
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•�NTRODUC1'0RY FOOTNOTE . 39. Corr. 17/6 (1957) C. (Englisl1 only); imp!. amd. 22/20 (1963) P. 206.
- 550-
+
•
TAXES 0TI·IER TI-IAN CUSTOMS
17-15
(c) Bill of excl1ange, i ncludii1 g cheqt1e (Arts. 30-32) • (d) Bond, i11cl11ding c11stoms boi1d (Arts. 33-35)·; ' (e) Contract, agreement or n1einor·and11n1 of contract or agree1nent (Arts (f) (g) (h) (i) (j) (k) (l) (n1 ) (n) (o) (p)
36-38);
Lease, incltiding st1b-lease a11cl tra11sfer thereof (Arts. 39-41); Woled aghed deed (Arts. 42-44); · Notarial act (Arts. 45-47); Petition and applicatio11 to go,,ernme11t offices (Art. 48); Policy of i ns t1raI1ce (Arts. 49-5 I); Power of attorney (Arts . 52-53); Promissory note (Arts . 54-55); Protest of bill of exchange or promissory 11ot� (Arts. 56-57); Receipt (Arts. 58-60); Share warrant (Art. 61); Transfer o.f imn1ovable pr�perty, motor vehicles and trailers (Arts. 6�-67);
(q) Tickets of admission to places of public entertaii11nent (Arts. 68-69). 5. Except, if otherwise provided i n respect of ai1y instrument in· the Part III of this Decree, i nstrume nts specified above in .Article 4 are cha. rgeable .with the s tamp d� ty, regardless of whether made, draw11 or issued within or outside Ethiopia, pro VIded, ho\vever, that they relate to any property i n Ethiopia, or to a.ny matter or thing done or to be done i11 Ethiopia, or if for any other reason are to be exect1ted in Ethiopia. 6. Tl1e Govern me nt is exempt from payn1e11t of sta1np dt1ties prescribed by this Decree, 7. Subject to reciprocity the exen1ption from payment of s tamp duty on all or certain instrumerits may be -granted by Our Min ister of Finance to Embassies, Consulates and Miss ions of Foreigt1 States. . Payment of. Stamp Duty • d 8. T11 e stan1p duty on particular i nstruments shall �e paid at the rates an according to tl1 e provis ions of Part III of tru.s Decree. ng to several distinct matters shall be ti ela r or g n i ris mp co . · nt me s in 1y tru A1 9 chargeable with the aggregate an1oun t o·f duties with. which separate i nstrument �, would be chargeable under this s, ter at n1 each comprisi11g or relating to one of such · . . • Decree. . d with ge ar ch be ll sh t en m ru st in an � er th he w to 10. When any do ub t a.rises as l al sh te at e m th , id pa en be e av d ul ho � s � or a stamp duty or what s tamp duty s hall be referred to the Revenue Autl1ority (Art. 21) �vh1ch_ �hall state . what duty 1f any, s �all or should have been paid according to the pr�v1s1on s of this Decree. Pers? ns n st ai l ag ea pp a e ak m ay m y rit � ? ho ut A dissa tisfied �;ith the decision of the Revenue n twe nty-one 1 1th w ly .on e ad m be an al e pe th decision to the Hig.h Court. Su ch ap _� days from the date of notification of the dec1ston. .
- 551 -
17-15
CONSOLIDATED LAWS OF ETHIOPIA
11. Except if otherwise provided _in respect of ainy in;stru m� nt �n Part III of �· rson s p� _ mak111g, by · paid be hall s d1aw1 Decree the stamp duty ng or issui this instru ment and the payment shall be made immediately t1pon tl1 e executio 11 at1 n o? tl1e ·1.nstr11ment 1n · · Eth'1op1a. 12. When an in.strun1ent is made, . drawn or i s�ue� �utside_ E�hiopia the sta rn P du ty shall be paid by the person who 1s first execut10,g 1t 10 Ethiopia. I 3. Persons executing instrument s chargea?le with the stamp duty are jointl responsible for the payment of s tamp duty w1ill tl1,e perso11s who shotlld have t� pay the d11ty. Manner of Payn1ent 14. Su bject to the provisi�n.s of Articles 18-19 all dt1tie� w_ith whicl1 an instru ment is chargeable sl1all be paid a11d su ch payn1ent shall be indicated on instrument by mean.s of adhesive stan1ps. .
15. Whoever a��s an ad.hesive stamp to any instrt1n1en! chargeable with stan1p du ty sl1all, whe11 affixi1Jg the stamp, ca11cel the same so that 1t cannot be used again and wl1oever execu tes an instr u ment bearing an adhesive stamp sha]l at the tim� of execution, unless the stamp has bee11 already cancelled, cancel the same, so that it cannot be used again. 16. Persons required to cancel tl1e adhesive stan1p shalJ cancel it i11 st1ch manner as will be prescribed by Our Minister of Fina11ce. 17. Any instru me11t bearing a11 adhesive sta111p wllicl1 l1as not been cancelled as prescribed by 011r Mi11i ster of Finance shall be deen1ed, so far as such stamp is concerned, to be 1111stamped. 18. 011r Minister of Fi11ance may prescribe by regt1latio11s that i1 1 certain cases the stamp d11ty shall be paid i11 a differe11t manner tl1a11 deter1ni11 ed in Article 14. 19. Our Minister of Fina11ce may rule amo11g others tl1at certai11 i11struments shall be written on stamped papers iss11ed by the I,1inistry of Fi11a11ce. In su ch cases: (a) ever}' instru me11t written upon stam1Jed paper sl1 all be ,vritte11 in such a n1a11ner that tl1e stamp IJri11ted or i111pressed 011 the 1:,aper s]1all appear on tl1e face of the instrume11t; (b) no second i11strument chargeable with duty sl1all be \Vritte11 upon_ a piece of stamped paper upon which a11 i 11str11n1e11t chargeable \Vtfb duty has already been writte11; . (c) every instru ment written in contravention ot· the provision of Subarticles (a) and (b) of thi s Article shall be dee111ed to be u11sta.mped. 20. Wh�re an instr�ment is written 011 stam ped paper tl1e ,in101111t of dut�, '': Iiic_� shall be paid for such instru ment according to . the 1Jrovisil111 of· the Part Ill of th1 Decree, may be increased by 011r Minist er of Finance by an additio11al cl1 arge to cover th e cost of paper.
'1,he Revenue Authorities ue ven 21. !he imI;>lementation and enforcement Re e of thi s Decree is vested in th Ai1tl1or1t1es which will be design· ated by 0ur . M1n1s ' . t er of p111ance. · - 552-
17-15
TAXES OTHER TI-IAN CUST011S
22. Every publi� officer l1�ving i ? his custody a11y registers, books, papers, docu ments a11d proceed111gs, t �1e 1nspect1011 wl1ereof may tend to sect1re any duty or to prove or t ? lead to the discovery of a11y fraud or on1issio11 in relation to any duty, shall per1111t any person a�1tl1orized i n writing by the Revenue Authority to inspect for sucl1 purposes the registers, books, papers, documents and proceedings, a11d to take st1ch notes and extracts as lie may deem 11ecessary. Part ill Regulations Applicable to Particular Instruments Articles of Association of Companies 23. The following stamp dt1ty sl1all be paid:
(a) for the first (original) registration of articles of associatio11 or statute of a company - Etl1. $100; (b) for any st1bseq11e11t registration i11troduci11g any. alterations of tl1e Articles of association or the statute - Eth. $30.
24. If tl1e authorized capital of a Company exceeds or is to be i11creased over one hundred thot1sand dollars (Eth. $100,000) a charge of $ 0.2 per mille shall be paid in additio11 to the an1ounts of duties specified i11 Article 23: (a) i n case of the first ( origi11a]) registration - in respect of the amount by vvhich the at1thorized capital exceeds one hundred tho11sand dollars (Eth. $100,000); (b) i11 case of a subseq11ent registratio11 - i11 respect of the amount by \Vl1.icl1 the existing capital is to be increased, provided tl1at tl1e portio11 of this an1011nt (if any) increasing the authorized capital to one ht1ndred thousa.nd dollars (Eth. $100,000) shall not be taken i11to acco11nt in comp11tatio11 of the additio11al charge. 25. The duties prescribed by tl1e provisions of Articles 23 and 24 sl1all be paid before or at tl1e ti111e of registratio11. Aw a rd
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26. Award 1neans a decision in writing of a11 arbitrator on a reference made other,vise than b)' order of Court in the course of suit. 27. The following stamp duty shall be cl1argeable (a) \\'here the amou11t or the value of subject to which.the awards refer does no t exceed ten dollars (Eth. $10) - - (b) where •i t exceeds Eth. $10 bu t does not exceed one hundred dollars (Eth. $100) - - - - - - - - es do t bu ) 00 $1 . th (E rs lla do d re nd hu e on s (c) where it exceed · 0) 00 , $1 . · no t exceed one thot1sand dollars (Eth (d) over 011e tl1ousand dollars (Eth. $1,000) - - - -
Free I o1°;o Eth • $2 •00 Eth. $5.00
e 28. The stanlp duty shall be paid before or at the time of the delivery of th · · award to tl1e parties. 29. TI1e arbitrator is jointly respo11sible for the payn1ent of the sta�p duty with the parties for which the award ·was made.
- 553 -
CC>NSO• Jk:IDATED LAWS OF :EmIOPIA
11-15
Bill of Exchange
!�
ng 1a� order writi i?1 e t ndi_ addr unco an sse d by oue eans 1 n ge a exoh of' Bill 30. � _ person to another, s1g11ed by the person g1v1ng _it� r�qu11 ing the p�rson to whom it . is addressed to pay 011 demand or at fixed or determinable future t1me, a sum certain in money t,o or to tl1e order of a specified person or to bearer. Bill of excbat1ge includes draft, order, letter of credit, and any docume nt . writing entitling or purporting to entitle- any person, whether named therein, �� not, to payment by any other person of, or to draw upon any person for, any sum of money. 31. Bill of exyhange, eX:cept cheqt1e, shall be chargeable with the following an1 ounts of stamp duty:(a) where payable on demand or at sight or on presentatio n or within three days after date or sight - Eth. $0.10; (b) where payable otherwise than mentioned above in S11·barticle (a) but not more than one year after d�te or sight: (i) if tl1e amo11nt does not exceed two hundred fifty dollars (Eth. $250) - - - - - - - Eth. $0.25 (ii) if it. does not exceed five hundred dollars · (Eth. $500) and ._ - - - ·- - - - Eth. $0.50 (iii) for a.ny adrutional arriount :of five l1t1ndred .qollars (Eth. $500), or part thereof - - - - ....:... Eth. $0.50 � (c) where payable at 111ore tl1a11 one year after date or sight the duty shall be IJaid as for the san1e an1ot1�t �f· b,011d accordi11g to the Schedt1le of · . . Article 34 hereof. 32. A cheque, · that 'is a bill of excl1a11ge draw11 on a banker and payable on demand, shall be charged \V'ith tl1e stan1p dt1ty of te11 cents (Eth. $0.10). '
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Bond 33. For the pt1rpose of this Decree,. bo11 d i11cludes: (a) an;' instrt1ment, wl1ereby a IJerson obliges hin1self to pay money to · another, 011 co11dition.that .the obligation s·hall be void if a specifi c act is performed or is 11ot·performed, as tl1e ,case 1nay be; (b) any instrt1me11t attest�� by a witnes.s a1�c;l 11ot payable to order or bearerl another. to o n� obliges himself· to p�ty money _ .�_her�b;Y a _pers . . . . . . 34... Bond shall be ·c11arge�bl� wit4.the following amounts. of duty: (a) -where ·tl1e amottnt of bond· or the value secured does not exceed te11 dollars (Eth. $10) . - .- · :_� : . _ - - Free . . (�) ·. where it exc�eds· ten dol.lars.· (Eth: $10) b11t does not exceed $ 0.20 E th. _ · · ty rs . dolla ·.. . -=-_:_:_· , (Eth. $50) ...· , · ··: . . fi.f · · (c) where it exceeds fifty dollar s (Eti1. · $50) · ·but does 11ot $O.S0 -. .. exceed one h. undred dollars. (Etl1. $100) -=- · Eth - (d) . where it exceeds one l1undred dollars (Etl1 . $100) but does $1.00 E tl1. � � ex �e d � �\yo l1un�red. dollars (Etl1. $200) - . , . . : ?. � (e) where 1t exceeds two hundred. dol � la:rs (Eth. $_ ioo) but does , Eth, $2,0 0 not exceed five hundred dollars: (Eth. $500) · - 554 ,
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TAXES 0TI-IER Tl-IAN CUSTOMS
17-15 .
(f) where it exceecls five hu11 clred dollars (Eth. $500) but does 11ot exceed seve11 11t111dred ancl f· ift)' dollars (Eth. $750) - Etl1 . $3.00 (g) where it exceeds seven l11111dred a11d fifty dollars (Etl1 . $750) bttt does 11ot exceed ?ne thot1sa11d dollars (Etl1. $1,000) - Eth. $4.00 and for every Etl1. $500 or JJart tl1 ereof in excess of one tl1ot 1 sand cloll,Lrs (Eth. $1,000) - - - - _ _ Eth. $2.00 35. Customs bo11ds sl1all be cl1argeable ,vitl1 double tl1e amou11t of dt1 ty scl1edul ed · for bonds. -
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Contr�ct, ;\greement or Men1orandum of Contract or Agreement
36. Except \Vhere i n accordance ,vith. this Decree a diffei·ent dt1ty shall be paid in respect of certai11 contracts, sucl1 as lease ., sale of immovable property, motor vehicles ancl trailers, etc., contract, agreement or men1 orandum of contract or agree ment shall be chargeable vvith the followi11g amo11nts. of stamp dt1 ty: (a) jf relating to tl1e sale of Governn1 e11t sect1rity, or share in an i11 corporated body, or a bill of exchange - Eth. $0.10; (b) in other cases-Eth. $1.00; 37. The · parties making the co11tract or agreeme11t or memorandt1m of contract or agreement are ·jointly respo11sible ·for tl1 e payment · of duty. The duty shall be p::1id before or at tl1e time when the co11tract is signed . . 38. No stamp dt1ty shall be c]1argeable 011 co11tract, agreement or memora11dt1m of contract or agreement relating exclusively to: (a) the sale of merchandise; and (b) co11tract of en1ployment. •
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Lease, Sub-lease and Transfer thereof '.
39. The stamp dt1ty shall be paid on the total amou11t of rent for the period of lease or sub-lease at tl1e rate of twenty cents (Eth. $0.20) for every one ht1ndred dollars (Eth. $100) or part tl1 ereof. :·: · The follo\ving provisions shall be appli9.able: (a) .. where. the •lease -purports to be tintil notice is giv�11 _the perio<;l of lease .. _ .shall be deen1ed to be for three years; · · ·· ·· �il llD on er rth �fu d an 1e tin in . rta ce a r be .fo to . ts (b)' where the lease ptirpor in rta h ce r su fo be to ed em de e b· all sh se lea of d rio � notice is gi ve n the pe · · �_. · -: . . · time as determi11�d qy tl1e. contr.act of lease plus thre� years, (?f ee ss le e th or--�r s� e le th of · e lif · e tl1 r fo be to ts r o· _1od (c) where the le as e pur·p er th e tim · 1te nn de y .an r fo · be to ·tt po � ur •p � t no - .,_·-.-where tl1e lease does · · · �; . ar ye ty en tw r fo be to ed em . : ,of· le as e sh al l b e de p duty am st of nt ou am e �h ty ui et rp pe in b� to s _ · (d) iwhere th e lease pt1rport e. as le of s ar ye y ft fi r fo as d te t1 p l m shal b e co · ee the ss le e th d an or ss le e · th n ee tw e b e d m� . _ . 40,. Unl�ss a diff�rent agreement 1s .fo·re e e h · tim t. or �t e be ad m be l al sh t en duty shall be pa id by the lessee and tlie 1Jaym \vhen the contract is signed. - 555 -
17-15
CoNSOLIDA'rED LAWS OF ETHIOPIA
the 1th. re ly rent does n m?1 wh� le geat:> char be shal l ot excee d. duty p 41. No stam . tem dollars (Etl1. $10) provided that the lease 1s not or is mot deellled. to be longer than three years. Woled Aghed Deed
42. Woled Aghed Deed is an instrt1ment whereby a borrower give s to a len der a €barge l!lpon a part or the whol e of his property. 43. Tlie stamp duty on a Woled Aghed deed shall amount to twenty five cetlts (Eth. $0.25) for every one hundred dollars (Eth. $ 100.00 or part there of of th.e amount secu.red. 44. The d11ty shall be paid by the person who is taking the property on Waled Aghed before or at the time of signing the Woled Aghed deed. Notarial Act
45. Wi th the exception specified in Article 47 the stamp duty of two dollars (Eth. $2.00) shal l be paid for any act made by a P11blic Notary or otl1er person l awfull y acting as such. 46. Where an instrument chargeable with the stan1p duty under this Decree is n1ade in the form of a notarial act the duty mentioned in Article 45 hereof shall be paid i11 addition to the duty which shall be charged on the specific instrument. 47. No additional d11ty as for notarial act shall be paid in case of protest of bill of excl1a11ge or promissory 11ote. Petitions and Applications 48. Petitions a11d applications to Gover11n1ent, M1111icipalities and Township offices shall be chargeable with stamJ) duty of te11 cents (Eth. $0.10). No d11 ty shall be ·charged on petition or a1)plicatio11 1nade by an employee �f tl1e Gover11me11t, M11nicipality or Townsl1ip in matter relating excl11sively to his emp]o)1ment, s11ch as: salaries, wages, leave etc. Policy of Insurance 49. For the p11rpose of this Decree, policy of i nsurance inclu.des: (a) ar1y instrument by which one person, tl1e insurer, i11 consideratio 11 of a pre111iu1n, engages to indemnify anot'11er, t11e insurru1t, against loss, dan1age� loss of expected profit, or a11y liability arising from an u11kno,¥n or contingent event; (b) a. life policy and any policy insuri11g any perso11 against accident or s1ckn�ss or any other personal i11surance. . 50. Policy of insurance shall be chargeable with a stam , duty of one doll ar CEth 1 $1.00) for every one hundred dollars (Etl1. $100) or part t11ereof of the amoun� of prem1um, nevertheless the maximum stamp duty payable on a 11y premium sha� in no case exceed five hundred dollars (Eth. $ 500), whatever n1ay be the preroit1111 payable. 5.1 · Tlie duty shall he paid by the i 11surer before the delivery· of tlie policy to the 1nsurant.
- 556 -
I I
TAXES 0TIIBR TI-IAN CUSTO�IS
17-15
Power of Attorne)'
52. Pow�r of attor1i e y n1eans a11 i11strt11ne11t e111povv eri11g ::1 s1:,eci:fic person to act for a11d 1n tl1e nan1 e of the perso11 giving tliis po\ver. 53. Power of attorn ey sha11 b e chargeable ,vit.11 tl1e follo,vi11g an1ot1nt of stan1p duty: (a) w�er� empow e �·ing a11 advocate to .a1)p e ar i11 civil proce eding: (1) if th e subJect 1natter of tl1e suit exceeds ten dollars (Eth. $10) but d oes 11ot exceed 011e 11t1ndred dollars - - - - - - - - - Eth. $1.00; . $100) Et � � .. (11) if 1t exc eeds 011e l1undred dollars (Eth. $100) bt1t o�s n ot exceed tl1ree hundred dollars (Eth. $300) Eth. $2.00; ? .. .(111) if 1t exceeds tl1rec ht1ndred dollars (Eth. $300) bt1t Eth. $3.00; ?,o�s 11ot exceed five ht1ndrccl dollars (Eth. $500) . (1v) 1t 1t exceeds five hu11dred dollars (Eth. $500) bt1t does n ot exceed 011 e thot1sand d ollars (Eth. $1,000) Eth. $5.00; (v) if it exceeds 011e th ot1sand dollars (Eth. $1,000) - Eth. $10.00; - - - - - Eth. $5.00; (b) any oth er kind of power of attor11 ey Promissory Note
54. Pron1iss ory note means an unconditional pron1ise in writing 111ade by 011e person to an oth er, sigi1ed by tl1e maker, engaging to pay, on demand or at a fixed or determinable ft1ture tjm e , a sum c ertain in n1011ey, to the order of a sp ecific person or to bear er. 55. Pr omissory note shall be chargeable with the stamp duty at the same rates and according to tl1 e sam e provisions as a bill of excl1ange (Art. 31). Protest of Bill of Exchange or Promissory Note
56. Protest of bill of exchange or promis sory not e ,- that is to say, a declaration in writing mad e by a Public Notary or oth er person lawfully acti11g as st1ch, attesting _ the dishonour of bill of exchang e or promiss ory 11ote - shall b e chargeable with the stamp duty of on e dollar (Eth. $1.00). 57. "fhe duty shall be paid by the perso 11 p resenti11g the instrum ent for making the protest. Receipt • • 58. Re ceipt includes an y note, memora11dt1m or wr1t1ng: e que or p romisso ry n o te ch e, ng ha :<-c e f o ll bi y an r o y e (a) w he reby any mon is acknowledg ed to l1ave b een receive d;_ or g ed to have bee11 ed vl o\ kn ac 1s y rt e p o pr e l ab (b) wher eby any other mov . received in satisfactio n of a debt; or . w 1o k1 d 1s ac an e m d t o r b e (c) whereby any d eb t o r d e mand o r any p art of a � ed , or rg a ch is d r o ed sfi ti sa ledged to have b e· en ether the same h \.V t, en gm d le w o kn ac (d) . which s1g · n1':fie s or 1m ports a11y such erson . p y n a f o e m a n e th l1 it w is or is n o t sig11ed CONSOLIDAT ION NOTE Corr. 17/6 (1957) C. 39 (English only).
- 557 -
17-15
HlIOPJA F ' E F o s · w A L 10 r A 10 t o s N 0 C :
59. Any person receiving any n1o ney e�cee<ding ten, dollars (Eth.. $10) in amotlnt 01· any bill of' exchange, cheque 01: promissory note f or a 11 e� motlnt e��ee?ing ten dollars (Eth. $10) in va]ue, shall 011 de1�and by th� _person payi�g ?r cleliver1ng such 111oney, bill, cl1eqt1e, 11ote or property. g.1ve a duly sta mped receipt. for the same. 60. Receipt for auy mo ney or property �l1e an1ou11t or val11e of which exc eeds ten do llars (Eth. $ 1 O) shall be chargeable w11Jh ohe stap-ip d11ty of Eth. $0.05. Sh11re Warrant
61. Share warrant sl1all 'b>e ch.argeable with the sta1np d11ty of Eth. $0.05. Transfer of Immo,1able Property, Motor Vehicles or Trailers
62. The stamp dL1ty 011 tran.sfer of imn1ovable property, motor vehicles or trailer s sha11 be paid o n co 11tract of sale, d,)11ations a11d any oth�r instr11n1ent conclude d betwee11 living perso11s, wl1ereby the ownership of i mn1ovable property, a motor vel1icle 01· trailer is tra11sferred fro1n 011e person to another. 63. The sta.n1p d11ty sl1all be calcLtlated 011 the val11e of immovable property or n1.otor vehicles a11d trailers as agreed upon betwee11 the trans.feror and tra11sferee, provicled, ho,vever, that s11cl1 val11ation is approved by tl1e Reveµ11e Authority. .. 64. Where tl1e Reventie AuthoritJ dj�agrees· Witl1 the ·val11ation as made �et\veen tl1e transferor a11d transferee tl1e valL1e of in1n1ovable · prOJJerty or a 1J1otor vehicle or trailer for calculatio11 o f stamp cl11ty sJ1all be establisl1ed by ,1 special Co111111ission, wl1jch will be ap1)oi11ted for SllCh })Urposes' by 011r ivli11ister of Finance. 65. The stamp duty 011 transfer of im1novable property or 111otor vel1icle or trailer shall an1ou11t to: ,
I
•
(a) where the value of the :;011sicleration _does 11o t exceed _:_ ___:_ - ..:____ - Eth. $1.00; fifty dollars (Eth. $50.00) . (b) where it exceeds fifty dollars (Eth. $50.00)_ but does 11ot exceed 011e l1t111dred dollars (Eth. $100.00) - Etl1. £2.00; (c) ,vl1ere it exceeds one l111ndred dollars (Etl1... $100) bLtt does 11ot exceed two hundred fif'ty dollt=trs (Eth. $250) . Etl1. $5.00; (d) \Vhere it exceeds t,vo b11ndred fifty dollars (Etl1. $250) but not does exceed five h11ndred· dollars (Etl1. $500 ) - Etl1. $10.00; (e) where it exceeds five ht1ndred. dollars (Etl1. $500) b11t $15.00; Eth. does not exceed seve11 h11n.clred fifty.- dollars (Etl1 . �750) (f) where it exceeds seven 11n11dred fif'ty dollars (Eth. $750) but does n ot exceed 011e thot1sa11d dollars (l:tl1 . $ 1,000) Etl1. $20. 00 ; and for . �very five l1undred dollars (Etl1. $-500) or pa rt thereof 10 excess of one thotisa11d do. llars (Eth. $1,000) Etl1. $JO. OD ; e err · nsf tra � .. . .66.. Where an immovable property or a moto i: vehicle o r trailer. is e\\ n th� by any �ct co11cluded between liying persons tl1e Jitle deed establisbi11g d pat y dtil is shall 11 o t be made bef sfer ore the stamJ) duty on the tra11 o,v11ership ee fer 11s 67. U11less a different agreement is �1ac1e ·· bet�·ee11 t11e tr,111sferor and tra · · tl1e duty shall be paid by the tra11sferee. ,
- 5'58 -
l
TAXES 0Tl-IBR THAN CUSTOMS
17-15
Tickets of Adrnissio11 to Places of J'ublic E11tertainme1.�t
68. Tick ets of admission to l)l,1ces of J)ttblic e11tertain111ent shall be cl,argeable \Vith stamp d11ty of fifteen per ce11t (15%) of the cost of acln1issio11. 69. The Mi nist er of Fi11a11ce 111ay for good ca11se give exe1111Jtion fro1n tl1is dt1ty. Part I\' Valt1ation fllr Duty
70. Where an instrt1111 :11t is cl1i:1rgea.bl0 vvith ad-valore111 stan1p duty i11 respect of any n1oney express ect 1n a11y c11rrenC)' otl1er tl1a11 that of Ethiopia, st1ch d11ty shall be calc11lated on tl1e valt1e of s11ch mo11ey i11 Etl1iopian c11rrer1cy: accordi11g to the rate of exchange 011 tl1e clay of the date of i11str11in e11t as give11 by· tl1e National Ba11k of Ethiopia. • CONSOLIDATION NOTE /1npl. a111cl. 22/20 (1963) l-:> . 206 Arts. 27, 28, 41, 15 Consol. L. Et'1. 4 {providing for ne\v Nationa[ Bank rather than former State Bank to supervise foreiga excl1ange rates). . .
71. Where an instr11ment is chargeable ,vith ad-valore1n stamp d11ty i11 respect of any stock or of any n1arketable or otl1et sect1rity s11cl1 d11ty sl1all be calct1latecl on the value of s11ch stock or sec11rity according to the av erage JJrice or the valt1e there of on the day of the date of the instrL1me 11t. .
72. The valuation of in1movab! e property or motor vel1icles or trailers shall be n1ade accordi11g to the JJrovisio11s of Articles 63 ai1d 64. ·· Part V . . ... Instru,;nent· Not D�ly Stamped .
73. No instrume11t chargeable with sta1np d11ty shall· be admitted in evidence for any purpose by a11y person havi11g by la\V or co11s�11t of parties a11thority to re ceive evidence or shall be 11oted 11po11 or autl1enticated by any s11ch JJerson or by a11y public , offices, 11nless sucl1 instr11me11t is d11ly stan11Jed, provided _that: . . (a) a11y such i11strun1e11t n ot · bei11g a receipt,1 shall, s11bject to i- al! j�� t : �x . :"ru w1�1, e dt1 tl1 of �nt payiµ on _ e e n� evid. in ceptions, be �dn:iitted �. �l1 : _ tl1e sam e is chargeable, or in· the case of an 111strume11t· 1nsuffi �1ently stamped, of the amount req11ired to make 11p sue� duty, ·amot1nt1ng to fo11r times the amotint of proper duty or of a. defi.c1ent_· part of duty, b11t . not lower than ten dollars (EtJ1. $10); • (b) where any p erson fro1n whon1 a sta1�ped re�·eipt coul_d �1ave bee11 de e du ty plus th t of en ym ,pa o n t, eip rec d e mp sta 11n an _ en giv as 1 ed 1 mand . · . · a penalty ·of five dollars (Eth. $5.00 ;)· . (c) nothing herei11 contained shall preve11t tb.e ad1ni□istratioi�' of a11y instrt1mep.t; . .. . , . . ; \ . .. . t; 11r co al jn im cr a in g i1� ed e oc pr y a� i11 c� �n id (i) j 11 ev e11 executed by or on be s ha t en 1m r1 st in h 1c s1 n he w t ur 11 1n ('") · a11y co , . . · t or w her:e 1t e a�� �- st� temen t.. of the b . en m n r' e . _ _ . behalf of the Gov _ le ic 10 of rt ns A ov1s1o e pr th (o g in rd co ac d e su is ity or . ]th . l A nue Reve - 559 1.
1'7-15
CONSOLIDATED LAWS OF ETHI.OJ>IA
74. The payment of pe11alty under Article 73 in respect of any i;11strument shall appears to have committed an offen who r1ot bar the prosecution of any person ce . . against this Decree in respect of thls 111strumen t• �5: Wh.ere � petition or applica�ion has �ot been .d�lly stamped the At1thority rece1VIng suc.h instrument shall not act upon it before it 1s duly stamped. No penalty or fine shall be levied. Part VI Supply and Sale of Stamps and Stan1ped Papers
76. Ou.r Minister of Finance is empowered to issue regulat.i:011s concer11 uig: (a) st1pply or sale of stamps and sta.mped pa.pe1·s; (b) appoiotme11t of persons by whom the sale of" stamps and stamped papers jg to be co11dt1cted; (c) the duties and remuneration of such persons; (d) allowances for stamps and stamped papers spoiled or in other cases, provided that such regulatio11s sl1all not 1·edt1ce the sale of adhesive stamps to the value of twenty ce11ts (Eth. $0.20). Part VII Offenses
77. Any perso11: (a) drawi11g, n1aking: issui11g, endorsi11g or transferring or signing other wise than as a witness, or presenting for accepta11ce or payn1ent, or accepting, paying or receiving payment of, or in. any 1nanner negotiat ing a bill of exchange, cheque or promissory 11ote withot1t tl1e sa·rne being stamped; or (b) executi11g or sig11ing, otber-vvise tha11 as a witness, any otl1er i11strument, 11ot being a petition or applicatio11, chargeable witl1 dt1ty \Vitl1ot1t the same being dul)' stan1ped; is guilty of an offence and shall be liable on convictio11 to a fine 11ot exceeding Eth. $500. 78. If a share ,varrant is issued without being duly sta111ped, tl1e con1pa11y issu,!ng the same and also every person who, at the time wl1e11 it is isst1ed, is the 111an aging director or other principal officer of tl1e compan.y is gt1ilty of an offence and shall be liable on convjction to a fine not exceedi11g Etl1. $500. 79. Any person who: (a) being reqt1ired under Art. 59 of this Decree to give a recei_pt, reftises or neglects to give the same; or (b) wit h intent to defraud the In1perial Gover111ne11t of a11y duty, tipon. a payment of money_ or delivery of pro1)erty exceedi 1 1g Etl1. $10.00_ Jll amount or value, gives a receipt for an amottJlt or valtie 11ot exceeding de· or $10 th. .00 or sep ara pai tes d or clivicles tl1e 1no11ey or JJroper ty � livered: is guil�y of a11 offe11ce and shall be liable on co11victio.11 to a fitie not exceeding Eth. $100. CONSOLIDATION NOTE Corr. 17/6 (1957) C. 39 (English only).
- 560 -
T�XES
17-15,16
0TI-IER TI-IAN CUSTOMS
80. A11y perso11 wl10: (a) 1vvith i11te11t to defrat1cl the In11)erial Gover11ment of duty, n1:1kes or isst1es any bill of excl1ange or pron1issory note, bearing a date sub seqt1e11t to that on \vhicl1 s11ch bill or 11ote is actt1a]ly dra\vn or 1nade; or (b) k1101vvi11gly a11cl \vitl1 inte11t to defraud conceals facts bearing 011 tl1e lrt1e 11at11re of any i11strt11ne11t; or (c) k110\:ving tl1at a bill of excl1a11ge or a pro1nissory 11ote l1as been post dated, e11dorses, tra11sfers, prese11ts for acce1)tance or pay111e11t or ac cepts, _pays or receives payn1ent of st1cl1 bill, 11ote, or in a11y ma11ner negoticttes tl1e same; is guilt)' of a11 ofTe11ce a11d sha.11 be liable on co11victio11 to a fine 11ot exceedi11g Eth. $1,000. 81. A11y person appointed to sell sta1nps or stamped paper \vho disobeys a11y rule n1ade tinder Article 76 of tl1e Decree, and any person not so appointed 1vvl10 sells or oflers for sale stamps or stan1ped papers, except of adhesive stamps of tl1e valt1e of Eth. $0.20 or u11der; is gr1ilty of an offence and sl1all be liable 011 convictio11 to in1prisonment not exceeding six. mo11tl1s or to a fine 11ot exceeding Eth. $1,000 or to both imprison1nent a11d fi11e. 82. No prosect1tion for any offe11ces against this Decree shall be institt1ted witl1out tl1e sanction of the Revenue Autl1ority. The Revenue At1thority may stay a11y such prosecution or compot1nd a11y st1cl1 offences.
Part VID 83. Ot1r Minister of Fi11ance is en1powered to issue regt1latio11s for tl1e better carrying into effect of the l )rovisions of this Decree. 84. Nothi11g in this : Decree sh,:111 affect the liabilities for payn� ent of stamp dt1ty _ _ _ according to the previot1s e11actme11ts, before tl1e coming into force of this Decree. Such liabilities are hereby confirn1ed. 85. This Decree shall come i11to force on its publication. Do11e at Addis Ababa tl1is 31st day of October, 1957.
18/10 (1959) L. 221 I
''
REGULATIONS ISSUED PURSUANT TO THE STAMP DECREE DUTY 1957 au t to an rsu e pu nc na of Fi r ste ini M e th by d ue iss are s ion lat I. These Regu thority vested i n hi m by Article 83 of tl1e Stamp Duty Decree (Decree No. 26 of 1957, l1ereinafter the ''Decree''). . '' 1959 , t a ns u io I R eg y t1t D . J) 2. These Reg11Jations m ay be cited as tl1e ''Stam
The Revenue Authorities
l
t
I
3. Pursuant to Article 21 of the Decree the following are designated as Reve11ue At1thorities:
- 561 -
CoNSO.LlDATEE> LAWS ©F !ETHIOPIA
: h� e re t ec � e th Director-Gener.al � of 10 le tic Ar of (a) for the purposes . nalitment of the M1n1stry of F1nance or his Dep �· me Tax Der the · · Inco U (b) for the purposes of Article 82 of the Decree: (i) the Director General o� the Income Tax Department of the Minist ry ; uty Dep his e or anc Fin of ·(ii) the Director of a provincial income tax office or his depu ty; (c) fo·r other purposes of the Decree: (i) the Income Tax Department of the Ministry of Finan ce; (ii) tb._e provincial income tax offi..ces; and (iii) the District and Sub-District Ince.me Tax Collectors.
Manner of Payment of Stamp Duties 4. If the duty payable 011 an instrument, except tickets of admission to places of public enter�nment, does not �xceed Eth. $50..0<?, the duty shall be paid by n1eans of adhesive revenue stamps issued by the M1n1stry of Finance, which shalJ be affixed to the instrument. 5. Adhesive revenue stamps shall be of the followi11g denominations: Eth. $0.05, 0.10; 0.20, 0.25, 0.50, 1.00, 2.00, 3.00, 5.00 and 10.00. 6. P... person required by Artir.le 15 of tb.e Dec.ree to cancel an adhesive revenue stamp, shall cancel it b)' writing on or across the stamp his name or initials or the name or initials of the fi r m l1e represents, together witl1 the date of such writjng. 7. As a11 exce1Jtion to the provisions of Articles 4-6 hereof, the Director General of the Income Tax Departme11t is a11thorized to make special arra11gements with banks operatin.g in Ethiopia concerning the n1an11er of JJayn1e11t of stamp duty on instrun1ents used in banlcing operations, s·uch ,ts cl1eq11es. 8. If the d11ty JJayable on an i11str11n1ent exceeds Eth. $50.00, the amount of d11ty shall be paid to the Revenue Aut1ority or to a 1Jerso11 a.11thorized by the Re venue Authorit)' to collect such payment and to endorse s11ch i11strument on bel1alf of tllis A11thority. 9. The Revenue Authority or other person authorized to collect payments mentioned in Article 8 hereof sl1all issue a proper receiJlt for the an1ount received and shall cause the original of the instrument a11d a copy or copies thereof to be endorsed to the effect that the prescribed duty has been paid t11ereon; the amount paid, date of the payment and number of the receiJ)t shall be s]1ow11 i11 the endorse ment; the endorsement sl1all be signed, dated and stan1ped wit11 the stamp of tlie F_evenue A11thority or the perso11 acting on its bel1 alf. Persons acting on behalf of the Revenue Atithority sl1all place ttnde : t!3e1� signature both on the receipt and on tl1e endorse111et1t the fullo,ving ir1scr1phoO, ''Authorized to collect Stamp Duty by - - - _ - - - - - -;, on - - - - - - - - - - Ref. No. - - - es cas i11 ty 10. Persons autl1orized by the Revent1e Atithority to collect the dt1 n1e11tioned in Article 8 above shall· by ed crib (a) keep daily records of p�yments co.llected, i11 tl1e 1nan11er pres the Revenue Authority, and t o n , ly (b) transfer t·he money collected to the Revenue Authority week later than three days folloving tl1e end of each week.
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-562-
':fAXES
OTHER 'fHAN CUSTOMS
17-16
11. In case of ti�kets of acl111issio1 1 to IJlaces of p11blic entertainment, tl1e a1nou11t of dt1 ty shall be paid to the Reve11t1e At1tl1ority, whicl1 shall issue a proper receipt and shall cat1se a correspo11di11g 11111nber of tickets to be stan1ped ,v1th its sta1np. The Co1111nission Mentioned in Article 64 of the Decree
12. The Co1nmissio11 n1e11tioned i11 Article 64 of the Decree sl1all co11sist of: who sl1all (a) tl1c head of the local Inco111e Tax At1thority, or his dept1ty, · act as a Chair111a11 of the Con1missio11, (b) t,vo men1bers appoi11ted as follo,vs at the request of the head of the local Income Tax A1 1 tl1ority: (i) one by the local M11nicipality or To'vvnsl1ip, and (ii) the second by the Mi11istry of Pt1blic Works or its local Office. In exceptional cases, tl1e Minister of Fina11ce 111ay appoint tip to two additio11al rne111bers to a Com1nissio11. Supply and Sale of Stamps
13. Adhesive revenue stamps t1sed for tl1e pay1nent of stan1p d1 1ty ,vill be st1pplied by tl1e Reven11e A11tl1orities. 14. Persons ,,,isl1i11g to sell reve11ue stamps to tl1e p11blic sl1all apply to the local Revenue At1thority, on forn1s ·sup1Jlied by tl1e Revenue Authority, for a11 appoi11t me11t autl1 orizi11g tl1e111 to do so; provided, however, tl1at tllis requireme11t shall 11ot apply to persons ,visl1ing to sell reve11ue stamps 11ot exceedi11g Etl1. $0.20 in value. 1 15. No authorjzation is 11eeded for tl1e sale of a stamp not exceedi11g Eth. $0.20 i 11 value; however, persons selling such stamps without being appoi11ted by the Reve11ue Authority sl1all 11ot be e11titled to receive a11y rem1111eration for their ,vork rron1 the Inco1ne Tax A11tl1ority. 16. Perso11s appointed to sell revenue stamps shall: (a) display i 1 1 a wi 11dow or otl1er visible place in tl1eir shop a notice \Vith i11scri1Jtion: ''Revent1e Stamp Vendor''; (b) bt1y revenue sta1nps only fron1 the local Reven11e Authority; (c) keep i11 stock reve1111e stamps of all de11omi11ations specified i n Art. 5 above or of st1cl1 denon1inations as may be desig11ated by the Reven11e A11t]1ority. 1 7. Tl1e persons referred to i n Article 16 will be. entitled to bt1y �tamps fro� disco11nt of 5%, represent111g the remuneration for their a tl1e Rev at ity e hor ent1 Atit • services. 18. The Director-General of the I11con1e Tax Department of the Ministry of Finance ai1d the Heads of the Provincial Income rfax Authorities n1ay, with the agreement of the He ad of a 11y Government or Mt1nicipal (?ffice, autl1orize a casl�ier or any other official of such Office to maintain a stamp imprest on tl1e follow111g conditio11s: d 11e to be tai s ob rm l fo cia offi on de ma be l wi ps in � (a) applicatiotl for sta fro1n tl1e Revenue Authority;
- 563 -
C@NS©LIDA'IED LAWS OF JiifflIOPIA -
s@ld will b� k� f)t by the iiliilpuest h 0lde; and (h) records of stamps .ueoeiv.ecl _ 011 forms supl)l1ed by the Revenue Auithor1ty, (c) t!lle milprest may be re'f)ienishe� as requived �y th.e pl!lrel1ase of further stamps up to the value of the imprest authorized, the amount of Which shall aot exceed $100.00; (d) the imprest shall be subject to insp� ctio1;1 at �.Y time by an @flici al of 1n wr1trng, authorized a nd may b e retired the Reve11ue Autb.�rity dluIy _ _ at any time on t!he 1nstruct�o11 of the _Revemue Auth,or1ty. <?n such retire m�nt the imprest hold�r w1l� be requJ.red !o refuFld. 1D?-med1ately the total vall! le of t.Qe imprest either 1n stamps or ID cash, or 10 both stamps and cash; (e) imprest holders may not sell s�am.ps received from any other source than the local Revenue Authority. 19. T11ese Regulations shall con1e into force on 1st Maskaram, 1952 (12th Septern ber, 1959). Done at Addis Ababa this 1st day of July, 1959.
I. Transaction Tax 22/18 (1963) P. 205*
A PROCL_i\MATION TO PROVIDE FOR PAYMENT OF TRANSACTIOi� TAXES CQI\lQUERING LION OF TI-IE TRIBE OF JUDAH RA.ILE SELASSIE I ELECT OF GOD, EI\1PEf{OR OF ETI-IIOPIA PURSUANT to Artjcles 34 and 88 of Ot1r Revised. Co11stitt1tion We approve tl1e resolutions of Our Se11ate a11d Cha1nber of Dept1ties and We hereby proclairn as follows: 1. This Proc]amatio11 may be cited as the ''Tra11sactio11 Taxes Proclamation, 1963 ''. 2. The follo\ving laws are hereby repealed·: (a) the Federal Transaction Tax Decree, 1956 (Decree No. 17 of 1956) �s amended by the Federal Transaction Tax (Amenclme11t) Decree, 19)9 (Decree No. 35 of 1959; and (b) the Local Products Excise 1�ax Decree, 1957 (Decree No. 22 of 195?) as amended by Decree N·o. 25 of 1957. 3.
DEFINITIONS tllis Proclamation, t1nless tl1e context otl1er,v; ise reqt1ires: whe ons (a) ''person'' means a natt1ral person and any a.ssociatio11 of pers ther incorporated or not; (b) ''goods'' means any kind of goods, ·articles a11d commodities;
111
*INfRODUCTORY FOOTNOTE Corr. 22/22 (1963) C.50 (English only); amd. 27/1 (1967) P. 254.
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TAXES OTHER TI-IAN CUSTOMS
17-17
(c) ''goods man11factured locally'' mea11s goods IJrod11ced \Vitl1in the Empire of Eth �opia \Vith the aid of 1nachinery, and shall it1clt1de, in addition to n1a1n products: (i) any other goocls rest1lti11g fro1n the n1anufact11ri11g process st1ch as by-products a11d rejects, wl1ere s11ch goods have a marketable or sale valt1e; ,111d (ii) imported goods wbicl1 are st1bject to a further man11facturi11g process involvi11g the aid of n1acl1inery; provided, ho\vever, that goods pt1rchased directly from tl1e man11factt1rer thereof by a11otl1er manufacturer for furtl1er processing or for 11se as a11 integral part of a final product shall not constitute goods n1ant1factured locally 11nless the n1anufacturer ,:i.1ho produces the final prod11ct is liable to pay tax tl1ereo11. (d) [Repd. 27/1 (1967) P. 254 Art. 4.] (e) ''manu.fact11rer'' means a11y producer of n1a11t1factured goods; (f) ''constr11ction \X/Ork'' means bt1ilding a11d otl1er work involving per ma11ent unio11 of bt1ildi11g and otl1er materials ,vith tl1e gro11nd, i11clt1ding re-btulcling and alterations of s11cl1 work, but excl11ding repairs; in trinsic elements of construction work, as defi11ed in Article 1132 of the Civil Code of 1960, shall be considered ·for the purpose of this Proclamation as an integral part of the constr11ction work; (g) ''contractor'' means a perso11 \\1ho professionally executes construction \X/ork; and (h) ''machinery'' mea11s a11y instrt1ment operated by motor or electric power or by hand; and (i) ''Tax Authority'' means the A11thority designated purs11ant to Article 31 of the principal proclamation. CONSOLIDATION NOTE ,,l,nd. 27/1 (1967) P. 254 Arts. 3-4.
LEVYING OF TAX 4. Subject to the provisions of this Proclamation, there shall be charged, levied, collected and paid tl1e fallowing tra11saction taxes: (a) tax on goods imported or exported; (b) tax on goods ma1111factured locally; (c) ttirnover tax; and ( d) tax on construction work. TA.X ON GOODS IMPORTED AND EXPORTED d cte c 1d lle ied a ev d, ge ar ch e b all sh l tec or ex � or ! d � rte po im s 5. (a) Tax on good p _ _ . it on ex or 1 nt of s nt 01 e th at 11 t10 ra 1st in dm A � � s m sto � by the Cu a: pi io th E of re pi m E e th to in ed rt po im . (i) al l goods d rte s po od im of go tie l va e th ) 2% (1 t en rc pe _ e at the ra te of twelv . d on an n; 1o at tr 1s un dn A s m to us C e th y b ed at tim as es - 565 -
or
t"J .. 17
C@NSOLIDATEl:l LAWS OP EfflIQPIA
(ii) all goodlS exported from the Empire of Ebhi0pia: �lt tl1e rate o,f two percent (2%) of the v;alue 0f the g0ods exp orted .as estimated by the Customs Administraition. (b) Said tax shall be paid by ?ersons importimg or exporting goods at tbe time of their clearance th1ough t .he cr1stoms. 6. The foll0Vi1ing goods shall be considered as exempted from the tra11sact ion tax on goods imported or exported: (a) imported agric111ltural and Lndustrial n1aehinery, implements, applianc e s or part thereof which are exempted f�om c11stol!1s druty and all import taxes under Agricalrural and Industrial Expansion Proclam.at:ion (No. 145 of 1954,; (b) goods imported falling under the following items of the Customs Tariff as published under Legal Notice No. 153 of 1951: items 265, 266, 267 271, 272, 385, 386 (a), 387 (a), 388, 391, 392, 394, 405, 406, 407, 413, 414, 420, 421 and 422 as amerrled; (c) goods being re-exported; ( d) goods co11stituting bona floe personal baggage of persons e11tering and leaving tl1e En1pire of Ethiopia; (e) diplomatic and. const1lar goods witlli11 the meaning of the Custon1s Regulatio11s; a11d (f) r:,acking ma.terials a11d cor1tainers i111ported and used for the ex_port of a11y goods n1ant1factr1red local I)'. 1
CROSS REFERENCE Customs Revised In1port and Export Reg11lations, 10/8 (1951) L. 153, 16 Consol. L. Eth. 7. Agricultt1ral and Industrial Expansio11, 14/3 (1954) P. 145, 19 Co11sol. L. Et/1. 4.
7. 111 cases mentioned in Article 110 of the Custon1s Proclamation (Proclamation No. 1 45 of 1955), where the O\Vner of goods in1ported is granted drawback of in1port duty o· n re-exportation of said goods, he sl1all be gra11ted also drawback of the tax ,vrucl1 was paid under tl1is Procla1natio11 on importatio11 of the same goods. CROSS REFERENCE Customs Proclamation, 14/7 (J 955) P. 1�5 Art. 110, 16 Co11sol. l.,. Et/1. 1 - 110.
8. The Customs Admi11istration sl1all be held respo11sible ·for the collecti o�1 of the tax 011 goods imported or exported a.11d shall apply their rt1les and regt1lattons for its assessment and collection.
TAX ON GOODS M.t\N'UFACTURED LOCALLY 9. A tax at the rate of five percent (5%) of tl1e gross 1·even11e received, due, a
f� collected, and p
assessed to be due to a manufacturer shall be charged, levied and by the mant1factt1rer, on goods manufactured locally whicl1 are: (a) sold by the ma1111facturer, (b) cons111ned or t1sed by the ·ma1111facttirer :it the' !)lace ot· productio n; or . sale n (c) removed fron1 the place of production for a11 y ptirpose other tha CONSOLJDATION NOTE Amfl. 27/1 (1967 ) P. 254 Art. 5.
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.
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TAXES OTHER THAN CUSTOMS
17-17
l 0. In the case of goods manufactured locally which are disposed of otherwise than by sale, the tax shall be calct1lated on the a111ount which it is considered the mant1fact11rer would have received if, at the tin1e of removal of the goods from the place of n1anufact11re� the goods had been sold. CONSOLIDATION NOTE ,-1,nd. 27/1 (1967) P. 254 Art. 5.
11. The following deductions may be made from the gross revenue received, due or assessed to be due for tl1e goods manufactured locally in calculating tl1e amot1nt 011 which the tax shall be charged: (a) the amount of tax chargeable under the provisions of Article 9 hereof, wl�en the amot111t thereof is included by the mant1facturer in his sales prices; (b) tl1e amount of customs duty a11d transaction tax proved to have been paid on goods imported, t1pon condition that the following conditions are satisfied: (i) the goods were imported solely for further processing in Ethiopia; (ii) the goods were incorporated into and formed an integral part of the final product; (iii) the final prod11ct was chargeable with tax under Article 9 hereof; and (iv) goods similar to the goods imported were 11ot available in Ethiopia; provided� however, that if a portion of the goods imported were used in the mantlfacture of goods which are exempt from the tax on goods manufactured loca]ly, the amount of the deduction shall be equivalent to the proportion of the goods imported which were used in the ma11ufactt1re of goods subject to the tax on goods manufactured locally; and (c) the amount of such excise taxes as are specifically enumerated in Regu lations issued by Our Minister of Finance proved to have been paid with respect to any goods manufactured locally or any goods incorporat ed as components or as integral �arts of goods manufactur': � locally which are sold or disposed of during the month, upon cond1t1on that tl1e final prod11ct is chargeable with tax under Article 9 hereof. /
CONSOLIDATION NOTE
Amd. 27/1 tl967) P. 254 Art. 5.
12. Tax sha ll no t be chargeable on: (a) goods manufactured locally wh.ich are exported directly from the place of mant1facture within Ethiopia by the manufacturer thereof; (b ) flour, bread and milk prodt1ced or manufactured locally, but not includ ing pastry and similar items; and (c) goods purchased directly from the manufacturer thereof for furth�r processing or for use as an integral part of a final product, upon cond1-
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17-17/
CoNSOLJ!IDATE:W !I.LAWS OF ETHI©PlA
tjor1 tfuat the manufacturer purchas�ng .s�1�h goo ds is liable to pay tax 1 dertakes 1n wr1t1ng to ac, count for the acqu·lSl0,0 tlle final p1iod1itt and l!1o tion, use a11d disposal of sa-1'd goods . CONSOLIDATION NOTl:: A111cl.
27/1 (1967) P. 254 Art. 5.
13. (a) Manufacturers liable to pay tax under Article_ 9 hereof shall 1naintain books, accounts and reoorrds adequate to 11>ermirt the easy ascertainment at any time of the acquisition ana l!lse of good� and compo 11e11ts , and , at alily time of the final disposal of goods manu the easy determination factured Ioca]ly; provided, however, that the requireme11t of mai11tain ing books, acco11nts and records provided i11 Article 19 hereof shall remain i, n force. ( b) If, in the opi11ion of the Tax Authority, the books, accot1nts and record s maintained by any manu·facturer are not adequate to permit it easily at a11 y time to ascertain the acquisition a11d use of goods a,nd com ponents, or tl1e qt1ai1tity of locally ma11t1factured goods disposed of, or properly to calcttlate the amount crf the tax chargeable hereunder, the Tax At1tl1ority may require that special books, accot1nts and records be maintained. CONSOLID1\TIOri NOTE A111cl.
•
27/1 (1967) P. 254 Art. 5.
14. Each ma11t1facturer of goods nJanLltactured locally shall make a11d s11bmit to the Tax Aut1Jority 11ot later than ter1 (10) days follo\ving tl1e end of each calendar month (,,,Jiich may be eitl1er tl1e Ethiopja11 011 Gregorian cale11dar 111 onth as agreed bet,veen tl1e Tax Authority and tl1e rnanufactt1rer liable for the tax), a declaration , jn the form prescribed in Reg11lations iss ued by Ot1r IVIiriister of Finance concerning tl1e acq , uisition, use a11d disposal of goods incorporated as co111ponents or as i11tegral parts of goods n1ant1factt1red locally and the q_11a11ti t y of goods ma11t1factured locally and sold or otherwise disposed of d11ri11g the montl1� a11d sl1all p,1.y to tl1e Tax Au thority the tax d11e within a period of thirty (30) days f()llowi11g f'he end of tl1e calen dar month to wl1icl1 the declaration relates. CONSOLIDATION NOTE A111d. 27/1 (1967) P. 254. Art. 5.
15. (a) If the Tax At1thority is satisfied that tl1e books, accot11 1ts a11d records maintained by the n1an11facturer are n1ai11ta,i r1ed correctly and meet the requirements of paragra.ph (a) of Article 13 hereof and that the 1nonth1Y declaration submitted is a true and acct1rate sta.ten1e11t based thereon, the tax shall be charged 011 the basis of the declaration . 5 ord f rec ,111d (b) If the · Tax · Authority is not satis ied that tl1 e bool<s' accounts n1a111:ta111ed by the manufacturer are n1ai11tained correctly and meet the . requrrements of paragrapl1 (a) of Article 13 l1ereof, or if the m? ntli 1� declaratio11 is not submitted \Vithin the period )rescribed in Article 1 l l1creof, the Tax Authority ma y assess the tax by estimation . (c) If a man.t1facturer has st1bmitted his monthly declaratio11s and paid �; thereon, in due time and does not receive, within a period of tl1ree 568 -
'"[AXES OTHER TI-IAN CUSTOMS
17-17
years _fro1n tl1e. d,1te of receipt of tl1 e declaration by the Tax A11thority, a notice assessing a11 amou11t of tax clifferent from the a1no11nt of tax declarecl, the tax declared sl1all be deemed to have bee11 approved and s!1all beco1:1e final ancl conclLtsive: provided, l1owever, that the provi stons of tl1ts paragraph (c) shall not relieve the taxJJayer from liability for the payn1ent of tax wl1ich l1as 11ot been set forth i11 said declaration. CONSOLIDATION NOTE A111d. 27/1 (1967) P. 254 Art. 5.
TURNOVER TAX 16. A t11r1 1over tax at the rate of two percent (2%) of tl1e gross revenues received or d11e to a perso11 for the sale of goods sl1 all be chargecl, levied and collected, and sl1all be paid by eacl1 person selling a11y n1ovable goods in Ethiopia, except as pro vided in f\rticle 18 l1ereof. A111cl.
CONSOLlDATION NOTE 27/1 (1967) P. 254 Art. 5.
17. Tax shall be computed on tl1e basis of tl1 e gross price received or due for the sale of the goods, b11t excluding the amo11nt o_f the t11r11over tax chargeable with respect to the particular sales transaction. '
CONSOLIDATION NOTE An1d. 27/1 (1967) P. 254 Art. 5.
18. The follo,vi.11 g tra11 sactions shall be exempt from payn1e11t of t11r11over tax: (a) tl1e sale by a 11 importer or his commission agent of goods imported by sL1ch importer to a perso11 acquiring the goods for resale; (b) the sale by a man11facturer or his commission age11 t of goods 111,1011factured locally by the man11facturer to a person acquiring tl1e goods for resale; · (c) the sale by a farmer or agricultL1ral prod11cer of his produce to a perso11 acquiri 11g tl1e produce for resale; (d) the sale of goods to a person who exports the goods so sold directly from ]1is _premises; (e) the sale of: (i) postage a11d revenue stamps,_ (ii) lottery, raffle and tombola tickets, . . (iij) tickets of adn1ission to places of public entertru? ment; provided, I1owever, tha t thjs exemption shall not apply to_ c1nem_a ho11 ses and night clubs which are operated on a commercial basis, (iv) tickets for the carriage of persons an d goods, (v) newspapers, and (vi) petroleum products; and . (f ) the sttpply of w�ter, electricity, telephone, telegraph and teletype services. CONSOLIDATION NOTE Corr. 22/22 (1963) C. 50 (English only); a111d. 27/1 .._1967) P. 254 Art. 5.
NOTE OF DECISSON Exe111prion o_f sales fron1 pa;'1ne11t _of Turnover Ta,r Under former provision of Subart1cle (b) which prov,'ded exemption for "wholesale sales,"
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1 ATED LAW'8 OF El1H1IOPIA CoNSOLID
d o sol ks wh sa h.is sacks to co ffee, su of Fer ctu t:tfa man a t tha d � hel ) aba AlJ dis (Ad the High Court 1rnove1 tax.. Wbe� the trader sells the ma �d salt merchants, is ex�mpt.ecl from the pa� ment.of t�the :� is over tax pa tt1rn e yabl se, d1 han en . , mer r othe the factured goods as contamers for valu e 0f s. k sac. the merchandise including tb.e value of the . . Nicola Pappasinos v. The Inland Revenlle Departn1ent (High Ct., Addis Ababa, 1965.) .T. Eth. I.• , vol. 4, p. 99. Note: 27/1 (l967) P. 254 substantially cl1a.nged Article 18 (b) to its present wording. 19. (a) Traders subject to the pa)ment of turno¥er t;;tx, except for traders whose annual tt1rnover does not exceed Twenty Four Thousand Ethiopian Dollars (Eth.$24,000), so.all maint, ain books, acco�nts and records adequate to permjt the amot1nt of tax due to be easily ascertained at any time. (b) Traders subject to the payment of turnover tax whose annual turno ver does not exceed TwentJ Four Thousand Etlliopia11 Dollars (Eth.$ 24,000), shall not be required to maintain books, accot1nts and records: provided, however, that if such books, accot1nts and records are not kept, said traders shall pay the tax at fixed rates corresponding to t\vo percent (2%) of their average turnover as estin1ated by tl1e Tax Authority. '"
CONSOLIDA fION NOTE
An,,d. 27/1 (1967) P. 254 Art. 5.
20. (a) The t11r11over tax sl1all re paid quarterly v1itl1i11 thirty (30) days fron1 tl1e e11d of the quarter of tl1e Etl1iopi,111 Cale11dar year, or, subject to the agreement of the Ta:c Authority, withi11 thirty (30) days fro1n the end of the quarter of the. Gregoria11 Calendar year, in \Vhicl1 tl1e sales vvere made. (b) WJ1en JJaying said tax, traders shall s11bmit to t.he Tax Authority their qt1arterly rett1r11s showi11g gross reve1111es from sales made jn tl1e qttarter of the year in which t11e sales were made and prepared in the forn1 whicl1 shall be prescribed by the Minister of Finance. 21. (a) If the Tax Authority is satisfied tl1at tl1e acco11nts and records of tl1e trader are properly kept and that the quarterly retur11s are acceptable the tax shall be assessed as calc11lated on tl1e basis of gross reven ues shown in qt1arterly ret11ms. (b) If tl1e q11arterly retl1r11s are not sub1nitted \:\'.itl1in the period prescribed ·in Article 20 hereof, or if, for any reaso11 the quarterly returns cannot be accepted, the Tax Autiority may assess the ta.x by estim atio11. (c) If a. trader �as submitted l1is quarterly rett1rns and paid the t�ove� tax in due t1111e, as prescrjbed in Article 20 hereof, and if no differen assessment has been 111ace by. the Tax f\trthor!ty withi11 two (2) year! from the e11d of. tl1e q11arter .of tl1e year for wh1cl1 the tax was due, th .- . tax as calc11Iated 011 the basis of g·uarterly rettir118 st1bn1itted by the trader shall be final ·a11c concl11sive. 22 .. T�e �gent or a�ents, i11cit1diI1g con1nussio11 age11ts, of no -resid�11ts trai��� � ,. �th.1op1a through said agent _ _ t11 or agents shall be Jointly respoiisible \v1th !he · re�1dents for_ the payment of the t1;1rnover tax payable unde th is Proclamat 1on frolll r said no11-res1dent for sales made 1n Ethiopia.
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17-17
TAX ON CONSTRUCTION WORK 23. '"fhe t,1x on co11strL1 ction ,vork sl1all be cl1arged, levied a11d collected at tl1e rate of t\vo percent (2%) 01 1 all eleme11ts of tl1e cost of co11struction ,vorks, such as: amo11�t s payable t� .arcllitects, b1 1 jfcli11g contractors or otl1er persons planning or executing or s11perv1s1ng the ,,,ork . , cost of building materials ' cost of labo11r and all other cost of co11str11ction. 24. Said tax s11all be payable: (a) by b11ilding contractors: on any a111ou11t received by then1 for execL1tio11 of tl1e \\1ork and costs connected herewith·' (b) by perso11s for ,vl1on1 the work is exec11ted: 011 a1 1y amou11 t of costs of tl1e work not covered by the amounts paid to b11ilding contractors. 25. Said tax sl1all be payable: (a) i11 case of bt1ildi 1 1g contractors: witl1i11 thirty (30) days from the e 11d of tl1e month in which they received any of the payments 1nentioned i11 paragrapl1 (a) of Article 24 l1ereof; the tax on balances of the amo11nt due to the contractors, b11t not yet paid, shall be paid by co11tractors not later tl1a11 within twelve (12) months from the end of the month in wl1icl1 they co1npleted their work; (b) by persons for \vhom tl1e work is executed: within thirty (30) days from the end of the n1onlh i11 whic11 any amount me11tioned in paragrapl1 (b) of Article 24 l1ereof ,vas paid by them; the tax on balances of tl1e an1011nts d11e, b11t not yet paid, shall be paid by the persons for whom the \.vork \Vas executed not later tha 11 \\1ithin twelve (12) months from the e11d of the mo11th i11 whicl1 the constr11ction work was completed. 26. The following co11struction works shall be exen1pted fro111 said tax: (a) bujlding, including re-b11 ilding and alteration of roads, bridges, cl111r ches, mosques, schools and hospitals; (b) water and irrigation works; (c) works executed for the state, municipalities, tow11ships and such other publjc authoritjes and· instit11tions as· tl1e Minister of Finance may determine by regulations; and (d) works representing the value of not more than five thousand Ethiopia11 dollars (Eth. $5,000). 27· . (a) Persons liable to pay the tax 011 co�struction wor� sha.11 keep such records and accounts as may be prescribed by regulations issued by the Minister of Finance. (b) When paying the tax said. perso11 shall s11bmit to the Tax Authority corresponding ret11rns show1ng l1ow the amou11t of t�e tax was calculated. 28. (a) · Rec�rds, acco�ints and returns mentioned in paragraphs . (a) and (b) of Article 27 hereof shall be kept in s�ch fo!m and shall 1nc�u�e such ter n1s the of M1 by 11ed 1ss ns tio ula reg by d ibe scr pre be · a)' ta n da as 1 Fina11ce. (b) All entries jn accou11ts, records a11d retur1_1s kept by persons liable to pay the tax shall be s11pported by appropriate vouchers.
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17-11
C@NS@.LlDA1fED LAWS OF .ETHIJOPJA
29. If the Tax Autkority is satisfied that records a11d accounts mentioned i� paragraph (a) of Article 27 hereof are properly kept ai1d that monthly returns sub mittecl by persons liable to pay the tax are acceptable, ! he t�x sl1all be assessed on the basis of nlonthly returns. In the absence of such sat1sfact1on, the Tax Altthority may a.ssess the tax by estimating the value of the work done. 30. If the persons liable to pay the tax have submitted the mon!hly returns a,nd paid the tax in due time and if no different assessment shall have _ 1n d_t1e time and if no different asse-ssment sh.all ha �e been made by the Tax Autl1or1ty within two (2) as oa�culated on the basis years afte·r tlte date of the complet1oa of the work, the tax _ ; provided, howe ver, that usive of monthly returns should become final and concl the Tax Authority has been informed: (a) in case of building contractors: the date of completion of work done by them; and (b) in case of persons for whom tl1e work was exect1ted: the date of com pletio11 of the whole construction work; within thirty (30) days of the relevant dates. TAX AUTHORITIES 31. The l\1inister of Finance is autl1orized to designate the Tax Authorities wl1ich shall be respo11sible for im·plementation a11d enforcement of tl1e provisions of tl1is Proclan1ation regarding collectio11 of tl1e following taxes: (a) tax 011 goods ma11Lrfactt1red locally; (b) tur11over tax; and (c) tax 011 co11stn1ction \Vorlc. 32. Said At1thorities shall be ernpovvered: (a) to inspect bool<s of persons liable to pay taxes n1entio11ed in Article 31 hereof and to require them to prodt1ce for inspection all st1ch vot1chers, contracts, doct1ments a11d other b11si11.ess papers as n1ay be 11ecessary for the assessn1ent and pro1Jer co11trol of tl1e pay1ne11t of taxes; (b) at a11y time d11ring worki11g ho11rs to enter ttpon premises used for pro d11ction of locally 1nanufactured goods and to check stocks of goods in possessio11 of manufacturers; a11d (c) at a11y time cluring working l1011rs to e11ter 11po1 1 a11y place \Vl1ere a co11strt1cti�n work i s executed to ascertai11 t]1 e progress of tl1e vvork and. _ to collect 111format1on wl1icl1 may be 11ecessary for proper assessment and collection of the · tax.
APPEALS 33. (a) Perso11s aggrieved. by an assessme 11t of the tax on goods manufactured locally or of the t11r11over tax or of the tax 011 construction vvork m_aY appeal to t�e Commissions of the Tax Appeal authorized to deal Wlth appeals against assessments of income tax e eci� d Sai d Com mis sions are hereby designated io receive ' hear and (b) . . ung . transactio f thtS . . 0 appeaIs concerr (a) n taxes specified 10 paragraph Article 33. - 572 -
TAXES 0TI·IER TI-IAN
CusT0�1s
31-. Appeals made p1trsua11 t to Article 33 l1ereof sl1all be subject to tl1
cond1t1ons:
· 17-17 e followi 11 g
(a) the appeal _sl1al� be 111 acle witbj11 tl1irty (30) clays of tl1 e date of delivery of the not1.ficat1011 of_ assess�11 e11 t to tl1 e tax1Jayer, a11 d a copy of said appeal sl1 all be sub1111tted s1111t1lta11eo11sly to tl1 e Tax A11tl1ority wl1 ich n1ade the assessme11 t; ancl (b) th � appellant shall, _bef�re tl1 e e11d of the tl1irty (30) day iJeriod pres cribed above, deposit ,v1t.l1 tl1e Tax Autl1 ority an a11101111t equal to fifty _percent (50%) of the Tax assessed. CONSOLIDATION NOTE A1nd. 27/1 (1967) P. 254 Art. 6.
35. If no app�al is n1ade ,vitl1i11 _tl1 e JJeriod of tl1 irty (30) days prescribed i11 para graph (a) of Article 34 I1 ereof, or if a11 appeal is made but the deposit prescribed in paragraph (b) of said Article 34 is 11ot made, the tax assessed sl1all beco1ne fi 11 al and concl11sive a11d s11bject to immediate exec11tion. CONSOLlDATION NOTE A111d. 27 /1 (1967) P. 254 Art. 6.
36. All other provisions of the law, wluch are applied i11 cases of appeal or execution proceedi11 gs concerning assessment a11 d collectio11 of i11co111e tax, sl1 all be applied also in cases of appeal and exect1tio11 proceeding concerni11g tl1e assess ment and co]lectjo11 of tl1e tax 011 goods ma1111factured locally, of tl1e t11rnover tax and of the tax on constr11ction work. PENALTIES 37. Persons who fail to pay the tax 011 goods ma11ufactured locally or tl1e turn over tax or the tax on constr11ction work witl:un the periods specified in Articles 14, 20 and 25 hereof shall be liable to pay, in additio11 to the tax as finally assessed, a penalty equal to two percent (2%) of the an1ou11 t of tax wl1 ich is in default, in respect of every thirty (30) days or part thereof for wlucl1 payn1ent of the tax is i11 default, subject to a maxim uni penalty of fifty percent ( 50%) of the tax in default. The penalty shall accrue fron1 the end of the periods within which the tax should have beer1 paid, and shall be deemed to be a part of the tax due a11d shall be recovered accord ingly. OFFENCES 38. (a) Any taxpayer ,vl1 o violates a11 y of �he provisions of this Proclamation shall be punishable in accordance with the Penal Code of � 957. . (b) No ptinishnient iinposed p11rsuant to par�grapb (a) �f this Article 38 shall extinguish or abate taxes or penalties d11e. CROSS REFERENCE Pen. C., 16/Ex.l (1957) Arts. 354, 356, 360.
E C N A IN F F O R E T IS IN M E H T POWERS O F 39. The Ministe r of FioaiJce is hereby authorized to issue reg11latio�s: tion taxes ac ns of tra t en ym pa e th om fr ns io (a) intro pr duc1ng · furth er exem · • - 573 -
t
lt7-ll7,18
OlNS@l11DA'FI-E> LA-WS OF E'EHIOPIA
�n acdaitiom te tiu,se metti@11e€1 in Articles 0, 10,_ 18 and 2'6 he-11e0f ':' cases where it n1ay be necessaliy for the eco11om1c developm eAit af 'thinC Empire; awd . . . (b) fo.r the better carrying out of the prov1s1ons oi this Proclamation. l
TRA� S[l'ORY PROVISlONS i li bill tf of clllil:Y pe_rso.Jil or body l adrnept shail 40. N·othing j111 this Pli'oclam.ation � i to p&y pre"liO·ll1.S Fe<!le.FaJl ttainsaotloD :ta,;<.es 0111 go@ds .Dlill1p>Ort� <d an.di exported and 0 _ 0 � oocls m.anufaotufed locally un_cler en.a.otments wm©h were rn iftorGe p.r1or to the entry into forGe @f this P·roclamation.
EFFECTIVE DATE 41. This Procla111ation shall com� into force thirty (30) days from the date or its publication in the Negarit Gazeta. Done at Addis Ababa this 14th cay of July, 1963. 23/8 (1964) L. 282* REGULATIONS ISSUED PURSUANT TO THE TRANSACTION TAXES PROCLAMATION, 1963 1. These Regulatio11s are isst1ed by the 1'1inister of Finance pursuant to au thority vested in l1im by Article 39 of' the Transactio11 Taxes Proclamatio11, 1963 (Proclamation No. 205 of 1963, hereinafter ref'erred to as tl1e ''ProclruJ1ation''). 2. This Legal Notice may be cited as the ''Tra.11sactio11 Taxes Regulations, 1964''. 3. The term ''tariff'' as 11sed it1 these R.egtJlatio11s rnea11s cL1stoms taritr as p11blished 11nder Legal Notice No. 153 of 1951, as a111e11ded.
Tax Authority 4. Purs11ant to the provisions of Article 31 of tl1e Procla111atio11, the imple mentation and enforcement of the Proclamatio11 and Reg11latio11s t1sed thereunder regarding collection of: (a) tax on goods man11fact11red locallv. '· (b) t11rnover tax; and (c) tax on construction work; are hereby vested in the Jncon1e Tax A11tl1ority (herei11�lfter called ''Tax Authority''). Tax on Goods Imported and Exported
5. In addition to the . goods specified in Article 6 of the Proclan1atjon tl1�::� _ shall be free of the transact_ion tax on �oods imp orted,, goods fal]ing ttnder the folio ing Articles of the Tariff: *INTRODl'CTORY FOOTNOTE . 71 Ani� . 27/2 (19 67) L.329, 27/10 (1968) L.336, 2 8/12 (1969) L. 28/17 (1969) c. as co rr. 365 (Amharic only,.
- 574 -
TAXES 0TI-IER TI-IAN CUSTOMS
17-18
1,44, 45 , 71114(A), 168(a), 184(a), 185,189, 194(,t),209, 215,220,222, 223(a),227. 22 8,229 (a),230(e),232 (a), 252 (a),253 (a), 255 (b), 296, 297 (,1), 298, 308, 3 I 8, 335: 358,384 (a) (i), 390 (a), 396 (a), 424, 428, 430. In additio11 all petroleun1 prodt1cts a11d lubrica11ts taxable u11der the P . etroleum Prod ucts anc� Lt1bricants Excise Tax Procla1patio11, 1967 wl1etl1er exen1pted or not from the excise tax chargeable t111der that Proclamatio11. CONSOLJDATION NOTE Arne/. 27/2 (1967) L. 329 Art. 3, 27/10 (1968) L. 336 Art. 3, 28/12 (1969) L.36.5 Art. 3 as corr. 28/17 (1969) C. 71 (Amharic only).
CROSS REFERENCE Petroleun1 Products and Lubricants Excise Tax Proclan1ation, 26/14 (1967) P. 249, 17 Consol. L. Eth. 6. Customs Revised Jn1port and Export Regulations, 10/8 (1951) L.153, 16 Conso!. .lJ . Eth. 7 •
6. In cases me11tio11ed in Article 82 of tl1e Ct1stoms Proclamation, 19 5 5 (Pro clamation No. 1 45 of 1955 ) goods imported. which according to tl1e orcler of tl1e Minister of Finance published in the Negarit Gctzeta may be adm.itted 011 a temporary basis without payment of customs duty shall be also exen1pted, on the san1e te1n porary basis, from the payme11t of the transactio11 tax 011 goods imported. Tax on Goods Manufactured Locally
7. Ded11ctions of the an1ou11ts of excise taxes n1entioned i11 Articl.e 11 (b) (ii) of the Proclamatio11 sl1all be considered as allo\vable 011ly in tl1e cases wl1ere said amounts had been paid for any of the followi11g taxes: (a) excise tax 011 alcohol; (b) excise tax 011 sugar, cotto11 goods· or yar11; (c) excise tax on salt; (d) excise.. tax or regie tax· 011 tobacco leaf, tobacco prod11cts, n1tttcbes, cigarette paper or. pocket .ligh�ers. . 8. In addition to the goods specified in Articl� IO of the Proclamation, the followin g goods are hereby exen' 1pted .fron1 the tax on goods ma11t1fact11red locally: (a) _(b ) (c) (d) (e)
ice· coffee, grajn or seeds hulled, cl�aned oi· ·graded; . . 1 , tl1e eof rt pa tailored, but 110t ready-made suits and dresse·s or . · ' es; tyr ded rea ret recapped or n1 leu tro tl1e Pe r de le .un ab tax nts ica 1br Lt d an ts uc od Pr eum II P t I e ro a . · · wh ether . ex7 11, !96 10 at 1 am oc Pr x Ta e , cis Ex s nt ica r b. Lu d ts an uc od Pr n. 1o 1�t lan oc at Pr tl1 r de u11 �e a� ge ar ch x ta e cis ex e th n1 empted or 119t fro
-· ·CONSOLIDATION NOTE Amd. 27/2 (1967) L.329 Art. 3. . E C N E R E F E R S S CRO . P. 249, 17 Consol. 7) 96 (1 /14 26 , on ati ]�m oc Pr x Ta e cis Ex s Petroleum Products and Lubricant l. Etlz. 7.
· . of the le ic 13 rt A of ns io is ov pr e th h it w ce d n 9. For the purposes of C?D?P ia all y sh all loc ed tur fac nu ma ds oo g on tax Proclam ation, manufacturers l1ab]e to pay keep the following books of account: - 575 -
\
1!-18 (a) d.ail, qtecoras of pr@dl!lcti:� s11owing kine_ an d qt�'.an�rty @f go@d� Pro s am g.rr lo , , etG.); s li n1 ze do s, ce p.e as h e . su it, un er <ft (p, ce cl1.i (b) d.aily records of sales and other transfers of gooas subject to the (21a Yy l al1 : l@€ ing ow Fe0 sh t0 fac ntu rna s od go memit ef the tax om go@ds sold @r @th,erwise tra�sfeirted (J;>eF of ��) kimd an_<d qaantity i _ unit)· (11) sale pr1ce pe.F l!l!m rt; (iii) the amount of gross � evemues (withot1t any dedt1ctio11s) from sale s ; cils and other tra.nsfers oj goo (iv) the amounts of the tax on goo€11s m1anm�ctured locally, if such tax Iiia. s been inoll!lded by the manufacturer 1n gross revenu es; (v) the amount of a1ny e1cise taxes enumerated in Article 7 of these Regulations, if im£lnded in the amount of gross r:evenues; (c) daily records shGwin.g md ancd <qualiltities (per unit) of: (i) goods exported, if any; and (ii) goods sold or otherwise transferred free of tax with indication to wbon1 such goods had bee11 sold or otherwise transferred; the name a11d a.ddress of the buyer shall be indicated; (d) daily records of the amotnts of ct1stoms duty and transaction tax on goods imported paid by ihe manufacturer for the materials imported by l1in1 for tl1e t1se i11 n1a11t1factt1ring processes or a.s integral part of the final prodt1cts. At the et1d of each month, eacl1 manufacturer shall n1ake an inventory of the manufactured goods remaining in sto-�l<" and shall keep ··records of such stock. All the records and acco1111ts mentioned. abo,;e i11 this Article 9 shall be main tainecl in st1ch a man11er as to permit the immediate pre1)aration of the mo11thly stateme11ts prescribed i11 A1·ticle 11 of tl1ese Reg11lations. 10. Whe11 goods, in addition to l:eing sold directly ·by tl1e n1anufacturer fron1 his factory or main offices, are sold by l1im tl1rough the 111edium of' sub-offices, branches, co.n1missio11 age11ts or other agencies acti11 g 011 his behalf, l1e sl1all ensure that all st1ch agencies maintain tl1e accou11ts prescribed in Lt\.rticle 9 of these Regu�a tions and that they inform him of the n1ontl1ly fig11res i11 time in order to allow him to prodt1ce them in his monthly stateme11ts (retur11s) \\ ithi11 the period of thirty �30 ) days from the end of each month, as prescribed in Article 14 of the Proclamat1on. l I. (a) Manufacturers liable to 1ay tl1e tax 011 goocls 111an11fact11red local1Y shall st1bmit to the Tax AL1thority, within thirty (30) days fro111 the eod of each month, the followi11g 1nonthly sta.te111e11ts: Statement A - sl1owing th� qt1antit� of goods IJroclticed a11d sold or othef\\'Lse transferred 111 the m.c11th for which the tax sliaJl be paid, a11d the qt1a11tity of goods ren1ai11ing i11 stoclc a. t t11e e11d of tl1e month; aod Statement B - showing the qt1antity of goods subject to the tax sold or otherwise tr�nsferred in the months for wl1icl1 tl1e tax shall be paid, the::!� price, the monthly t)tals of gross revenues from sales or 0 tran�f�rs, and. the monthly totals of taxes which, purs 11ant to:; _ provision� of Artic le 11 (b) of the Proclamation shall be allo as deduction from gr:>ss reventtes in calculatio of tl1e tax. n 1
•
- 576 -
I
TAXES OTHER TI-IAN CUSTOMS
17-18
(b) Tl1e statements mentioned above i11 paragrapl1 (a) of t11 is Article 11 sha]l be preparecl i 1 1 tl1e form set ot1t i11 tl1e Sched 11les 1 a11d 2 attached l1ereto and shall be st 1bmitted to the Tax A11tl1ority not later tl1an thirty (30) days fron1 the end of eacl1 n1011th, as ]Jrescribecl in Article 14 of tl1e Proclamation.
12. All entries i11 the state111e11ts me11tio11 ed in Article 11 of these Regulations shall be s11pported by proper vo11chers. 13. Notwithsta11ding the provisions of Artic]es 9 a11d 11 of these Regi.1lations the Tax A11thority n1ay, for good reaso11 , permit or direct a ma1111factt1rer to keep books of account or records or mo11tl1ly statements i11 any other appropriate form. 14. The acco11nti11g books a11d records, copies of monthly statements and all vouchers, documents, papers, etc., concerning tl1e reckoning of tl1e tax shall be kept by manufacturers avai]able for ins J1 ection b y tl1e Tax A11thority for three (3) years from the end of the n1ontl1 for 'A1hicl1 tl1e tax was d11 e. 15. (a) Monthly an1ou11ts of the tax on goods man11factured locally shall be calc11lated in accorda11ce \Vith tl1 e provisio11s of Article 1 1 of the Pro clamation i11 the f ollowi 11g n1anner: (1) From gross reven11es from sales without any ded1 1ctions; the f ollo\v ing taxes shall be deducted: (i) tax on goods ma111 1fact1 1red locally if i11cl1 1ded in gross revent 1es; (ii) amot1nts of a11y of excise taxes enu1nerated in f\rticle 7 l1 ereof, if incl11ded in gross revenues, and (iii) amo1 1nts of c11stoms d1 1ty and transaction tax on imported materials n1entioned in Article 11 (b) (i) of tl1e Proclamation }Jaid by tl1e ma11ufacturer in the month. for which the tax on goods 111an11factured locally shall be paid; (2) in the mo1.1tl1s i11 ,vhich tl1e manufacturer was selling not only goods stibject to the payn1ent of the t�x on goods manufactured locally, btit also goods exe�pted from t_h�s ta"<, the taxable amo1 1nt calculat ed in accordance with the prov1s1ons of sub-paragraph (1) of para graph (a) of this Article 15 shall be increase? by the am?unts of customs duty and transaction ta� 011 goo�s 1 m�orted _which sha�l be attributed to the cost of materials. mentioned 1n Article 11 (b) (1) of the Procla,matio11 used for prodt1 ction of goods exempted from the tax. (b) Dedtictions from gross revenue f ron1 sales of_ the amo�nts o� custo_ms ed 1n Ar t1c e1 on nt1 n1e +: 0 n tax on imported mater 1•a]s duty and transacu · ·m e nu d th on up 1 e o? 1t nd co be all sl1 � 11 (b) (i) of the Proclamation . s on ati ry · lan cto exp · isfa sat of y r1t ho Ai1t x Ta he t • t 0 IOll facturer's SUb DllSS regarding th e following questions: . · · por ted h e uses in the n1a11ufacturmg process or · 1ro s I 1a ter (1) wh at ma · ' t uc d o pr l na fi e th of t ar p al gr te as an in . . . . . .. it a n un of tio uc od r pr fo ed us e ar s ial er at m h e su f (11) what qua11t1t1es o of particular goods; an d
- 577 -
1·1-18
CoN·SOLlDATED
LAWS OF ETH1IO.PIA
(iii) what amotints (in average) of customs duty and transaction t on goods in1 ported pa!a?le by manufacture�s for materials me�� tioned j 11 Article I 1 (�) (1) of the_ Proclam�t1on shall be attri bute� to the cost of prod11ction of a unit of particular goods. (c) E.xplanations me11tioned i11 paragraph (b) of �his Article 15 sliall be supported by such evidence as the Tax Authority may conside r appro priate ai1d necessary. They shall be renewed by �a11ufacturers every year, in the first quarter of 111e ye_ar and whenever 1.t may be considere d as necessary by the Tax AJthorrt:y. (d) Until the requirements of µiragraphs (b) a11d (c) of this Article 15 are fulfilled by the manu·facturer the Tax At1thority may �uspend the de ductio11s of cu.stoms duty aad transaction tax on goods imported pay able on materials mentioned in Article 11 (b) (i) of the Proclan 1ation and the n1anufacturer shall be liable to pay the tax 011 goods manu factured. locally, without such deductio11s. (e) T11e Tax Authority and tl1e n1a1111fact11rer n1a)' agree that the adjust111ents of taxable amount ::l11 which the tax on goods man11fach1red locally sl1all be imposed d11e to: (i) deductio11s from gross 1·even11es of the an1ounts mentio11ed in paragraph (a) (1) (iii) of this Article 15, and (ii) increase of taxable an1)unt 111e11tioned in paragraph (a) (2) of tl1is Article 15, sl1all be ma.de, not every mo11th, but withi11 a certain longer period which, ho,vever, sl1all not exceed 011e (I) year. ·No adjustments shall be made in respect of the an1ounts of ct1stoms d11tJ, and transaction tax 011 goods in1ported paid by the manu facturer before tl1e date of comi11g into force of tl1e Proclamation. Tuir!lover Tax
16. With exceptions n1entioned in Article 18 of the Proclamatio11 a11d Article 19 of these Regulations, every trader shall pay the t11r110,;er ta.x 011 all sales 1nade by him, irrespective of whether the sales of the same goods when made by persons from which he purchased the goods hac also been subject to the payment of the tax, or not. 17. Importers and local n1a11ufacturers 1ne11tioi1ed in paragra1)l1 (a) and (b)_ of AI·ticle 18 of the Proclamation shall re liable to keep proper vo11cl1ers indicating the name and address and number of licence of tl1e tr,tder to whom tl1ey sold �he goods for further sales and subn1it them to the tax a11tl1ority sim11lta11eo11sly ,vitl1 their quarterly returns. CONSOLIDATION NOTE A1nd. 28/12 (1969) L. 365 Art. 4.
a a in p :ili,: 18. Tl1e terms ''whole?ale operations'' and ''vvholesale sales'' as 11sed haVJ as red graphs (a) and (b) of Article 18 of tl1e Proclamatio11 s11all be co11side the same meaning. l sba re tl1e 19. In addition to sales mentioned :n Article 18 of tlie Proclamation i 6 4 4 4 be free of the turnover tax sales of goo?s e 11ume.rated j11 Articles 32, 33 , 3 w, 43 8, 43 9, 440, 442, 444, 445 and 446 ol the Tariff, whether expo·rted or sold
ii!�
-578 -
TAXES 0TI-IEH. THAN CUSTOMS
17-18
tbe En1pire, and all Petroleun1 Prodl1cts a11d Ll1bricants taxable linder the Petroleum Products and_ Ll1 brica11ts Excise Tax Proclan1 ation, J 967 wl1etl1er exempted or not from the excise tax chargeable under tl1at Proclan1ation. CONSOLIDATION NOTE .1f111rl. 27/2 (1967) L. 329 Art. 3. CROSS REFERENCE Petroleun1 Products and Lubricants Excise Tax Proclamation, 26/14 (1967) P. 249, 17 Consol. . l.Eth. 7.
20. Sales of goods exported otl1er tl1a11 n1entioned i11 Article 19 l1ereof sl1all be _ roduce considere� as free of tl1e turnover tax 011ly if made by exporter wl10 can' p prl)per ev1de11ce tl1at t l1e goods had been exported by l1im.
21. Traders liable to keep boolcs of account and records for the JJurposes of the payment of turnover tax shall keep daily records of sales, separately for goods sub ject to the p,1yment of this tax a11d separately for goods exe111pted from the tax. 22. (a) Quarterly returns mentioned i11 paragraph (b) of Article 20 of the Pro clamatio11 sl1a.Jl be prepared i11 tl1e form set out in the Scl1edt1le 3 attached to tl1rse Regt1lations. (b) Traders keeping separate accounts for variot1s kinds of sales sl1all specify all sales subject to the payn1e11t of tl1e turnover tax according to the accolln ts and shall indicate in the quarterly returns the 11un1ber of the accol1nt or of the corresponding page i11 tl1e book of accot1nt.
23. \VJ1et1eve1· the tt1r11over tax shall be imposed by estin1atio11, st1cl1 estimation shall be n1,tde \Vith the l1 elp of tl1e same Advisory Committees which assist tl1e Tax Authority to make estimatio11s for t]1 e purposes of assessn1ent of i11come tax.
24. Notwithstanding tl1e provisio11s of Article 22 hereof, the Tax Authority n1ay for good reason permit or direct a trader liable to pay tl1e tl1rnover tax to keep l1is records and to prepare 11is n1onthly returns i11 a11y other appropriate forn1.
25. The provisio1Js of Article 12 and 14 of tl1ese Regulations shall be considered as applicable also to traders liable to pay the turnover tax. 26. (a) The first payment of the turno_ve: tax . after comi11g into force of the Proclamation shall be made w1th1n thirty (30) da)1S from the e11d of tl1e mo11th of Hedar 1956 E.C., or, by persons who are allowed by tl1e "fax ;-\uthority to keep their books of account according to the Gregorian Calendar year, within thirty (30) days from the e�cl o� December 1963 and slia]l cover the period from tl1e elate of coming into force of the Proc]an1 ation. s f1:om day ) �ty (30 �hi hin wit de ma be ll sha tax tl1e of s ent ym pa b er ) rth Fu ( the end of each quarter of tl1e calendar year, Eth1o_p1an or Gr�gor1an, as the case may be. •
I
Tax on Construction Work
nts ou the of ds am or rec ily da ep ke to ble lia be all sh rs to c ra t 1 27. (a) B ·1d·111g co ct s . bje rk su \-Vo on cti tru ns co of n io ut ec ex r fo d ive ce re t nl 1es o fwgross reve it to bm to le st1 ab be to as r 11e an m ch su · • in x ta e th f to the payment o - 579 -
m the 0aa of each m s filio <day · (30 rty thi � hjB ,vit ' ity r fhe Tax Autho 1 0ut h . tae ?f Pr 27 1cle ecl Ar1! io mat � monthl)' r��rms mentio.ned in :n in th� . forn:i sb_ow11 111 tl1 e Sohedillle 4 a1ttacl1ed to these llegl!llat1ons. (b) Such records shall be k.J ep1 separately for eacl1 of t11e construetio n Works subject to the paymeU t of the tax. 28. (a) Jn Gase& where all costs e·f co.ast1ructi@n works are covered by the amo unts paid t© 01�itding c0n1!Faota.rs pe1r�ons io·r w'.horm d:wl1e _constructio n work is executed are 11ot Iii.able t::> subiru.t. to tihe Tax A11tl1or1ty separate retlirns regarding paymeets f OF co,ns. true· t10111 w@rk. (b) They shall be lia.ble, h@�ever, (i) to inf0rm th.e Tax Authority aeol!lt tlile date of the comme ncement of constrt1ction work and later abo11t the date of the termination of the work, not later than thirty (30) days from these dates; (ii) to give the Tax A11thority, at its req11est, name and addres s of building contractor or contractors exect1ti11g the construction work; (iii) to inform the Tax Autho1·ity at its reqt1est about th.e terms of the co11tract n1ade with bt1ildiog contractor or contractors; (iv) to keep records showi11 g the dates a11d tl1e amounts of all pay1nents n1 ade to bt1ildi11g coritractors for exect1tion of the v1ork so as to be able to give to tl1e Tax 1-\t1111 ority at its reqt1est ihe full list of such payments. In cases wl1ere the \Vork is executed by more than 011e contractor, tl1e a1nour1ts paid to each of tl1e contractors sha.11 be recorded separately. 29. In cases where tl1 e worlc is eiecuted, 11ot by bt1ilcli11g contractors, but by other persons, or wl1en it is executed partly by buildi11 g co11tractors and partly by otl1er 1Jersons, persons for ,vhon1 the work is exect1ted sl1all be liable to keep daily records of all an1 011ots spe11t for the execution of tl1e work, v1hich are not covered by the payme11ts made to buildi11g co11 tractors, so as to be able to s11bmit to the Tax Authority, witlun thirty (30) days from tl1e end of tl1e 1nontl1, montl1ly returns IJrepar ed in the form sl1own i11 the S:::l1edule 5 to these Regulations. . 30. Not\vithsta11di11 g the provisions of Article 27 througl1 29 of these Regula tions, the Tax Atrthority may f· or good reaso11 perm . it or direct persons liable to pa) � tl1e tax on co11struction work (building contractors or perso 11s for who111 tl1e \Vo�k is executed as the �ase 1nay be) to keep records or to r>repare 111011thly returns 10 any other appropriate forn1 tha11 prescribed j11 said Articles 27 thro11gl1 29. 31. !he provisions of Artic�es 12 and 14 of tl1 ese Regtilations s11 all be co11sidered as applicable also to perso11s liable tc JJay tax on constr11ction works. 32. In cases where tl1e valuation of the cost of a constrtiction work is to be made �y the Tax Authority for the pt1rposes ?f as�essi 11 g the tax b· y estimatio11, �uch val:: t1on shall be made by the Tax Authority \VIth the llelp of the same Advisory Co •. roittees w �o help the Tax A11thority i 1 estin1 ations nlade fo·r the purpose of assess ment of 111come tax. · g into 33 · (a) The flrst payment of the tax on co11 struction work after comul force of the Proclamation shall be 1nade wit 11 thlrty (30) day s fro J1l hi - 580 -
TAXES. 0TI-IER TI-IAN CUSTOMS
17-18
the end of tl1e montl1 of Masl<aram 1956 E.C., or, by persons who may be allowecl by tl1e Tax A11tl1ority to l<eep their records accordi 1 1g to the montl1s of the Gregorian Cale1 1dar year, withi 11 thirty (30) days fro1 11 the e11d of tl1e mo 11tl1 of September, 1963 and shall cover the period fron1 tl1e date of con1i 1 1g i11to force of tl1e Proclamation. (b) F11rther payn1e11ts shall be 1nade withi 1 1 tltirty (30) days from tl1e e11d of each mo11tl1. Repeal
34. The Locally Ma 1111 fact11red Goods Tra11saction Tax Regulations, 1956 (Legal Notice 204 of 1956) and the Locally Manufact11recl Goods Transaction Tax (Amend ment) Reg11lations, l 959 (Legal Notice 228 of 1960) are l1ereby repealed.
Effective Date 35. These Regt1lations shall con1e i11to force 1 1 pon the date of their publication in Negarit Gazeta.
l
- 581 -
TAX ON GOODS IVIANU-FACCURED LOCALLY SCHEDULE 1
� -4 �·
Statement A Kind of Units Goods
t�,
Monrh of ........................... 19 S 0 �
-Bd-.. 0
t1)
-�
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8 0 _g .9
Cl)
d ,B O d
·�
0
g ;:a '"O 0
8 ;9
� ..... d
.
Sales and Other Transfers (in t1nits)
•
Total of S.ales I Stock a.t t.he Total , Columns I e:nd of the and other (Columns 3&4 Goods sold or otl1er Goods Month Transfers (Cols. Goods I wise transferred on , 9 & 10} Total St1bject (in units) 6, 7 and 8) local Market Exported I lo tl1eTax Free of Tax
'
-
1
3
2
5
4
6
7
8
10
9
12
1 : 11
.
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n � � -�
I
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ta �
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0
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(1)
0.
Quantities of Goods Subject to the Tax So]d or Otherwise Transfer red in the Month (per unit)
w
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--- --------�-·- --·-·-
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00
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s
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--
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Amounts of Custo1ns Duties and Transaction Tax At tributable to Materials Im ported Used it1 Production of Goods Sold or Other\Vise Trans[erred in tl1e Month Free of Tax --- - - · - - --------·------ - - ----- -Amount 011 -.vl1ich tl1e Tax on Goods Manufactured Locally sl1all be In1posed (Col. 10 Plus Col. 11)
�
�
0 � � 0 < 0 ::,
Montllly Total of Deduc tions (Cols. 6, 7 & 8) Amount of Gross Revenue after Deductions (Col. 5 less Col. 9)
•
-.
:::I _, ..,
Montl1ly Total of the An1ounts paid by the .tYianufaclurer as Customs Duty a.nd Transaction Tax on Materials Imported for the Use in the Mant1factu ring Process
______________________ _ _ ___ _;_____ • _;_
1/)
---------
\0
I ....;;_
1/) ._]
Arnout1ls of Excise Taxes Deductiable fron1 Gross Revenues
---'· --
.
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Accounts the Tax on Goods Manufac tu.red Locally in c]uded in the Amou nts o f Gross Revenues
-.l
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p., ... 0. � p., .... c:: 0 ::s ::r >!.-cnO p, t:I o cn�::;:-,, 0. 111cn v,....._ 0
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sa:xv..L
-
� A 1' R E V 0 N TIJR SCODULE 3 to --· · ---• • -• . • . . --... . . . ... ... . ... .. . . .. ... . . ... . .... . . m o k r o ea e y a u r th te f r Q ax er 'J' o� um 'if e th of t en m ay P e th t t0 Sales of Goods subjec -
-
2
l
i
3
I
I
11
1e � §
11 Kind of Number of A/C arc Aee0RD.t in Items Goads Acceunt B·0ok Sold
5
4 aJ =
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ci:
ci: �
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I
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7
-�
Quar:te.ulf
Am.0unt
on which Turnover the Tax shaII Tax to be paia be paid (Col. 4 less Col. 5)
I
rl) rl)
0
f-t ·A ��
-
•
.
1 2
I
3 4 ,. .)
.
6 7 8
9 10 11
.
.
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13 14 15 16
.
17 18
.
19 20
7
To.als:
- 584-
I'
; ........ tJ ' 46 �-
c1'1'!!!f
-
TAX ON CONSTRUCTION WORK
00
SCHEDULE 4 Na.me and Address of Contractor
Month of ······--··················· 19 ......... 2
1
I
Items
Nan1e and Address of Person for wl1om tl1e work is executed
' o.�� 2�
·C § 15 O. . f-4 Place uu:3::�11) .c: .... of tl1e O.c:rno - c:: .......... \vork. .... 'o .!2 Q 0 �
11)
0 ..c:: 0 Q ...
:::> u �
....
8 ·=
....
...
en·- ... .0 =' c:l8C!) ....
r:n
5
4
3
11)
1/)
7
6
9
8
·---········-···---·----·- •
11
10
12
.
Total of Tax to be Date of Date of the Date of 0 Totals of Q� ... '-< Gross paid on 0 s-. tbe Con- Commen- 'o "O ·- 0 Actual 0 �-g 0 Gross Revenues Gross Reveco ='us:: ..... tract for cement � .....� .5 Revenues Tern1ina- 0 Q 11) 4) 0 received nues received Execution 0. already receicao..s.a in tl1e ....... tion of (ll�><-= ved in JJrevi- for the work of the A� of the ... '@�� ... the n1outl1 1nouth in �'cs the Work 0 Work Work ous Months in c£ in question question (-4 (ll V)
11)
�
- 3:
11)
.
1
.
2
r
v--,.
i5
.
3 r:n U,l
:::l E-<
00
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4
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-
5
6
Totals:
.
_____.______ --
_..,
�
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::.Ji,,,-
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.....
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-
..._.-.;.,_"•··-··� """...,-· -
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.."�.:::'"?.-!<&
�-�
C@NS@L.IDATE'D [l[JAWS OF ETHIOPIA
17-18 F
...
TAX ON COS"STRUCI'ION WORK
SCHEDULE 5
Name and Address of the person for whom 'the construction work is exec uted . .. .. . . . _..... .. .. . .... ... . .... .... .... ..... .. .................. .. ....... . . .. ,.. .. . . . ..
..
.. ..
.............. .. -......... .. .. .... . .... . ..... ........... .... .. ....... -.. . ..............�
Montih of........................._... 19 ...... Expenditure 'for Construction Work net covered by payments made to b1:1<ilcling contractors
Items
Date of the
Payment
for Expen diture
!I
Kind of expenditure covered by the payment
To whom the payment was made: (Name and address of the Persons)
I
Amottnt Paid
1 2 3 11
""T
5 6 7
8 9 10 11 12
13 14
15 16
17. 18
19 20 Totals Done a t Addis Ababa this 30th da\; f· · J o January, 1964. -586-
...
Tax to be paid on total of Monthly Payments
18-1
Sectio11 18
GOVERNMENT BORROWING 20/11 (1961) P. 172
A PROCLAMATION TO PROVIDE FOR 'l'Ol!: ISSUANCE OF GOVERNMENT BONDS CONQUERING LION OF ,.fl-IE TRIBE OF JUDAH l-IAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETIDOPIA WHEREAS,_ it !s �� convicti?n tl1at tl1 e developn1ent of a capital market . _ Our Emp re JU ufies e taking of action to f acilitate the issuance of go within � � � vernment bonds 111 which savmgs and capital n1ay b e i nvested with full security;
and
WHEREAS, tl1e issuance and sale of such gover11ment bo11ds would provide Our Government ,:vitl1 funds required for the fin ancing of tl1e furthe r develop ment of Our Empire; NOW, THEREFORE, in accordance \Vith Articles 34 and 88 of Our Revised Constitution, We approve th e resolutions of Our Senate and Chamber of D ep11ties an. d We l1ereby proclaim as follo\VS:
1. This Proclam ation may be cited as the ''Goverrunent Bonds Proclama tion, 1961''. 2. Our Minister of Finance is authorized to isst1e Government Bonds in an amount not to exceed thirty n1illion Etlliopian doll ars (Eth.$ 3 0,000 ,000). For the purposes of this Procla.ma tion, Govemme11t Boncls are written oblig ations to pay a fixed sum of money (the ''face value "), at a fixed time in the future (the "date of maturity''), issued simttltaneously as a. series. 3. Gove rnmen t Bonds issued here und er: (a) shall in no e vent bear a date of maturity m . ore tl1an ten (10) years from the date of issue; (b) shall be bearer bonds; that is, they shall be negotiated by simple transfer; (c) shall in no event bea r a rate of interest of more than six and one •half p ercent (6½%) p er annum; or, if said Bonds shall carry the r!ght to participate in premiu m drawings, the total aill:ount paya ble as mterest and/or premium shall i11 no event exceed six and one-half perce nt nd n tsta s the ou nd Bo the of all of e lu va a f the of m nu an r pe %) (6½ . �involved. ing of the particular seri es 4. Subject to the limita1ions se t forth in Article 3 .hereof, Gove�i_nent Bonds issued hereunder ma y ha ve all or som e of the followmg character1st1cs, as m.ay be decided by Our Minist er of Finance: ng different d ates of vi ha s, e ri se te ra pa s it d 11e � � (a) Said Bonds may be iss issue an d different cbar acte r1sucs. - 587 -
18-1,2
PIA O HI T E P O S W A L ED T A CONSOLID
s ere , int ya pa f le e rat � � i per ed � ry car � _ (b) Said Bonds m.ay �. _ per1od1c pt1bl1c d.raw1n s odical! ? for the d�: _ _ .to wl11c and/or the right to part1C1:pate_ 1n l1 11 en t pr eo sp re ums shall be th Wi1 s d r. o B· e os h ti termination of lJaid.. 1 e sam e � te of mat urit tl r bea all y ma es ser en � giv y a of ! (c) Bonds . _ .. _ 1ns1almen1ts m accord,111ce with a fixed pla or n of th�y may ma,ture m redemption. 5. GoveromBnt Bonds shall be legal investments for all pur·poses, including, without li,mitations, insurance, pensiJn and trust funds, �11 shall ?e a.ccepted for deposit as guarantees by any governmental ©r other pt1bl1c authority upon condi tions presoribed by Our Miruster of Finance. 6. Interest or 1premiums recei\P....d by itl1e. 11older of a11y Government Bond issued hereunder shall be exempt from inco1ne tax. 7. Interest, prenuums and principal not collected within ten (10) years from the date upon which payment tl1ereof falls dt1e sl1all be deemed forfeited to the State. 8. Our Minister of Finance is a1.1thorized to iss11e regt!latio11s for the carry ing out of this Proclamation. 9. This Proclama•tion shall come into force on tl1e date of its publication in t11e Nega1·it Gazeta. D·one at Addis Ababa tl1is 29th day of April, 1961. 22/19 (1963) L. 274* REGULATIONS ISSUED PURSUANT TO 'I'HB�: GOVERNMENT BONDS PROCLAMATION OF 1961 1. These Regulations are issued by the Mi11ister of Finance pursuant to authorily ,,ested in him by Article 8 of the Gover111nent Bonds Proclamation of 1961. 2. These Reg1.1lations ·may be cited as tl1e ''Pre1nit1 n1 Bonc1s Regulations, 1963''. 3. 1963 Premium Bonds shall be iss11ed in tl1e total iss11e val11e of dollars Eth. $ 4,000,000 in four series as fol.lows: (i) Series A consisting of Etl1. $ 40 ,000 botids of total isst 1e value of (1st 1963 , Febru,try 000 Eth. $_ 1,000 , with the date of iss1.1e of 8tl1 Yekat1t, 1955); of e valu (ii) Series B consisting of Eth. $40 ,000 boilds of total issue t (1s 3 196 Etll. $1,000,000 with t1te date of iss11e of 12tl1 October, Tekemt, 1956); of e valu (iii) Series C consisting of Etl1. $ 40,000 bonds of total issue l (lS 3 196 Eth.$1,000 ,000 with tl1e da.te o. f isst1e of lltl1 Nov.ember, Hedar, 1956); * INTROD"JCTORY FOOTNOTE
!mpl. anid. 22/20 (1963) P. 206.
- 588 -
GOVERl-HVlENT BORRO\VING
18-2
(iv) Series D consistin _g of Eth. $ 40,000 boncls of total issue val11e of Eth.$ 1,000 ,000 w1tl1 tl1e date of iss11e of lltl1 Decen1ber, 1963 (1st Tahsas, 1956). They sl1all ha,,e the followii1g characteristics: (a ) Their ctat� of mat11rity sl1all be five (5) years from tl1e date of issue; 110\.v·ever. if a Bond sl1all wj11 a pre111iu1n, it shall mature at that time; (b) they sl1all bear i11terest at tl1e rate of four percent (4%) per annum payable upon tl1e da ,te of 111at11rity; (c) thei.r original iss11e va]11e sl1all be Etl1.$ 25 .......... each. (d) tl1ey sl1all be n11111bered consecutively for each of the fo11r series starting with 00,000 and ending \Vitl1 39,999; (e) tl1ey shall be bearer bonds; (f) they shall bear U1e facsi1nile signature of the Minister of Finance and tl1e Tl1easurer General of the Imperial Ethiopian Government; (g) tl1ey shall be entitled to particLpate in premi11m drawings as described
in Article 4 hereof;
(h) they shall be printed in both Amharic and English and shall be in such form as the Minister of Finance shall determine. 4. (a) All non-mat11red 1963 Series A Premium Bonds shall participate in ten (10) semi-annual premium dra\vings to be held on 1st Meskerem and 1st Megabit of each year, beginning with 1st Meskerem, 1956. (b) All non-matured 1963 Series B Pre1nium Bonds shall participate in ten (10) semi-a1mual premiun1 drawings to be held on 1st Miazia and 1st Tekemt of eac]1 year begimting with 1st Miazia, 195 6. (c) All non-n1atured 1963 Series C Premium Bonds shall participate in ten (10) semi-annual premium drawings to be held on 1st Ginbot and 1st Hedar of each year, beginning with 1st Ginbot, 1956. (d) All non-matured 1963 Series D Premiun1 Bonds shall participate in ten (10) se1ni-ann11al premium drawings to be held on 1st Sene and 1st Tahsas of each year, beginni11g with 1st Sene, 1956. (e) The 11umber and amount of premiums to be drawn at each semi-anntial drav;ing for each of tl1e four series shall be as follows: l premium of Eth. $ 5,000.2 premiums of Eth.$ 1,000.- eacl1 4 premiums of Eth.$ 500.- each 20 premiums of Eth.$ 100.- eacl1 60 premiums of Eth.$ 25.- each , 500. .$ 12 th of E e lu l va ta to a o'f s m iu m · · re p for a totaI of e1·g11tY seven - 5 89-
J P lO A H T F E O S W A L ID TE A ID L O S N o C
5. The National �ank of Btil1iopia is hereby desi�ated as fi�ca l age nt � retmu 1�6� p � tJ�le g � bouds ma�a the Minister of Finance and shall 1tn accord ; , an� �rith arrangements to be concluded with said Mimster of f'm1ance. CONSOLJDATION NOTE L'. i. o l. Etl on$ 2, 4•1 15 i� h desi gna ted (wh 12, . Art � 206 P. 63) (19 d. 20 ani 22/ Imp. · _ _ iopian Governm.eat Eth l eria Imp 1.nste ad of the the National B.au: as th.e fiscal agent for :l1e State Ba:nk of Ethiopia.
6. Tl1ese Re,gulations �ball co1ne mto force on the date of their publication in the Negarit Gazetci. Done at Addis Ababa this 20th day of July, 1963. 27 /9 (1968) L. 334 REGULATIONS ISSUED PURSUANT TO 'ffiE GOVERNMENT BONDS PROCLAMATION OF 1961 1. These Regulations are iss11ed by the Minister of Finance pursuant to authority vested in l1irn by Article 8 of tl1e Govern111e11t Bo11ds Procla1nation of 1961. 2. Tl1ese Regulations may be eited as the ''Premium Bonds Regulations, 1968''. 3. 1968 Premium Bonds sl1al] be isst1ed in th.e total issue value of Eth. $4,000.000 in four series as follows: (i) Series E. consisting of 40,000 bo11ds of total jssue value of
Eth. $1,000,00 0 with. tl1e date of iss11e of 9th February 1968 (1st Yekatit 1960);
(ii) Series F. consisting oJ 40 ,00 0 bonds of total issue value of Eth. $1,000,000 with tl1e elate of issue of 12th Octobe r 1968 (1st Tekemt 1961); (iii) Se1ies G. co11sisting o:- 40 ,000 bonds o.f t·ota1. 1s · sue value of Eh t . $1,000 ,000 vvitl1 the date of issue of 11th November 1 968 (1st Hedar 1961); (iv) Series H. consisting o: 40,0 00 'boncls of total issue value 0� Eth• $l,OOO,OOO witl1 tlte date of isst1e of 11th Decemb er 196 (1st Tahsas 1961). They s�all have the followi11g charac teristics: . . e (a) Therr dat� of maturity shall be 1 f da te ( ar fiv e th m 5) e · fr o ye s o tIII �le'., however, if a Bond shall win a pre1niun1, it shall mature at that - 590 -
GOVERNMENT BORROWING
18-3
(b) They shall bear interest at tl1c rate of four per cent (4%) per an11um payable upon the date of n1att1rit),; (c) Their original issue value sl1all be Etl1. $25.- eacl1 ; (d) They shall be numbered consect1tively for each of tl1e four Series, starting with 00,000 a11d e11di11g vvith 39,999; (e) Tl1ey shall be bearer bonds; (f) They shall bear tl1e facsi111ile signatures of the Mu1ister of Finance and the Treasurer-Ge11eral of tl1e In1peri.al Ethiopian Government; (g) They shall be entitled to participate in permium drawings as described
in Article 4 hereof; (h) They slJall be printed in both Anl11aric and Englis]1 and shall be in such form as the Minister of Finance shall determine.
4. (a) All 11on-matured 1968 Series E. Premit1n1 Bonds shall participate in ten (10) semi-annual premium drawings to be held on 1st Meskerem and 1st lvlegabit of each year, beginning with 1st Megabit, 1960. (b) All non-matured 1968 Series F. Premit1n1 Bonds shall ,participate in ten (10) semi-annual premium drawi11gs to be held on 1st Miazia and 1st Tekemt of each year beginning with 1st Miazia, 1961. (c) All non-mat11red 1968 Series G. Premium Bonds shall ,participate in ten (10) semi-an11ual premium drawings to be held on 1st Ginbot and 1st Heda.r of each year, beginning with 1st Ginbot, 1961. (d) All non-matured 1968 Series H. Premium Bonds shall participate in ten (10) semi-ann11al premium drawings to be held on 1st Sene and 1st Tahsas of each year, beginning witl1 1st Sene, 1961. (e) The number and amount of premiums to be drawn at each semi-annual drawing for each of tl1e four Series shall be as follows: 1 p�emiun1
of Eth. $ 5,000.-
2 premiums of Eth. $1,000.- each 3 premiu1ns of Eth. $ 500.- each 20 premiums of Eth. $ 100.- each 6 0 premiums of Eth. $ 25.- each . . n 2, 50 0.$1 pia of hio Et lue va al tot of a s ium em pr 87 of al for. a tot 5. The National Bank of Ethiopia is •hereby designated as Fis� al Agent for _ the Minister of Finance 811 d shall manage t�e 196� Prem1u Bonds 1n accordance � _ with arran .gements to be concluded with said Mm1ster of F1nance. 6. These Regulations sJ1all come into force on the date of their publication in the Negarit Gazeta. Done at Addis Ababa.· this 7th day of February, 1968. - 591 -
18-4
CoNSOLIDA�ED LAWS OF ETffl@PIA
22/ 19 (1965) L. 275* REGt:L.ATIONS ISSUED PURSUANT TO THE GOVE.RNMENT BONDS PROCLAMATION OF 1961 1. rfhese Regulations a.re issued by rl1e Minis�er of Finance pursuant to authority vested in him by Articl,e 8 of the Go,1erllln1e11t Bonds Proclamation of 1961� 2. These Regula.tiens m.ay be cited as the ''Savings Bonds Regulations, 1963". 3. Savings Bonds of 1963 shall be issued in the total principal face value of Eth. $6,000,000 and sl1all have the followi11g characteristics: (a) their date of issue shall be 8tl1 February, 1963, (1st Yekatit, 1955); (b) their da.te of maturity sl1Ell be 7th February, 1973, (30th Tir, 1965); (c) they shall bear i11terest at the rate of six _and one-half percent (6½%); per annu1n fro111 tl1e date of iss11e, payable semi-ann11a.lly in arrears on the last days ol tl1e Ethiopian 1nontbs of Ha_m le and Tir each year; (d) they shall be issued in , denomination of one l1unclred (100) Ethiopian
dollars;
(e) they shall be nl1mbered cc11secutively; (f) they shall be coupon Bards; (g) they shall be bearer Bonds; (h) they shall bear the facsi11ile sig11a.tt1res of tl1e Minister of Finan ce and the Treasure-General of the I111perial Etl1iopian Government: (i) they shall be printed in ooth An1l1aric a11d Englis11 a11d shall be in such form as the Minister of Fin,111ce shall detern1i11e. CONSOLl.DA�J�I ON 1\f Ol'J:, Corr. 23 /24 (1964) C. 56 (Aml1aric only).
4. Interest �hall be payab �e Sc1ni-a1111ually upo11 prese11tatio11 of the relevant coupon to the Fiscal Agent designated i11 JA.rticle 5 ·hereof. en.t Ag al 5 Th� .National . Bau·k of Ethiopi,1 is hereby desig11ated as Fisc for the �1ruster of F1na11ce ,1nd sl1all n1,t11,Lge the 1963 sa,,irigs Bo11ds in accor dance with arrangements to be co11cltcled witl1 said Minister of Finance.
*INTRODUCTORY FOOTNOT E Corr. 23 /24 (1964) C. 56 (Amharic only); imp/ . amd. 22/20 (1963) P . 206.
- 592 -
•
,·
GOVERNMENT BORROWING
18-4,5
CONSOLIDATION NOTE a111d. 22/20 (1 ?6 �) P. 206 Art. 12, 15 Consol. L. Eth. 4-12, (which designates the National Bank of Eth1op1a as tl1e fiscal agent for the Imperial Ethiopian Government instead of tl1e State Bank of Etl1iopia). !11 �p/.
6. Thes� Regulations shall come into force on the date of their publicatio n Negarzt Gazeta. in the Done at Addis Ababa this 20th day of July, 1963. 23/24 (1964) L. 294
REGULATIONS ISSUED PURSUANT TO 1'HE GOVERNMENT BONDS PROCLAMATION OF 1961 1. These Regulations are issued by the Minister of Finance pursuant to authority vested in mm by Article 8 of the Government Bonds Proclamation of 1961. 2. These Regulations may be cited as the ''Savings Bonds Regulations, 1964". 3. Savings Bonds of 1964 shall be issued in the total principal face value of Eth. $10,000,000 and sl1all have the following characteristics: (a) their date of issue shall be 11th September, 1964. (1st Meskerem 1957); (b) their date of maturity sl1all be 10th September, 1974 (5th Pagume 1966); (c) they shall bear interest at the rate of six and one-half percent (6 1 /2 %) per annum from the date of issue, payable semi-annually in arrears on the last days of the Ethiopian months of Yekatit and Pagume each year; (d) they shall be issued in denomination of one hundred (100) Ethiopian dollars; (e) they shall be numbered consecuctively; (f) they shall be coupon bonds; (g) They shall be bearer bonds; (h) they shall bear the facsimile signatu� e of t�e �ster of Fin ce and � the Treasurer-General of the Imperial Ethiopian Government, (i) they shall be printed in both � haric and Engli�h and shall be in _ such form as the Miruster of Fmance shall deternune.
- 593 _..:
CoNSOJJfflATml LA'WS ti iBTH'1©.PIA ,
. :th ti nt ese pr lly ©n ua up on ati nft i-a sem o ble ya pa e re1cvan 4 · Interest shall be · t eo h ic e ei . f 5 rt I · A 1 . n 1 · ed · at sign de nt ge A coupon to the Fiscal <i e _ate iga eby des her as is F ta iop Eth s , i of :lk B00 al .Agent . al tlon Na1 e Th 5. o r <i) 4 196 mg the Sav e nds nag Bo ma � e ll sha in and e anc Fin of ac the Minister r ce r ste of ini M id Finance. sa th wi ed lud nc co be to nts me ge with arran 6. These R.egola.tions s1hall come into force 0n the date of tneir public ation in the Negarit Gazeta. Done at Addis Ababa, this 21st day pf August, 19�.. 27/22 (1968) L. 342 REGULATIOINS �UED .PURSUANT TO 'fDE GOVERNMENT BONDS PROCLAMATION OF 1961 ,
,
1. These Regulations are issued by the Minister of Finance pursua nt to authority vested in him by Article B of tl1e Govern.ment Bonds· Proclamation of 1961. 2. These Regulations may be �ited as the ''Savings Bonds Regulations, 1968.''
3. Savings Bonds of 1968 shall be issued in the total principal face value of Eth. $6,000,000 and shall have the following characteristics: (a) their date of issue shall be 11th September 1968 (1st Meskerem 1961): (b) their d.ate of maturity shall be 10th September 1978 (5th Pagume 1970); (c) they shall bear interest at the rate of six and one half percent (6 1 /2 %) per anntun from the date of issue, payable semi-annually in arrears on the last days of tl1e Et11iopian months of Yekatit and Pagume each year; (d) they shall be issued in denomination of one hundred (100) Ethiopia dollars; (e) they shall be numbered consec11tively; . (f) they shall be coupon Bonds; · (g) they shall be bearer Bones; (h) they shall bear the facsimile signatt1res of the Minister of Finance · . ; _ and the Treasur�r Genera] of the Imperial Ethiopian Government; . (i) they shall be printed in botl1 Amharic and English and shall be 1.11 such form as the Minister of Finance shall deterntll1e. 4. Interest �hall be payable semi-annu'ally upon presentation of the relevan t coupon to the Fiscal Agent designated in A.rticle 5 hereof. 5._ !he Nati�nal Bank of Ethiopia is hereby designated as Fiscal Agent f� th_e Minister of Fmance and shall ma11age the 1968 Savings Bonds in accordan •With arrangements to be concluded with said. Minister of Finance. n o ati lic 6· Th es Re gulat ions· shall �ome into force on the d a. te of their pub � . m the f"/�garzt Gazeta. Done at Addis Ababa this 27th day of A ugust, 1968. -'S94 .
,
GOVERNMENT BORROWING
18-7
28/12 (1969) P. 262 A PROCLAMATION TO PROVIDE FOR TIIE I.SSUANCE OF GOVERNMENT BONDS CONQUERING LION OF THE TRIBE OF JUDAH HAILE SELASSIE I ELECT OF GOD, EM.PEROR OF ETHIOPIA . · _WHEREAS: it _is �?I convicti_on tl1at the development of a capital market within Our Empire Justifies the taki11g of action to facilitate the issuance of Go vernment Bonds in which savings and capital may be invested with full security; and WHEREAS, the issuance and sale of such Government Bonds would prove Our Government with funds required for the financing of the further development of Our Empire; NOW, TIIBREFORE, in accorda.nce with Articles 34, 88 and 119 of Our Revised Constitution, We approve the resolutions of Our Chamber of Deputies and Senate and We hereby -proclai,m as follows: .1. This Proclamation may be cited as the ''Government Bonds Procla mation, 1969." 2. Our Minister of Financ� is authorized to issue Government Bonds in an amount not to exceed one hundred million Ethiopian Dollars (Eth.$ 100,000,000 ). 3. For the purposes of this Proclamation, Government Bonds are written obligations to pay a fixed s11m of money· (the ''face value''), at a fixed time in the future (the ''date of maturity''.), issued simultaneously as a series. 4. Government Bonds issued hereunder: (a) shall in no event bear a date of maturity more than ten (10) years from the date of issue; (b) shall be bearer bonds; that is, they shall be negotiated by simple transfer; (c) sha ll in no. event bear a rate of interest of more than seven and one half percent (7½%) pe� annum;. or, if said Bonds shall carry t11e �ight e ble as nt mt ya al ou pa tot am the s, ing aw dr ium em pr in ate cip rti pa to event exceed seven and one-half no in all sh rest and/ or , premium . n nds the all the Bo of of ue val fa� _ the of um ann per percent (7½%) . ed lv vo m es n se ar ul ic rt pa e th g of in outstand
t en , m of ern re 4 ov he G cle rti A in 1 rtl fo t se ns 5 subJ'eo t to the l'm 1 itatio s, . tic ris cte ing ara ch low fol the · of e som or all . ve ha · B onds issue h ereund er may _ as may be decided by Our Minister of Fmance: - 595 -
1�7,8
CoNSOLiiE>ATBm LAws ©F BlHI©PIA
, te ies ser ara > s�] m. havin g dififerien.t uea s �s· b@ y ma s nd Bo d (a) Sai ... O t es a s. tic r1s te ac ar ab nt re ffe di of issue and �) Said Bonds may carry a . �ed r�te of. in!erest, �a,able Ne tiedi.caU perrodic publ1� drawings and/ or the right to partiel(l)ate _m for ;· i respect to th which w Bonds premiu ms s-h� determination of those be paid. (c) Bonds 0£ a give-n series may all bear the same date of matun1:y or they may• mature in installmemts im aceordanee wi�h a fixed plan 0 f redemptt(l)E.. 6. Government Bonds shall be legal investment fer all puriposes, including witho·ut lin,itations insurance� pension and trust funcls, and �hall be accepted for deposit as guarantee.s by �y . Governm_en.t OF oilier :f)Hblic aut, horicy upen conditions prescribed by Our Minister of Finance. 7. Interest or premiums received by the holder of any Govemm . ent Bond issue-d hereunder shall be exempt from income tax. 8. Interest, pre111iums and princip-al not collected within ten (10) years from the date upon wl1ich payment thereof falls due shall be deemed forfeited to the State. 9. Our Minister of Finance is au1horized to issue regulations for the better carrying out of tlus Proclamatio11. 10. Thls Proclamation sl1all e11ter into force on the date of its publication in the Negm·it Gazeta.
Done at Addis Ababa this 4th day of April, 1969. 28 /1 7 (1969) L. 368 LEGAL NOTICE NO. 368 OF 1969 REGULATIONS ISSUED PURSUANT TO THE GOVERNMENT BONDS PROCLAMATION, 1969 1 . These Regulations are iss11ed by tl1e Minister of Finance pursuant_ to authority vested in hjm by Article 9 of the Government Bonds Proclamaoon, 1969. 2. These Regulations may be cited as the ''Savings Bonds R.egulations, 1969," 3. Savings Bonds of 1 969 shall te issued in the total principal face val ue of Eth. $20 ,000 ,000 and s.hall have the following characteristics: (a) their date of issue shall be Btl1 July, 1969 (1st Hamle 1961); (b) their date of maturity shall be 7th July, 1979 (30th Sene 1971); (c) they shall bear int�rest at the rate of seven percent (7%) per be ann1uas� from tbe date ?f �ssue, payable semi-annualy in arrear on t r ; ea y each Sene days of the Ethiopian months of Tahsas and -596 -
GOVERNMENT BORROWING
18-8,9
(d) they shall be issued in denominations of one hundred (100) Ethiopian dollars; (e) they shall be numbered consecutively; (f) they shall be coupon Bonds; (g) they shall be bearer Bonds; (h) they shall bear the facsimile signature of the Minister of Finance of the Imperial Etl1iopian Government; (i) they shall be printed in both Amharic and English and shall be in st1ch form as tl1e Minister of Finance shall determine. 4. Interest �hall be payable sen1i-annually upon presentation of the relevant coupon to the Fiscal Agent designated in Article 5 hereof.
. 5. The National Ba11k of Etl1iopia is hereby designated as Fiscal Agent of
Fmance and shall manage the 1969 Savings Bonds in accordance with arrange n1ents to be concluded with said Minister of Finance.
6. These Regulations shall come into force on the date of their publication in the Negarit Gazeta. Done at Addis Ababa, this 6th day of June. 1969.
28 / 12 (1969) P. 263 A PROCLAMATION TO PROVIDE FOR THE ISSUE OF TREASURY BILLS CONQUERING LION OF THE TRIBE OF JUDAH HAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETIIlOPIA WHEREAS the successft1l implementation of the Development Plans of Our Government requires the most effective mobilization and deployment of the financial resources of the Empire; AND WHEREAS, it now appears desirable to broaden the base of the money ,market and develop further the financial instruments available to the Government and the banking system for this purpose; NOW, THEREFORE, in accordance wi� Articles 34, 88 and 119 of �ur Revised Constitution, We approve the resolutions of Our Chamber of Deputies and Senate and We hereby proclaim as follows: l. This Proclamation may be cited as the ''Treasury Bills Proclamation.
1969."
2. Definitions: In this Proclamation, unless the context otherwise requires: (1) ''Minister'' ·or ''Ministry'' shall mean !espectively the Minister or Ministry of Finance; *INTRODUCTION FOOTNOTE Am. 28/19 (1969) P. 267.
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CoNSOL.I1D.A1iEO ilkA:WS @,,F 8'ifHIOPlA
lS-:9
y vel B c,t:i pe me r�s !N sba the Gov e '' nik Ba al oR ati ''N or ' or' ern ov (2) ''G .id Bank; rnor e sa th or of the National Bank of Euhiopia (3) ''Treasury Bill'' or ''Bill: shall �ean a Treas� Bill of the .1?1perial Ethiopian Government issued m accordance w11th , the provisions of iliis Proclamation and not yet redeemed nor cancelled: (4) ''holder'' shall m.ea.n th.e pers0n. to w�om the �tll was issued or the last s,1:1bs�uent trMtsferee in gooC:i faith by d�ltvezy or _ endorsement as the den·otati ion made oB the face of the Bill at the time of issue may requ·1re;
(5) ''face value'' shall mean the value of Vhe B,ill at maoority as denoted on its face; (6)
''redeem'' or ''redemption'' shall mean tlie payment to the holder of a Bill, against its surrencler to the National Bank acting on behalf and for the account of the Ministry, on or after its maturity date of a sum in Ethiopian dollars equivalent to its face value;
(7) ''domestic revenues'' shall include all revenues and resources accruing to the Government other than any loans, grants or assistance raised or made available to the Government from abroad for the financing of of specific projects or any funds accruing to or desposited with the Go,rernment in tr11st for specific p11rposes; (8) The ''totaI an1ou11t of Treast1ry Bills outstanding'' shall ,mean the total face value of all Treasury Bills issued bt1t not redeemed at any one time but shall not include the amount of Treasl1ry Bills (if any) issued
in exchange for Imperial Government Treasury obligations pursuant to the provisions of Article 40 of tl1e Mo11etary and Banking Proclam a• tion, 1963. CROSS REFERENCE
Monet�ry and Banking rrocla�1a�on, 22/20 (1963) P. 206 Art. 40, 15 Consol L. Eth. 4. Treasury Bills of the Imperial Eth1op1an Government.
3. (1) Our Minister of Finance is hereby authorized from time to time to �ssue and redeem Treasury Bills of the Imperial Etluopian Government m accordance with the provisions of this Proclamation. (2) Treasury Bills so issued shall :
(i) be in the form prescribed in the Schedule to this Procla mation 8nd
every s�ch Bill shall bear on its face its serial number, the date � of its tss!-le an � maturity, and the amount payable thereon a matun. ty 1n Ethiopian dollars; (ii) be _ si gned br !he Minister, which signature may however be th� f o seal pr��ed facsimile," and shall be evidenced by the M1rustry;
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l
GOVERNMENT BORROWING
18-9
(iii) l1ave a n1aturity 11ot exceecli11g 93 days from tl1e date of issue unless tl1e Mi11ister sh�ll fix at the ti111e of issue a later 1naturity date not l1owever exceedmg 011e year from tl1e date of issue; ·· (iv) be issi1ec;l· i11 ·aenon1inatio11s of Fifty thousand Ethiopian dollars ($50,000) or sue� otl1er deno1ni11ation as the Minister may approve at the· time of 1sst1e.
.. . .
LL
(1)
matt1rity every Treasury Bill sl1all be redeen1ed by the National Banlc for the debit a11d account of tl1e Govemme11t and shall constitute �L first a11d prior c11arge on the domestic revenues of the Government. 011
(2) '"freasury Bills so redeemed sl1all be cancelled by the National Bank and returned to the Ministry. · 5. The total a1not1nt of Treast1ry Bills ot1tstandi11g at any one time shall not exceed: (a) Until the 30t11 day of Sene 1961 E.C.: Twenty Five million Ethiopian dollars; (b) Tl1ereafter a.nd u11til the, 30th day of Sene 1962 E.C.: Fifty million Ethio_pian dollars; (c) Thereafter: Twe11ty-five percentum (25 %) of the Ordinary Revenues of the Governn1ent for tl1e preceding fiscal year. CONSOLIDATION NOTE The 30th· Seoe in the Ethiopian Calendar corresponds to July 7 in the Gregorian Calendar.
6. In order ,to facilitate tl1e issue, n1anagement and redemption of Treasury Bills, the National Bank from time to tin1e 1nay buy and shall sell, discount or rediscount Treasury Bills in tl1e open market, subject to the limitations of Article 13 of :the Monetary and Banking Proclamation of 1963 (Proclamation No. 206 Jf 1963). CROSS REFERENCE ivionetary and Banking Proclamation, 22/20 (1963) P. 15 Consol. L. Eth. 4..
General Provisions ied on lev I be a sh ibed scr de er � we l1o ty du or tax r he � 7. (1) No stamp or ot . lls Bi ry su ea Tr of n io pt m de re or nt ou sc di r, fe ns , th e issue tra fit pr y an on ied e lev l �. sh ed ? rib sc de r � ve ,ve ho x ta r he (2) No income or ot pt m ion de re or t 1n ot sc d1 r fe ns tra e tl1 1 on fr g in is ar or ed rn or discount ea of Treasury Bills. r ei r th to io pr . ys da 30 in ith w e tim y an at , be tendered 8 • Treasury B1 lls may ·in p rt·a1 1 or full discharge t en rtm pa de � t en m n1 ve n1atu rity 'by th e holder to any Go l al be ed sh er nd te so · 1f d an m hi b ue d t n Y me pay of any debt, tax, deposit or ot•her accepted at their face value.
-. 599 -
1�9
CONS©LIF>A'.FEO l,A:WS OF EmIOPIA
C0NSOLl iD,ATI6N NO'FiE A.md. 28/ 1i9 (1969) P. 267.
9. Treasury Bills issued to bearer shall be transferable by delivery; Treas Ury Bill•s issued to a named person shaill be transferable oy endorsement. 10. The Minister is hereby authorized to issue Fegw.ations for the imple tation of tihe Proclamaitio� including and ��hout limitation. the manner of i��� ·' man.agement and tedemption of Treasury B as. 11 .. T,hls Proclam·aitiien shall enter int@ fottee on the date of its publication in the
Negarit Gazeta.
38 fDDbL,.fw- 1...H. .......................... ·····················----•• +"} .,,.. 1!,! .,._ ...........'i. 'J°. er-TC
Maturity Date
Serial Number
19
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TREASURY BILL issued pursuant to the Treas11ry Bills Proclamation 1969
r n..
:,u ETH.
$ 50,000 it>tll '111'1 ···-·--···-···--······················ 4>1 .,... Tuf........... q. 'J°. fa>IIJ
19
Issued at Addis Ababa f,U f"l'J°i{ f1T IP',F; TIDS TREASURY BILL entitles
it ·····················-···································-·-····-·-·····--·-···-··········-·- ··· ·········--··
* m,.,7 ...,,,,,\:r o.no il � or Order
0 ,fl th. &- -I! '1 '} h If'} Y: tit\ a>- fit_:,. .. '}. �. oo'}0JJP:,• 1'} 11"'1 fl f, '/'J°lt ii: O
fh..T/"'1C 0 ................................ 4''> Iftf................'i.'J°. h'>�.ht..t\OJ• OJJ,fl;'f- f,{ltn'l'A
is
on the --·--·--························ day of 19 ...... ·········· ' to payment of Fifty Thousand tbe f nds o Ethio�ian do�ars_ at the National Bank of Ethiopia out of the Fu Imperial Eth1op1an Government. - 600-
GOVERNMENT BORROWING
18-9,10
*
f 1'1.:i• r- ,.(> "}. ',. DP"} °1/» :,. f11-ll·O tJTL'f.{l:,•c :: .l,nperial Etl1iopian Govern111ent lvlinister of Finance
* l,tJ ()f. oo(looC J'A rl�'l1> ft. �"}f..lf'1 IP',,<;. ll'J° 6l.1<D• (O.lC) �h&.llA :: _ bl ank be not filled 111 the Bill will be paid to bearer. this If
IMPERIAL ETHIOPIAN GOVERNMENT TREASURY BILL
01/ltort.r
fl�'P:1.
(NOTE)
"'"(D,P
fdl/.1"Kro•. f11-ll•O An (l)•(lrr n,f•ODt\h-t ro• u"�:r �°:i•llA== The amount of the Bill may be var1ecl 1n the manner provided in the Proclamatio11. Done at Addis Ababa this 4th day of April. 1969. {llP�,«;. "�
26 / 12 (1967) P. 247 A PROCLAl\tIATION TO AUTHORIZE l'HE MINISTER OF FINANCE TO CONTRACT LOANS AND GU.,,...� ES UP TO ETH. $40,000,000 (FORTY MILLION ETHIOPIAN DOLLARS) CONQUERING LION OF THE TRIBE OF JUDAH HAILE SELASSIE I ELECT O F GOD, EMPEROR OF ETIITOPIA WHEREAS, curren t international developments may require the taking of extraordinary steps to a ssure tl1e continued economic stability and well-being of the nation; and WHEREAS, it is necessary to facilitate and pemlit the prompt conclusion of arrangements calc11la ted to serve a nd furtl1er these ends; NOW, THEREFORE, in accordance with Articles 3 0, 34, 88, and 119 of of Our Revised Constitution, We approve the resolution of Our Chamber of Deputies and Senate and We hereby proclaim a follows : 1. This Proclamation may be cited as ''Special Authority of the Minister of Finance to Con tract Loans and Guarantees Proclamation of 1967.'' 2. Wit-h the advice of Our Council of Ministers and with Our appro val the Minister of Fina nce is hereby a uthorized to contract loans, pledges and guar antees and to disburse the proceeds of such loans up �o the _total am?unt �f Eth. $40 ,000 , ?0 (Fo_rty Million Ethiopian Dollars) in connection :¥1th ,fue financmg of e��noilllc, soctal development and defence items, an d to fix the terms and conditions of such loans, pledges and Guarantees. 3. This Proclamation shall come in to force on the date of its pt1blication in the Negarit Gazeta. Done at Addis Ababa this 3rd day of July, 1967.
- 601 -
1!9-1
Section 19 ECONOMIC PLANNING AND DEVELOPMENT A. Industrial and Agricultural Development 22/ 15 (1963) 0.29* AN ORDER TO CREATE A 'fEaDnCAL �GENCY CONQUERING LIO>J" OF 'THE TRIBE OF JUDAH HAIDE SELASSIE I E.L.ECTED OF GOD. EMPEROR OF ETHIOPIA WHEREAS, Ethiopia's Development Plans envisage the establish ment of vario11s economic and social development projects and enterprises to be financed by Government and private investment; and WHEREAS, it is essential that all phases of the development of such projects and enterprises from the planning to tlle operational stage be properly and carefully studied and the efficient and economi:al execution thereo� competently supervised; NOW, THEREFORE, in accord.ance with Article 27 ·of Our Revised Constitu ti.on and on the advice of Our Council of Ministers, We hereby order as follows: l. Short Title: This Order 1nay be cited as the '�Technical Agency Order, 1963''. 2. Creation of Technical Agenc)': There is hereby created an autonomous agency, to be known as the Technical Agency (hereinafter tl1e ''Agency''), which
shall depend from and act under the supervision of Our }Ainistry of Planning and Development (hereinafter the "Ministry'', whicl1 d.esignation shall include all Sub-bodies thereof). CONSOLIDATION NOTE l1rzpl. amcl. 25 /23 (1966) 0.46 Art. 2 (23), 3 Co11sol. L. Eth. J-33. (ft1nctions previously performed by Planning Board were assigred to new Ministry of Planning and Development).
'
3. Juridical Stati,s: The Agency shall have separate juridical personalit y and'
in particular, the capacity: a) to contract;
b) to sue and b e sued in its own name; and c) to acq.uire, o�n, l)OSSess and dispose of prope1ty. follo Duties and Functions: The the Agency perform shall �· functions: *INTRODUCTORY F001�NOTE lrnpl. amd. 25 /23 (1966) 0.46.
- 602 -
d o a, es wing duti
ECONOMIC PLA1'1NING AND DEVELOPMENT
19-1
a) in accordance witl1 t?� approve? annual w?rking programme and upon th� :equest of t?� NI!n1stry and 1n consultation with the con1petent other mm1_stry or . n11n1str1es, un�ertake economic and tec]1 nical feasibility stu�1es looking to the_ estab]1s�1nent ?f econon1ic and social development proJects and enterprises envisaged 1n tl1e development plans;
b) following p�ei:>aration ?f. s�id plans and their sub1nissions by the competent n11rustry or mm1str1es for approval by the Ministry of Planning 8:11d D�velopment and at the requ.est of the Ministry and in consulta tion with the competent ministry or ministries, prepare or cal1se to be prepared all necessary designs, plans, specifications, drawings and other technical material required for the requesting of te11ders and the construc tion or installation of facilities;
c) at the request of the Ministry of Planning and Development and in consultation with the competent ministry or ministries, the Agency shall: (i) request tenders for such construction and make reco1nmendations as to the letting of contracts therefore; (ii) prepare and negotiate contracts in connection \Vith all aspects of its acti,,ities as set forth herein; (iii) supervise sucl1 construction and, in co11.nection tl1erewith, iss11e orders for tl1e making of payments to contractors in accordance with the tern1s of contracts entered into v.1itl1 tl1e1n; and (iv) make recomn1endations concerning the e1111Jloy1nent of competent 111anagement personnel for industrial enterprises so establisl1ed.
CONSOLIDATION NOTE lnzpl. amd. 25 /23 ( 1966) 0.46 Art. 2 (23), 3 Co11sol. L. Eth. 1-33, (functions previously performed by Planning Board were assigned to ne,v Ministry of Planning and Development).
5. Manner of Carr)1ing Out Duties and Furictions: In carrying out its duties and functions as specified in Article 4 hereof, tl1e Agency:
a) may undertake any such activity either directly through its own personnel or by retaining the �ervic� of experts; wh�ther. na_tural or juridical persons, to discharge said dut,.es and functions, �t bemg 1!1-tended that to the maximum extent feasible independent const1ltmg, architectural and engineering firms sha ll be retained to perfor� services ?TI con d tte to ffil sub ts Jec pro ent pm elo dev ial soc d an c mi no eco th on wi necti the Agency; es i�i tiv i�s to _ ac as d �e or inf lly fu y str ini M e tl1 ep ke b) shall at all times akmg m no 1. e c1s at de tim ul e th at th ed nd te in g in ·t be n d _operat·ons ch hi ce arise w an st tb st 1d a1 y lic po of ns tio es qu to I ct , res1Je w1_t1 h . f· aunc·1on t c · orm on · f o n ec lo al er op d n a. t en m ish bl ta es ng ni an -� , · · · connect·10n w1"th th e pl 10 • n vested m ai m l re al sh s se ri rp te en d an ts ec · oJ pr an d soc·1aI deveIopment . . n. es; said ministry an d competent M1mst ly ct t re os di s m ie tr is i11 M or y tr is in M e th c) s ha11. ma1nta . 1..n c1ose lia1·son wi"th concerned with any given project; an d
- 603 -
l�l
CoNSOLJiDATE •D LAWS OF ETIIIOPlA
s ee itt mi pe mm ex co ry eomp0 s!<f of tee ssa ce ne en wh h, lis ab a) shall est -: from ted co-op otlle� organ11.atio ns clans and experts who m�y �e � With ed to cem oon 1se ad¥ en particuI the consent of the organ1zat1on general questions. .
��
CONSOLIDATION NOTE 1,1111 ,i. arnd. 25 /�3 (1�66) 0.46 Arti 2 (23), 3 C0ns!1l: L. Eth. 1-3�, (funetions Pl'evio performed by Planrung B·oard were ass�gned to new M1n1stry of Plann1,ng and Dev elopmeus ntf
6. Bud&et : The Age11ey shal have its own bucl.g_et, which shall consist of all revenues ear·ned by it as fees and charges for se,rv1, ces performed by it in th course of the discharging of its duties and functions as aforsaid, which fees charges shall be approved in advance by the Ministry, together with such additional amounts as shall be required for the proper carrying out of its activities hereunder which latter am.ounts sh.all be included in the annual budget of Our Government:
an:
CONSOLIDATION NOTE /1npl. a111ci. 25 /?,3 (1966) 0.46 Art._ 2 (23), 3 Consf!l L. Eth. 1-33: (functions previously : performed by Planning Board, ,vere ass1gned to new M1rustry of Planmng and Development).
7. .General Manager: a) The General Manager shall be the Cl1ief Exect1tive Officer of the Agency and, subject to the general direction of the Ministry, shall direct the management and operations of tl1e Agency. b) The General Manager shall be appointed by Us upon the recommenda tion of the Ministry for sucl1 period as We shall deter1nine. c) The General Manager sl1all be responsible for the preparation of the annual budget of the Agency and for its submission in due time to Our Minister of Finance. d) Tl1e General Manager sl1all keep the Ministry of Planning and Develop· ment currently informed on 1natters ,vhich require the Mi�stry's attention ., and s11all provide the Ministry with such data and ad ��e as wjll facilitate the formulatio11 of decisions and policies by said MllllstrY· e) The General Manager, as the JJrjucipal representativ e of the Agency, sl1all, in trus capacity: (i) represent the Agency in all 1·ela.tions with other persons, inclutlinS the Ministry; anY in cy Agen (ii) represent, either personally or tl1rot1gh counsel, the legal proceedings to wllich it is a party; e . d · oth r an 111 ( ') sign · , 1n · d"1v1'd ually or jointly with othe·r perso11s, contracts agreements conclt1ded by the Agency, annual reports, ·corres· pondence and other. documents of tl1e Agency; and · • ble in . a y · a 1v ar p c ge h ) y ee ·f s �s fixe� and approved by t�e MlDlstr ( connect. ion with services rendered by it which shall be_ pa yable bY es· elY the �epartment or Ministry of Oi1r Government ultunat �ic pon5ibl� for the implementation and operation of the. econo and social development projects and enterprises in que5tloD· - 604-
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ECONOMIC PLANNING AND DEVELOPMENT
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f) The Ge!-1eral Manager may delegate his power to represent the Agency, as proVIded _m paragraph (d) of this Artjcle 7, to other officials of the Agency upon his own responsibility; provided, l1owever, tl1at the Ministry shall be kept currently advised of any such delegation. CONSOLIDr\TED LAW Jrnpl. amd. 25/�3 (1966) 0.46 Art._ 2 (23), 3 Co11sol. L. Eth. 1-33, (ftmctions previously performed by Planning Board were assigned to new Ministry of Planning and Development).
8. Staff: The Age �cy shall �mploy all technical and clerical staff necessary for the carrymg out of its operations hereunder subject to the Central Personnel Agency and Public Service Order (No. 23 of 1961, as amended) and regulations issued thereunder. CROSS REFERENCE Central Personnel Agency and Public Service, 21 /3 (1961) 0.23, 8 Consol. L. Eth. 2.
9. Reports: a) The Agency shall prepare and submit to the Ministry a regular quarterly report on activities carried out during said quarter. b) Within three (3) months of the end of each fiscal year� the Agency shall prepare and submit to tl1e Ministry a report setting forth the results of operations carried out during said year. The Agency shall at the same time submit a financial report for said year to the Ministry of Finance and to the Office of the Auditor General. CONSOLIDATION NOTE /n1pl. amd. 25/23 (1966) 0.46 Art. 2 (23), 3 Co11sol. L. Eth. 1-33, (functions previously performed by Planning Board were assignecl to ne\v Ministry of Planning and Development).
10. Excli,sions from Agency's Activities: Notlling herein shall prevent the Agency, upon request, from undertaking 10 provide services similar to those envisaged herein in connection with the esta.blishment of economic and social development projects and enterprises privately financed. 11. Entry into Force: This Order shall enter into force on the date of its publication in the Negarit Gazetta. Done at Addis Ababa, this 8th day of July, 1963.
21 /7 (1962) G. 299* CHARTER OF 1'HE AWASH VALLEY AU1'HORITY TRIBE OF JUDAH THE OF ON LI G IN ER U NQ CO · HAILE SELASSIE I ELECT OF GOD, EMPEROR OF ETHIOPIA
WHEREAS, the promotion of the eco�omic development of Our Empire requires that the maximum use be made of its natural resources,. and WHEREAS, the Awash Valley possesses natural resources which require orderly and efficient development; and TE O N T O O F Y R O T C U D O R T "'IN Imp/. amd. 25 /23 (1966) 0. 46.
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CoNSOLIDAW<ED LAWS oF E1FHIOPiA
WFIEJlEAS., it In.as appeaued e:cipeaient t@ Urs to create a special hodf to administ- er and develop the Awash Yalil'ey; NOW, THEREFORE, on the aci'vice of Our Council of Ministers, We her eby order as follows : l .. This Cieneral Notice may be oited as the ''Awash Valley Autherity Chatter' 196.2,'. 2. Th.ere is hereb;¥ creates the Awash Valley Authority (hereinafter the ''AVA'') as an autonomous public authority of the Imperial Ethiopian Government (hereinafter the ''Government''), to be go:verned by the provisions hereof. 3. (a) For the purpose of this General Notice, the ljmits of the Awash Valley,
over which the AVA sha:l have exclusive jurisdiction for the purposes set forth herein, shall be the area comprising the watershed of the Awash Basin, as geogra?bically defined.
(b) As used herei� the term ''Awash River'' shall be dee1ned to include all th.e tributaries thereo: and all artificial means of controlling and diverting the flow of water which may be constructed within the Awash Valley. 4. The purpose of tl1e AVA is to administer and develop the natural resources of the Awash Valley and shall inclucle. without limiting the generality of the the foregoing, the following : (a) to conduct and cause to be conducted surveys of the Awash Valley resources, either directly or through the intermediary of other domestic and international bodies; (b) to establish plans and pr,)gramn1es for the -use a.nd development of the resources of the Awash Valley; (c) to co-ordinate the activiiies of all Government _n1inistries and public • at1tl1orities in respect of the l1se and development of tl1e resources of the Awash Valley; (d) to �ut�orize third parties_ to const1·t1ct, acqui1·e, ma11age, acln1inister and ma1nta�. da�s, reservoirs, canals, powe1· houses, power stn1ctures, transm1ss1on lines and incidental works in the Awasl1 Valle),; (e) to administer all water c:nd water rights in tlie Awc:1sh Valley and to control the flow of water of the Awash River·, (f) to assi� waters of the Awash River for irrigation and other pu��se� and to fix and collect fees for the use of such water and other fac1l1ttes, e r � auth (g) in co-ope�ation with other bodies, to promote, orga_nize and nal ust ind the est�blis�ment of co-operative ,1nd other agricultural and enterpnses m the Awasl1 Valley; and - 606 -
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(h) generally, to do all such thjngs as may be necessary to assure the best use and development of tl1e resources of the A\.vasl1 Valley. S Tl1e AVA shall have separate jttridical personality, a .od, in particular, the _. capacity:
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(a) to contract; (b) to sue and be sued in its o\vn name; and (c) to acquire, own, possess and dispose of property.
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6. In addition to all of the nom1al powers provided for in Article 5 hereof' the AVA sl1all have the following extraordinary po,vers :
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· (a) t? acqttire such �eal and other property as n1ay be necessary or conven ient for tl1e acl11evement of its purposes by expropriation in accordance with tl1e law; (b) to fix fees and charges for the use of water, la.nd and other facilities subject to its jurisdiction and to use fees and charges so collected in the carrying out of its operations in accordance with policies adopted by the Board of Directors; provided, however, tl1at any surplus not required for such operations shall be turned over to the central treasury of the Government; (c) to borrow money in accorda.nce with the law; (d) to issue regulations relating to tl1e use of water, land and other facilities subject to the jurisdiction of the AVA; (e) in co-operation with appropriate Government ministries and public authorities, to grant concessions for the use of land in tl1e Awash Valley for agricultural, industrial and other purposes; (f) to receive a.nd administer, as agent of the Government, international aid and ere dits; . (g) when so requested, to act as agent for other Government ministries and public a11thorities carrying out activities in the Awash Valley; and (h) to establish and invest in public companies and to create subsidiary executive and advisory bodies within the AVA.
CROSS REFERENCE Major laws dealing vvith expropriation, referred to in Art. 6 (a) are: Rev. Const. 15/2 (1955) P. 149 Art. 44, J Consol. L. Eth. 1-44 and Civ. C. 19/Ex. 2 (1960) Arts. 1460-1488.
7. The A yA shall ascertain land ownership in tl1e Awash Valley and all state-owned land shall be transferred to the AVA by the ministries and public authorities presently holding title thereto. I
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8. The AVA shall perform the functions entrusted to it hereunder _ for the most efficient and economical development and use of tl1e resources of the Awash ·valley. 9. Nothing herein contained shall be deemed to affect eJ?s� ing water rights in the Awash Valley. which are embodied in agre� ments ex1stmg between the _ _ users of said water and any ministry or public authority of the Government.
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F Bl1HIOPIA O S W A L D E T A ID L O S N O C
a s l ic b w pr ap et � ! h d o bu h h � ed al �u a11 an y, 1 O. The AVA s.hall have y th e h w i� h 1 et dg b� t d no sat financed by � Board of Commissioners. �hat portion of . ed 111 lud e mc th be d get of th bu all sh the AVA directly out of its resources e Government. 11. The fiscal year of the AV A shall be the fiscal year of the Governmen t. 12. Within three (3) months of the e�d of e��h financial year, �e AVA shall prepare and submit to the Office of the Prime M1n1ster a report showm g the results of operations carried out during said year. The AVA. �hall also _at the same time submit a financial report for the same yeac to the M1mstry of Finance and to the Office of the Auditor General. 13. The powers, responsibilities and functions of the AVA provided for herein shall be vested in the Board of Co1nmissioners (hereinafter the ''Board''). 14. The Board shall be con1posed of seven (7) members, comprising the General Ma.nager, one representative each from the Ministries of Agriculture, Commerce and Industry, Interior and Public Works all of whom shall be aippointed by the Minister of said Ministers, and two (2) members to be appointed by Us. "'
CONSOI�IDA1 ION NOTE Imp/. atrzd. 25/23 (1966) 0.46 Art. 2 (22), 3 Consol. L. Etlz. 1-2 (22), (splitting the former Ministry of Public Worlts and Communications into two Ministries).
15. The Chairman of the Board shall be the 1·epresentative of the Ministry of
Agriculture. The Board shall elect its own Vice-Cl1airman from among its members. The Vice-Chairman shall hold office for one (1) year.
16. (a) The Board sl1all be convened unde1· the chairmanship of the Chairman;
provided, however, that tl1e Vice-Chairman shall act a.s Chairman in the absence of the Chairman; and providecl, ft111J1er, that in the absence of both the Chairman and Vice-Chairman, the members present shall elect chairman.
(b) The Board shall meet at least once eacl1 111onth.
ger Mana General of the Board shall be Meetill:gs conve11ed b)' the (c) by notice to the other Commissioners. (2) two if _shall time Chairm� convene The 111eeting promptly at any (d) othe1· Comm1ss1oners so request. AVA, the of the Board of shall Meetings office be held at the (e) priticipal unless the members shall otl1erwise agree. 17. (a) Four (4) members of the Board shall constitute a quoru1n. e vot e v (b) All for�al_ decisions of the Board shall require the affirmati te, the of a_ maJor1ty of the members present. In the case of a tie vo e in g� Chairman shall have a second or casting vote. In lieu of requir ertaill fo rmal vote on a ques�ion before the Board, the Chairman may asc s the �ense of the meeting unless any member of tl1e Board present hall require a form , al vote. - 608 -
ECONOMIC PLANNING AND DI!VELOPMENT
(c)
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Mint1tes of eacl1 111eeting of tl1e Board sl1all be recorded in such form as the Board may determine; provided, l1owever, that formal decisions or resoltitions of tl1c Board shall be recorded verbatim.
18. (a) Tl1e General Manager sl1all be the chjef executive officer of the AVA, and, subject to tl1e general direction of tl1e Board, shall direct the 1nanagement and operations of the AVA. (b) The General Ma11ager shall be appointed by Us for such period as We shall determine.
19. (a) The General Manager sl1all keep tl1e Board currently informed on
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matters which require tl1e Board's attention, and shall provide the Board, as far as possible, with such data and advice as will facilitate the formula tion of decisions and policies by t11e Board� Th� General Manager may at any time submit to the Board for adoption drafts of measures or resolutions whicl1' ill his view are necessary 'to make the purpose and policies of the AVA effective. (b) The General Manager shall guide and supervise the administrations and operations of the AV A in accordance with _ · the provisions hereof and with tl1e decisions of the Board. He, shall employ. and dismiss all personnel and fix tl1eir salaries, wages and allowances, and shall make expenditure in accordance with the budget and the programmes of the AVA. (c) The General Manager shall be tl1e principal representative of tl1e AVA and shall, in this capacity: (i) represent the AVA i11 all relations with other persons, including the Government; (ii) represent, either personally or through counsel, the AVA in any legal proceedings to which the AVA is a party; (iii) sign, individually or jointly with other persons, contracts and other agreement concluded by the AVA, annual re.P<_)rts, correspondence a.nd other documents of the AVA. ( d) The General Manager may delegat� his !:°wet to represent th� AVA, _ of as provided in paragraph (c) of_ t�s Article 19,. to other off1c1als the AVA upon his own respons1b1lity. (e) When: in the opinion of the �� neral Manager, delay in taking actio� on any matter or in giving a dec1s1on would adversely aff� ct �e operations of the AVA, and it i� in1possible to convene the Board m tlille to present such matter to it, the General Manager shall have full power t? act and _ give decisions on behalf of the Board, and such acts a.nd dec1s1ons shall have the full authority of the Board. . 20. The Bo ar d may adopt by-la\vs. consistent wi· �h the· provisions hereof and · . ers mb me its may fix the remuneration of ion at ic bl its of pu te e da tl1 n ·o t c . fe ef to i11 e m co l al sh 21. Thjs General Notice · • · ·· , ... 1n the Negarit Ga?,etta. . 62 19 y, ar nu Ja of ay d rd 23 is Done at Addis Ab-aba th .,
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CoNSOLIN.11BID LAWS OF E'FHIOPlA
19-3
· 26/2 �1966) P. 242*
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A PROCLAMATION TO PROVIDE FOR THE ENCOURA�EMEN T OF CAPITAL INVESTMENT IN ETHIOPIA CONQUERING LION OF THE TRIBE OF JUDJ�H HAILE SELLASSIE I . ELECT OF GOD, EMPEROR OF ETHIOPIA . WHEREAS, the increased investment o.f private capital, both foreign and the �cono my of the domestic, is vital to the accelerated growth and development. of ·· · Empire 0f Ethiopia; and WHEREAS, various benefits, privileges and exemptions have be· en provided for the purpose of encouraging and stimulating private capital investment; and WHEREAS,. it is desirable that a special and comprehensive law be enacted for the express purpose of stimulating and encouraging fut11re private capital invest ment;
NOW, THEREFORE, in accordance with Articles 34 and 88 of Our Revised Constitution. We approve the resolulions of Ot1r Senate and Chamber of Deputies
and We hereby proclaim· as follows:
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I. Slzort Title This Proclan1ation .may be cited as the ''Investment Proclamation, 1966". cot,JSOLIDATION 1',IOTE Or.ig. 23/ l (1963) 0.51; amd. 26/2 (l966) P. 242 Art. 2.
2. Repeal (1) Tl1e following provisions of law are hereby repealed and replaced by
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this Proclamation: . . . ·(a) subject to the prOVLSl(?llS of ·Article 5 l1ereof, paragraphs (a), (b) and (c) of Arti9le 19 of tl1e Income Tax Proclamation of I96l (1-fo. I 73 9f 1961): arrl mation . Procla o· f (b) paragraph , (a) Art:cle Taxes 6 tl1e of Tra11sactio11 · (No. 205 of 1963). . of ent gem · · (?) Noti�e No. �O of 1950 (Statemen� of Policy fo1· tl1e Encoura l · Foreign Capital Investment in Ethiopia) is l1erf?bY wit�clr:1wn.
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. CONSOLIDATION ·NOTE . ' . . Or�g. 23/1 (1963) 0.51;_ amd. 26/� (1966) P. · 242, Art. 2 (deleting Orig., Decree's repea� _ f Agn cu.ltu ral and Industrial Expansion Procla·m ation, 14/3 (1954) P. 145; 19 Consol. L o Et/1. 4). CROSS REFEREJ':lCE . . .Inc _. o�e Ta . x Prociamat:Io n, 20/ 13 (1961) P. 173 17 C nsoI · L· Eth 9 Transa ction Tax · '. Proclamat1on, 22/ 18 (1963) P. 205, 17 Conso l. L. Et}i. � 17 . . . . *l N T R O D . U CfORY FOOTNOTE ,. . . 62' Orig. 23/ 1 (1963) 0.51; amd. and reJZiim. ) 26/2 (1966) p • 242., : corr. 26/8 " (1967 C. ' /1npl. amd. 25/23 (1966) O. 46 ' • .. •
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ECONOl\1IC PLANNING AND DEVELOPMENT
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3. ScO/Je of Coverage (1) As is specifically indicated i11 tl1e provisions hereof, tl1e provisions of this Proclamation shall apply: (a) to agricult11ral, industrial, n1i11ing, transport and touristic enterprises which com1nence their operations witl1in Ethiopia subsequent to the date of entry into force h.ereof (hereinafter "11ewly-established enterprise''); (b) to agricult11ral, i11dustrial, mining, tra11sport and touristic enterprises
which are, as of the date of entry into force l1ereof, carrying on operations within Ethiopia (hereinafter ''presently existing enter prises''); or
(c) to both newly-established and presently existing enterprises (herein after ''enterprises, whether newly-estblished or presently existing''). (2) The Investment Committee may from time to time deternline that specific activities shall be designated by regulation as constituting industrial enterprise for purposes of this Proclamation. (3) Nothing herein shall be deen1ed to linlit or restrict any additional or
supplemental benefits, privileges and exemp�ions wl1ich enterprises engaged in agricultural and mining activities may now enjoy or hereafter become entitled to enjoy in accordance with the provisions of special laws dealing with said activities. CONSOLIDATION NOTE
Orig. 23/1 (1963) 0. 51 Art. 3; amd. 26/2 (1966) P. 24�, Art.. 2
4. Investment Committee (1) T·here is hereby created a permanent Investment Committee which shall n res tio of asu ina me erm det and dy stu the se rpo pu pal nci pri its as e hav to be taken with respect to facilities, tax exemptions provided in this ed rd co to be es ac to leg ivi pr d an s fit ne be d ate rel d , an on Proclamati e private capital ag ur co d en an e lat mu sti to r de or in rs sto ve in l tia ten po investment in Ethiopia. t which r��uire en stm ve in e at riv p , r fo ts ec oj pr ed os op pr al (2) All individu ry st y on an 1ru u� � m re er nf co er w po ry na . tio re sc di y the exercise of an ch shall hi ee w itt m om C t en m st ve In e th to d te iit bn . by Iaw sha11 be su . n. 1o 1s d ec y ar ss ce ne e th e ak m l al sh 1d a1 review said proposals - 611 -
CoNSOLID�TEJD
19-3
LAw·s
OF ETHIOPIA
ed os m of co e be th l al sh M ee itt m m Co � inisters of t len stn :efu _, e _ T_h ) 3 -( ·-·· n P e n nc na d y, r an st i du F In n la d an i g a nct Ag ricultur e, Commerce . . n r ep re�en_tat1ve�, so d es1g ated; an d the e tiv ec sp re ei th or t, en r Developm id . stm Sa ve pia In hio Et of ent Com mitt nk Ba l na tio Na the Gove rnor of r ste ini M of e th. of Commerc e a: ip nsh ma air ch the r de un sit ll a sh. na itio ted. gna Add desi so l ministers or e tativ esen repr his or Industry their respective representatives so designated shall be co-opted o n an ad hoc basis to represent other Ministr ies. when the latter have a particular inter est in individual investment projects. -
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(4) Toe Investment Committee ·shall have a pem1anent office and necessary staff which shall be located in the Ministry of Commerce and Industry.
(5) The Investment Committee sl1all be assigned such legal and technical
assistance as may be required, which assistance may be co-opted from other ministries and departments of the Government. CONSOLIDATION NOTE
Orig. 23/ I (1963) 0.51 Art .. 4; a,nd. 26/2 (1966) P.242 Art. 2. imp[. amd. 25/23 1966) 0.46 Art. 2 (33), Co11sol. L. Etlz. 1-2(33), (functions ,:vhicl1 have been previously performed by Planning Board are assig11ed to newly created Ivfinistry of Planning and Development).
5. lncon1.e Ta:-c Relief
(1) A newl) -established encerp11se which invests in Ethiopia before the commencement of operations not less tl1an two hundred thousand 1
Ethiopian dollars (Eth. $200,000) shall, upon the deter111jnation of the Investment Comm.ittee be exempted by the Minister of Finance from the payment of income tax for a period of five (5) years from the date of commencement of operations. Such exen1ptions sl1all be subject to the following conditions: (a) the enterprise shall subr.nit to the Income rfax Department of �e
Ministry of Finance satisfactory proof of th. e an1ount investe d in the enterprise as aforsaid; and (b) th� _enterprise. shall i nform the Incoine Tax Department of the . Mm1stry of Fman�e of tl1e date of co1nn1encement of operations and sh�ll submit satisfactory evidence coi1.firming th. is date not later tha.n thirty (30) days following tl1e com1ne11cen1ent ther eof. ch _w� , g n (2) � ente�prise, _wh_etl1er newly-estab.lisl1ed or presently existi i�n p Etbi o e mvests m Eth1op1a not less than two build.red thousand ris rp ente dolla.rs (Eth. $200,000) in _ an extension or expansion of the j. shall, upo_n t_ he deter�1nat1on .of the Investment Committee, be exeIIlP� i p�r 5 for a b the Mmistei: of ��nance from the payment of income tax � on i of t1?1'ee (3) years from the �ate of comme{!.cement of o��ratisha l provided, however, that the new extension or the expanded facility - 612 -
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be operated as a separate technical unit with separate accounts; and provid�d, further, tl1at tl1e exen1ption sl1all a,1Jply only to income derived from the operatio.ns of. tl1e new extension or expanded facility. Such exemption shall be st1bj_ect to the following additional conditions: (a) the enterprise st1bmit to the Income Tax Department of the Ministry of Finance satisfactory proof of the amount invested in the new extension or expanded facility as aforsaid; and (b) th� _enterpris� sl1all inform the Inco1ne Tax Department of the Mlillstry of Finance of tl1e date of comrnencen1ent of operations of th� extension or expansion of the enterprise and sl1all submit satisfactory evidence confirming this date not later than thirty (30) days following the con1mencement thereof. (3) Industries engaged in tl1e rnantJfacture of alcoholic beverages or liquors shall not be entitled to the exemptions referred to in paragraphs (1) and (2) hereof. (4) Tl1e provisions of paragraph 1 (b) of Article 2 hereof to the contrary notwithstanding, an enterprise, or a new extension or expanded facility, which commenced operatio11s prior to the effectiv� date of this Proclama tion shall continue to be subject to paragraphs (a), (b) and (c) of Article 19 of the Incorpe Tax Proclamation of 1961 (No. 173 of 1961) and shall continue to be entitled to and to enjoy any exemption granted thereunder. CONSOLIDATION NOTE Orig. 23/ 1 (1963) 0. 51 Art. 5; anul. 26/2 (1966) P. 242 Art. 2. See also Maritime Pro clamation, 13/ 1 (1953) P. 137 Art. 30, II Consol. L. Etlr. 2-30, (providing income tax relief for marine industries and enterprises).
CROSS REFERENCE Income Tax Proclamation, 20/13 (1961) P.173, Art. 19, 17 Consol. L. Et/1. 9-19. :.
6. l11zport Duty Relief
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(1) Agricultural and industrial machines; implements, �pplian�es, ?r _ p �rts thereof, which are imported by a person or enterprise h �vmg JUr1�cal personality for exclusive use in agricultural �nd mdt1str!al enterpr1�es, shall be exempt from the payment of customs import duties .. trans �ct1on taxes on imports, municipal taxes a? d. all other taxes and d�t1es levied on d pro uce ng 1 be_ t are no s od go r ? ila sim t tl1a , ver we ho _ , ed vid imports; pro at ns gn tio es1 ula e reg su s r_ all sh � e nc na Fi of r ste ini M e Th . pia hio n withi Et ing, by reference to itell?s of the C_ustoms TarU:f, �11 goods w�1ch shall s on rm at1 fo lar c _ de g if ec sp d an ion pt em ex mg go �� re fo be subject to the ns rso on pe at1 by str m1 m Ad s m sto Cu e tl1 fo ed itt bm su which shall be claiming the exemption.
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t i , m t m . ee t t. Co t in �e M ii r e s stm ve tl !fu e e tb. '°f a tio of na mi ter de e on 1h Up ) {2 ms st0 of eu 1tn nt me ay JF>Ort d1uties, i»@ n. tJ.0 p i em X: p ei nt lJ!l gfa Finanee shal1l all d er an otlit es ta tax . l 1pa es and. � , mc mu , rts po im on es n. tax tio sac trran duties levied on. imJJ)Orts, in respect of bmldtng, strM�ural and otihe r 1 at t�e Mi n 11 st�r of Fina nce t1 , ver we ho , ed. vid pro ; ial ier ion ma uct str con may for good eaMse refuse to grant such exempti�n; prov1ded, _ _further, th.ait such buillru.ng1 , struetural and other con-struct1on mat� nal 1s bein g impo1ted for a!ircct and eX:cll!l-sive Mse in C©nsttuction destined t0 house in.du, stni:al ent_erpnises, h.1:1t n� f0r o:ffiGe @r living guainters;_ a �d providoo, further. that s1mtilar materials alie not being �rod,uc.ed w1th1n Ethiopia. (3) No g00ds or materials whJchi have been eXlemiptee from payment of taxes and duties as provided in paragraphs (1) and (2) hereof may be subsequently disposed of, e,:cept as scra}l>, or otherwise diverted to any use other than that for wruch the exemption was granted, unless prior authorization h.as been obtained in the manner prescribed in regulations issued by the Ministry of Finance and upon payment of taxes a.nd duties in the manner and at the rates prescribed in said regulations. ( 4) Nothing herein shall be deemed to excuse any person or entity from compliance witl1 all usual and customary c11stoms formalities, or to grant any exemption with respect to the payment of all usual and
customary statistical fees, stamp duties, and other miscellaneous charges of a minor natt1re payable in connection with the clearance of goods and material to the C11storrs Administration. CONSOLIDATION NOTE
Ori.r;. 23 / I (1963) 0.51 Art. 6; a,nd. 26/2 (1966) P.242 Art. 2. See also Maritime Proclama tion, 23 / 1 ( 1953) P. 137 Art. 3 I (providin� customs duty relief for marine indttstries and enierprise.s).
7. Export Duty Relief Man11factured finished goods desti1Jed for ex1}ort may be exempted from export ' duties �d transaction taxes on exports for a reasonable period of time if such _ 1s found necessary to assure the con1petitive position of tl1ese goods exemption on export markets. Paragraph (4) of Article 6 hereof shall apply analogously. 8. Ren1ittance of Forei.rtn Exch.a11ge The National BanJc of Ethiopia sl1all make available foreig11 exchange necessary to assu.re: (1) the remittance of profits of foreign investors to their countries of origin: (2) the repat�ation of the net proceeds belonging to a foreign investor upon part1al or total sale or liquidation of bis investment; (3) the paym�nt of interest and the repayment of foreign loans contracted _ by enterpnses subJect to the provisions of this Proclamatio n; provide d, however, that su�h loans shall be approved befo hand by the re Investment Committee; -614 -
ECONOM-IC PI:ANNING AND DEVELOPMENT
( 4) su� ject to appl!cable ·foreign,. exchange regulations, the remittance of sav1�g� of fore1� personnel_ employed in enterprises subject to the prov1s1ons of this Proclan1at1on to their countries of origin; .
'
(5) the purchase of replacement and spare parts and other materials and goods required in connection with operations. CONSOI�IDATJON NOTE Orig. 23/ l (1963) 0. 51 ft.rt. 3; an1d. 26/2 (1966) P. 242, Art. 2; corr. 26/8 (1967) C. 62 . (deleting amendment to Decree,s Art. 8 (3) made by Proclamation).
9. 1 Existi11g Go\�er11!nental Agreen1ents .. Nothing herein contained shall be deemed to lin1it, restrict or otherwise- impair any benefit, privilege or exemption contained in any agreement heretofore entered into by the Government or any ministry or competent department there of with any enterprise. · lO. Acqi1isition of l111111ovables Foreign �vestors establishing-industrial enterprises in Ethiopia shall be _allowed to acquire land required for the establishment thereof. · . ' 11. Offences - ' Any person who violated any pr�vision· hereof or who obtains, whether. f9r himself or for another, any of the benefits, privileges or exemptions specified in Articles 5 to 8 inclusive hereof on the basis of false or intentiona. lly misleading statements shall be guilty of an offense.punishable in accordance with the provisions of the ·Penal Code of 1957, and shall, in a.ddition to_ the penalities provided in said Penal C . ode, be required to pay all taxes and duties from w.hi.ch exemption may · ha. ve been granted.
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CROSS REFERENCE Pen. C. 16/Ex. (1957) Arts. 354, 356, 362, 364. ;
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. . 12. Re,f?Ltlations . er carrying Tl1e Investment Com.mittee may issue regulations for the , bett • . . . .. . . .·"" into effect of the present Proclam�tiqn:..
..
· NOTE TION . DA LI SO N CO . .. . ..Art. 2. 24� �.6.6) (19 2 � 26/ · d. am · 12; ·Art. 51 0. 63) (19 23/ 1 Orig. • . . . . . )
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·
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-13. This Proclamatio11 sl1_all e11ter into _f9rce· on the date :_ of its publication - · in the Negarit (Jazetta.•• . .: 66 19 r,. be em ov N of y da h .. Done at Addis Ababa, this 7t
CONSOLIDATION NOTE l na e igi or Th . ion at · lam oc · r p· e th • of n t1'o ca 1 bl' The date given here 1s the date · of pu Decree, 23/1 (1963) o. 51, was publis�ed on 16th Septeniber 1963. . .
- 615 -
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. 14/,3 (L9J4) l. t4S. * A BRQ,C1'AMA11C>H '18 IDNtJO, UllAGE AGIHC1l:JL • TURAL MW INDUSTRIAL EXPANSION liN mu1R iEM!PIIR.E 1 L!EON �F · 'fifffi: "fialIBif:. 0¥1 JUDAH CONQUER!ING HAILE SELLASSffi I . EIJBCT QF G©D, mMPiER'.,_OR QF BTIDOPIA hl accordan.ce with Article 34 of Our C@nstituti@u We app_,rove the Resolutions of Our Senate aimed the Chamber of Depl!lties an.d We �ccordingly proclaim as
follows:
CG>NSOLlDATI,@ N , NOTE The Constitution referred to here is the Constitution of 1931, which was repealed and replaced by the Revised Constirution, 15/2 (1955) P. 149, 1 Consol. L. Eth. 1. The Article of Rev. Const. parallel to tl1e cited one is 88.
1. Th.is Proclam.ation may be cited as the ''Agricultural and Industrial Expan sion Proclamation of 1954''. 2. Notwithstanding the provisions of any other Proclamation or Regulations or any other provisions of law, no customs import dt1ty, tax or tariff, or health or education iax, or perso11al or business tax, or ·n1unicipal tax or tax of any kind or de.scription sl1all be leviecl.or collected on any agricultural or industrial machine, implement, appliance, or part thereof on the import of st1ch articles into Our Empire. 3. As used herein the term ''agricultural machine, implement, appliance or part thereof' shall include any rnachine, implement, appliance or part thereof intended for use in tl1e preparatio11 or cultivation of the soil or the harvesting, sepa_ration, preparation or cleaning, of the products of the soil, or t11e production of farm a.nimals or the separation, processing, ··preparation, or cleaning of the proclucts thereof. 4. As used herein the tern1 ''industrial machine, implement, appliance, or part thereof' shall include any macl1ine, im1)le111ent, a.ppliance, or part thereof intended for use in the production of services, g9ods, wares or mercl1andise, except those items specifically excluded in paragrapl1 5 belo"Y-'. 5. As used herein the term '�industria1 machine, i1n.plement, appliance, or part thereor' shall not include sewing n1achines and pa1·ts thereof, fire extinguishing apparatus and parts and refills thereof, typewriters, automatic sales machines, calculating machines, cash ·registers, copy· presses, cheqt1e perforators, dating machines, duplicating machil1es, numbering machines, office machines, office supplies or equipment, weighing and measuring n1a.chines or appliances, petrol pumps, oil pumps, vehicles or parts thereof.
. --------=-�--• INTRODUCTORY FOOTNOTE
Repd. 23/1 (1963) D. SJ Art. 2 (1) (a); reiristated 26/2 (1966) P. 242 Art. 2 (4),
19 Consol, L.. Eth. 4, (amending Decree 51 in promulgating it a.s 3 Pr�l�tjon),
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ECONOMIC, PLANNING ;\ND DEVELOPMENT
19-4,5
6. Upon tl1e export of Ethiopian products packed i11 containers man11factured or !abricated in Etl1i?pia from iro11 or steel plate, s.l1eets, or tin plate cut to size, pl�m or decorated� imported fr ?n1 abroad, tl1e f11ll amou11t of the in1port duty paid on the . mater1�ls f :om wl1 1cl1 sucl1 contai11ers were 1nade less 5 % thereof, shall be credited _against import d11ties,cl11e on s11bsequent in1ports of s11ch materials by the exporter-rmporter. 7. All provisions of law co11trary l1ereto are hereby repealed. 8. This Proclamation shall have effect fro1n the date of its publicatio11 in tl1e Negarit Gazetta. Done at Addis Ababa, this 30th day of November, 1953.
B. Tourism 24 I I (1964) 0.36* A N ORDER TO PROVIDE FOR THE CREATION OF "' THE ETIDOPIAN l OURIST ORGANIZATION CONQUERING LION OF THE TRIBE OF JUDAI-I HAILE SELLASSIE I ELECT OF GOD, EMPEROR OF ETHIOPIA WHEREAS, it is in the national i11terest that tourists be enco11raged and stimulated to visit Our country; •.
WHEREAS, it is necessary that a central ad1ninistration be created to plan and implement programmes to promote tourism and to encourage the establish ment and maintenance of necessary tourist facilities;
NOW, THEREFORE, in accordance witl1 Article 27 of Our Revised Constitt1tion, We hereby order as follows: 1. This Order n1ay be cited as the ''Ethiopian To11rist Organization Order, 1964''. 2. There is hereby created a n Ethiopiai1 Tour� st Organization (here� a�er the ''Organization'') as a n autonomous Public Autbor1ty of the Impen_�l Eth1op1an _ _ Government (hereinafter tl1e ''Government'') acting under the superv1s1on of the Minister of Information and Tourism. CONSOLIDATION NOTE Imp/. amcl. 25/23 (1966) 0.46 Art. 2 (20) 3 Conso!. L. Eth. l-2 �20) (transferring all duties connected with tourism to tf1 e Ministry of Jnformat1on and 1, ourtsm). • JNTRODUCTORY FOOTNOTE
Imp/. «m<i. 25/23 (1966) 0.46.
,- 617 _,,,
3_ {l) Toe Oigait1�at:ia,n sb•ala ll>e h'&adetd by ain Administ� at0ir of Tou rism (hereinafter the ''Adtmnistra tor''' Wilio sillta,11 be apJ1)€>1n·ted by tis. uh t tl er i ic e @1 of iv e ut e f e rg O e E � a ie eh a (2) The Administrator shall b>e �he . ke ns 'if rs io at we er p,0 0p , liesp on.. s i t: ge na m 1 • a cl n t ec r r di tion and shai}ll l al @e d sh ste ve i re ne i e the r fo bd ic 0v pr s tie du � d . si1 bilities an e at y t . leg to de e th on �h aiu same to l fu e h..a l al sh o wh , Gr i at s1lr lin 1 AG!ll 1 the eix:tent he shall deem appropriate. 4. The priacip>al p1:1rpose of the Org:llni�atien shall be to stimulate and encour� age tourism in Ethio·pia and to facilitate the taking of all measures, both within and without Ethiopia to this en.d. 1
1
5. The Organization shall have all powers necessary to the attainment of the pu.rposes, includin.g, without limitation,, the following: (1) to enter into contract with pr:vate, Government and semi-Governmental bodies and agencies in Ethiopia and abroad; (2) to establish branch offices,
lI1
Etl1iopia and abroad;
(3) to co-ordinate tl1e operations of tourist facilities, services and attraction.s within Ethiopia; (4) to prepare and dissen1i11c1te infor111ation conce.rning tourism in Ethiopia; (5) to co-ordinate and make reco1nmenclations concerning the activities of all Government Ministries, De1)art1nents, Public Authorities and provincial, n1unicipal and local administratio11s wl1icl1 concern tourism; (6) to encourage the establisb111ent by private entities a11d organizations of tourist facilities and senices; (7) to engage in tl1e business of providing tott1·ist facilities and services to the extent that the same are not adequately provided by private e11tities and organizations; (8) wl1en so requested and by rnt1tual agreement, to act as age11t for otl1er Government Ministries, Departments and Public At1tl1orities i11 the carryi�g out of activities relating to tourism; (9) to establish a system of classification or otherwise derermine the classes of hotels, inns, restaurants, transport services a lid of all other facilities an? services catering to tourists when no sucl, systen, of classification eX1sts or has been agreed upon between interested associati ons; es, rit � autl1 (10) to recommer>:d to the appropriate Govern.ment and municipal ? n a scale 0� pnces or �?arges to be applied by any entity or organizatio ce e abs � the engaged m the position of �ourist facilities or services if s r tou ?f sue� a �cale of prices and charges a.ppears to effect adversely im 1n Eth1op1a.
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ECONOMIC PLANNING AND DEVELOPMENT
19-5
ations from o tions (11) to accel ?t contri entities engaged in and d carrying ? � ? _ _ _ .. on tot1r1st ac!1v1t !es or benef1�1ng from said activities or amounts paid to the _Or�an.1zat1on representmg charges for services performed by the Organ1zat1on on behalf of and at the request of any such entity; and (12) generally, to all such acts and tl1ings calct1lated to facilitate and con tribute to the promotion, fosteri11g and maintenance of tot1risn1 in Ethiopia. 6. (l) There sh�ll be establisl1ed a ft1nd which shall consist of: (a) all monies received by the Organization for service performed as provided hereunder; (b) all contributions and donatio11s n1ade to the Organization; (c) any other monies received by the Organization as a result of activities carried out by it hereunder; and (d) an annual Gover111ne11t subsidy based on au estimate prepared by the Administrator and ·approved by the Minister of Information and Tourism which s11all be jncluded in tl1e a.nnual budget of the Government. .
(2) Such funds shall be lodged in a private bank in Etl1iopia in a separate depo�it account in the name of the Organization, which shall be resp onsible for the expenditure of the fund to effectuate the objectives and pu.rposes of this Order in accordance with the annual budget of the Organizatio11. (3) The Organization shall set aside and bold as reserve any portions of the ft1nd indicated in subsections (a), (b) and (c) of section (1) of the present Article 6 which ren1ain uncommitted at the end of a current fiscal year. (4) The Organization shall keep accounts of expenditure and revenues and shall within two (2) months after the expiration of each fiscal year, render a statement of expenditures and revenues for the previous year, as the Auditor Genera.I may require, to him and to the Ministry of Finance. CONSOLIDATJON NOTE /mp{. amd. 25/23 ()966)
o.
46 Art. 2 (20), 3. Cons�!. L. Eth. 1-2 �20) (transferring all duties connected with tourism to the Ministry of Informat1on and Tounsm).
ities an d the tiv ac its of t or ep R al nu · · · An an ish bl pu 11 h · · Th e o rgan1zat'10n s a rposes, and sh8•11 submi·t SUCh reP ort
7. . progress that it has made in acl1ieving its pu _ · cal year to the M1n1ster of Information and a programme of work f or the coming fis and Tourism within th re e (3) months after tl1e end f eac h f'tscaI year
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CONS0>1L:J1ID.�OON J:S1 tlil1E
ltnpl. amd. 25/23 (1966) 0. 46Art.2(20,, 3 Consol._ L. Eih. 1-2 (2�) (transfeuing all duties conneeted "'ith tourism to the Minjstry of Jnfora:m.ation a,nd Toti,t1sm).
8. Tl1e Administrator may after approval_ by tlie Minister of �or. mat iQn and Tou.rism� issue iregulations for the b>eut�t earry1ng out of the prov1s1on:s hereof. 1
CO'NSOLJDATION NOTE /mpl. a.md. 25/23 (1966) O. 46 Art. 2 (20�, 3 C01isoJ. L. Eth. 1-2 (20) (transferring all duties coli)nected with toniism to ithe Ministry of Iooorma1 ti0a and Touliism).
9. This Order shall come into force on toe date of its publication in the
Negarit Gazetta,
Done at Addis Ababa, this 21st day of September, 1964 28 /24 (1969) L. 371 REGULATIONS IS,SUED PURSUANT TO l'BE: ETIIlOPIAN TOURIST ORGANIZATION ORDER, 1964.
1. These Regulations are issued by the Minister of Commerce, Industry & Tourism purs11ant to authority vested in him· by Article 5 (Sub Article 9) and A..rticle 8 of tl1e Ethiopia11 To11rist Organization Orcler (Orcler No. 36 of 1964). 2. These Regulations may be cited as the ''Etl1io1:>ian Tourist Organization Regulations, 1969''. 3. Facilities and services cateri11g to to11rists sl1all ·be classified according to definitions and standards set forth below: 4. DEFINITIONS As t1sed herein, t1n1ess the context otherwise req11ires, the following tenns shall }1ave tl1e meaning described belo\v: (1) ''Tourist'' means a traveller who seeks overnight accommodation or meals, or guidance or assistance in arranging l1is journe)'; (2) ''I-Iotel'' means any b11i.lding or premises containing lodging which are offered to the public i11 return for payn1e11t; H�t �l �' means any hotel, usually located in nonurban area, (3) ''Res ort _
offermg fac1l1t1es for sports and other recreation:, in additional to the lodging;
(4) "Touring �otel'' means a hotel, 11sually located along a highway _
to accommodate those persons travelling about by intended chiefly _ motor vehicles; (S) _"Camping a�e�'' means a tourist establishment offerin accommodation g in tents or s1m1lar non-permanent str11ctures • ' - 620 -
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ECONOMIC PLANN·IN(.i AND DEVEI�OPMENT
19-6
(6) ''Restaurant'' means an)' establisl1ment offering food to tl1e public return for payment;
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(7) ''Tr�ve l �gency'' mea1 �s any eslab1islune11t or organization wl1os e . busmess 1s that of ass1stm g travellers in arranging accommodation, _ tr ansportation, or any otl1er aspect of tl1eir jou111ey; .
(8) ''T�ur o perator'' mea11s any establishment or organization whose bus1nes � 1s . that of 1:1rr,tnging, ancl escorting persons in visits to places of public interest; (9) "Guide" means ai1y individual wl10 offers his services for a fee in �onclucting persons to c1nd tl1rough, and explaining places of public mterest; (10) "Souvenir shop'' 1neans any store specialized in the sale of handicrafts,
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artifacts,
or otl1er 1nementos.
5. DE LUXE HOTELS (I) Btt �ld �11g �nll 1n _c1nc, ?e1 !1-e1zt: A D ;-Luxe _l1otel _ should occupy the entire bu1ldmg m which 1t 1s located. The building should be fully air-con ditioned and/ or heated, if local cli1�atic conditions so require. Tl1e management should b e experienced in the operation of De-Luxe or class A hotels. (2) Staff: Staff members should be well-trained or experienced and should wea r clean, neat and \\'ell-fitting u.niforms, according to the work to be performed. Personnel dealing directly witl1, or serving guests sho11ld have a functiona.l knowledge of one foreign language and preferably one addtion al foreign language. (3) Public Space: The entrance �rea should be s:pa�ious and well-appoin;ted
as should be the lobby. Area should be available to accommodate conferences of at least one hundred perso11s; such area should be also suitable for private dining pa rties. A writing room, a cocktail lounge, and a television set should b e prese11t. Separate men's and women's toilets should be located 11ear the lobby, as well as powder roo1n facilities. (4) Restaurant: The number of seats in the restaurant should be at least fifty per cent of the beds in the l1otel. A full . breakfast menu should be offered a nd a selection of at least three different ·complete meals should be offered at lunch and dinner, a s well as a.n ''a la carte'' menu. A large choice of domestic and impo� ed win<? s and ot�er alcoholic drinks should be available. Room service, offering a cho1ce of snacl�s and beverages, should function· twenty-four hours per d.ay. (5) Rooms: There should be at least one hundred rooms, at l�ast five per cent of which should be suites. All roo�s sl1ould be with bath and toilet, and ru:nrung hot water sl1ot1!d be avail able twenty-four �ours per day . One bath towel and ·two ordinary towels sl1ould be ft1rrushed
- 621 -
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"'"'=-,,,.,, ' �-:"""""" --:--:-:-:� ......... � ......... ,...,......._____..,.,,...__...,....___--....-.,,,....... eha1ged claiI,, as sh0uld be hes 1ine
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as. Rresh · eaeh oCQapant ani d i . nit w ,a ne eu eh oc ea r fo d lie pp sll) b� so al soap should A single r.eom sh©l!lld occupy minimali� tea squ•a1re m.et.er,s and a d0ubI Ffl<llm., fijteea sqiuane m�ters. Beds ana. b>eadin�. flwl!li:ture, carpers: lighting and othe:r decor sl: 0uld be of �lll(} qual1t-y. Telephones With internal and extennal oonnect1.0ns sJiould be present in each room togetlher wita a Faclii@� Television shoul1 d be aYailable upon request'. Al medrooms and bathto.o·ms shoulld b� i,nsulla1tea f@r sound and well ventiilated. ,.
(6) Miscella,ne0us: £ervices wh1ich s•laou:ltl be availa.Jele for guests free ef
charge are baggage storage service, shoe polishing, safe-keeping of valuables, mailing service, entertainment reservation service and parking space. Other services whlch should be offered and for which a charge which a charge may be made, are laundry, ironing and dry cleaning. A souvenir gift shop wjth a variety of ite 1ns for sale, such as newspapers and postcards, as well as souvenirs sl1ould be present within the building. A hairdresser's salon for women sl1ould be on the premises. There should be a se1Jarate ent�ance and separate lifts for suppliers and staff personnel, and a staff service roon1 with space for all essential supplies and equipment on eacl1 floor. Separate dining-room, shower and toilet facilities should be available for tl1e staff.
6. CLASS A HOTF,IS
(1) Building a11d Ma11l1ge1neJ1t: A class A hotel should occupy the entire bu.ilding in which it is located. The builcling should be fully ajr• conditioned and/ or heated, if local climatic conditions so require. The mana.gement and personnel sho·uld be experienced i11 the operation of class A hotels. (2) Staff: Staff members should be well-trai11ed. or experienced and sl1ould wear clean, neat and well-fitting t1niforms, according to the wo rk to be perfor1.ned. Personnel dealing directly witl1, or serving guests should have a !�ctional �owledge of one foreign Ia11guage and preferably one add1t1onal foreign language. d ointe pp (3) Public Space: The entraice area should be spaciotis and well a te oda 1m as should be the lobby. Area should be ,lvailable to accon Is a be d sl1oul at co �erences of _ lea � �everal dozen persons; such area .s10. � suitable for private dm1rg parties. A cocktail lounge and a telev1 l d hou s s toilet should be present. Separate men's a.nd wome.n's set be located near the loblJy as well as powder room facilities. uld sho : . area as space, public A� well as any other entertainment o r ref the suitably so�nd-proof or insulated so that noise emanating does not disturb guests in their roams. - 622 -
EcoNO�tIC PL1\NNING AND DEVELOPMENT
19-6
(4) Restai1ra11t: The nu111ber of seats i11 tl1e ·restaura11t sl1ot1ld be at least fifty per cent of tl1e beds in tl1e l1otel. A ft1ll breakfast menu sl1ould be offered and a selection of at least two different complete meals sl1ould be offered at luncl1 a11d din11er, as well as an ''a la carte'' menu. A large cl1oice of domestic and i111ported wines and otl1er alcoholic drinks should be available. Hotel restaurants sho11ld also adhere to tl1e stanclards set forth under ·''Restaurants'', below. Roon1 service, offering a choice of snacks and beverages should function for a period of four hours each morning and for hours eacl1 evening.
.•
(5) Roo111s: ... f]1eresl1ould be at least seventy-five rooms, at least three per cent of whicl1 should be suiters. Seventy-five per cent of the rooms should be with batl1 and toilet, tl1e rest with shower and toilet. Ru11ning hot water sl1ould be available twenty-fo11r hours per day. One batl1 towel and two ordinary towels sho11ld be furnished each occupant and changed daily, as sho11ld tl1e bed linens. Fresl1 soap sl1011ld also be supplied for eacl1 new occupant. A single room should occupy .minimally ten sqt1are n1eters and double room, fifteen square meters. Beds and bedding, fttrniture, carpets, lighting and other decor should be of fine quality. Telephones with internal and external connections should be present in eacl1 · roon1 together with a radio. Television should be available upon request. All bed rooms and bathrooms should be insulated for sound and well ventilated. (6) Miscellaneoi1s: Services wl1icl1 should be available for guests free of
cl1arge are baggage storage service. shoe polishing, safekeeping of valuables, mailing service, entertainme11t reservation service and parking space. Other services whicl1 should be offered and for which a charge may be made, are laundry, ironing and dry cleaning. A_ news stand, witl1 such items as newspapers, n1agazines, post-cards and stamps, should be present;
7. CLASS B HOTELS (I) Building: A class B hotel should occupy at least a majority of the space of the building in which it is located and should be totally separated from other parts of the building. ° se g al 1o , de tl d , an ed rm ifo un ly at ! ne be ld ou sh l ne on (2) Staff: Staff pers ign re fo e on ge of led ow kn l na tio nc fu a ve ha ld ou sl1 ts directly with gues language. - 623 -
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CONSOLIDATED L�M'S OF E'Flill10PlA
----------------------------------
119-6
(:3) Pu.blic 'S'paee; T,he hotel should l11ave an emwance of its own, a suitable receip1ioa desk and a jleasmt waiiting area. There should be separate men's and women's totl.et near the .lieception hall. (4) Restaurant: rtl-be dining-roe2m shol!dd be pleasan.tlly furnished, with the nium0e1· o1 S<¾tts eq(Ua1 tio an least !llifty pe•r ce:at @f the beds in the hoteL A choice of foods should be a¥ailable fer hiteakfast, with !'Unch and dinner available upon re(J}ues.t, (a!ltlho,ugh t!he mwu may be fixed). Rest�LJlrants should also adhere to the. sta:ndaxds prescribed in Article 12 hereof. (5) Rooms: There should be ct least firfteeEJ. rooms with a toilet, a sink, and either a bath or shower in each of them. Running hot water should
be available for twenty-four hours per day. Two towels per occupant should be supplied, to be changed every second day. Fresh bed linens should be supplied to eacb new occupant and changed at least twice per week therea.fter. A single room shot1ld occupy minimally eight square meters, and a doi1b:e room, twelve square meters. The furniture and oth<:,r d�cor should be pleasant, the mattress and linen,. of .good qualiiy; and the ventilation and sound-insulation good. ,A,;.. two-wa)r call bell sholud :unction in eacl1 room, and a telephone with external connections shot1ld be present on each £1001·.
(6) Miscellar1eous: Luggage storage service� shoe polishing, a safe for valu ables and mailing services 3hould be provided, free of charge. Ironing service sl1ould be availa.ble for a fee. There should be separate )l1ower and toilet for personnel. Adequate service and storage space sb.ouid also be present. A separate entrance and separate lifts for suppliers and staff should be provided.
8. CLASS C HOTELS (1) BL1.ilcling: A class C l1otel 111a.y occupy a part of a bt1ilding but should have i ts own entrance. A sign annotmcing tl1e name of the hotel should be clearly visible. (2) Stctff: Staff members sl1ould be neatly unifor111ed. (3) Public Space: The entranc� area should. be pleasant and the waiting
area, neat and suitably furnished. (4) Roo1ns: Hot and cold rttnlling water should be prese11t jn each room with hot water available at least four I1ours eacl1 mornjng a11d four hours each evening. There should be ha.th (or sl1ower) and toilet at . a rate of one for each ten beds, or at least 011e 1Jer floor. Two fresh towels and fresl1 bed linen should be supplied each new occupant and changed at least once per week. A single room s11ould occupy minimally seven sqi1are meters, and a double room, twelve square meters. Fu1·11iture sl1ould be in good condition and include a stool for luggage, chajr and a night-table for each bed, a wardrobe with hangers and shelves, and blinds or curtains for the windows. -624 -
EcoNOlvtlC .PLANNING AND DEVELOPMENT
Mattresses a11d beddn1g should be of good quality, and the lighting should be adequate at each bed a11d sink. A two-way call bell sl1ould be present in each room, and telepho11e with external connection available in the building. (5) lvliscellc1neous: A safe for valuables should be av_ailable for guests' use and an iron available for self service. There sl1ould be separate toilet facilities for personnel, preferably with shower. Adequate service and storage space should also be present. The l1otel must have a mailing address. 9. RESORT HOTELS Shall meet the standards of at least the class B hotel category and in addition provide such recreational facilities as shall be suited for the entertainment and a.musement of the guests who seek relaxation and vacation. All meals must be available. Children's play ground and other facilities to provide safe recreational opportunities for families with young children should be provided. 10. TOURING HOTELS Shall meet the standards of at least the class B hotel category, have good parking areas for motor cars and buses, and have gasoline oil and simple mechan.ical repair facilities. Some recreation facilities should be available, particularly for children. 11. ALL HOTELS All l1otels, of wl1atever class, shall adhere to the following requirements: (I) Safety Provisio11s: Fire extinguisl1ing must be present in the kitchen, public rooms, dining-room and l1all-ways, with at least one extinguisher for each ten bed roo111s and/ or storerooms on each hallway. Adequate emergency exist shall be prese11t and clearly marked and a good supply of first-aid equipn1ent available to guests at all times. (2) Refi,se: All refuse, incluiling rubbish and garbage, must be disposed of daily; be incinerted, or otherwise removed daily from the premises. The refuse area and containers shall be kept in a sanitary conditions. (3) C/eanli11ess and Upkeep: All hotel b11iJdings must be kept painted and repaired and in a clean and sanitary condition. The grounds must also be kept clean and well-maintained, free of refuse and litter. All building, facilities and grounds should be kept free of rodents, vennin and other pests. In addition, in areas where the existence of insects cre,ttes a nuisance, mosquito or insect screening or netting, or some other effective means of excluding insects must be present. (4) Foocl c1r1d Water: All l1otels sl1all adhere to the provisions of Municipal Public Health Rules, issued with regard to water and food and such other rules and regulations as may be issued. (5) Any hotel above three floors must provide elevator service for guests.
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1�6
Oo.NSOLIDATED' LAWS <:>F ETHIOPIA ·
. (6) frice Lists: A list_ of p-ices o� all rooms, with and with ut . � _ _ boa desk. A more must be available at �e.�ecept10� detailed list, givird, n meal room, the hour_ s th.e room number·, the price o! , check-out tnn and other pertinent informa�:1on, must be p�st�d m ea�h room. Af standard for both lists will be issued by the Eth1op1an TourISt Orga ni za. tioii (hereinafter the '':ij,TO'') 12. Resturanta (1) Size and Decor: Restawants sho1uld be pleasantly furnished and con. tain a minimum of 35 �eats, and table width should be at least 125 centimeters per sear-tabl�. . (2) Me11u: A separate menu, including price for all food and drinks and
includmg any services d1arge sl1ould be presented to each guest. A similar menu should be clearly displayed near the entrance to the restaurant and be visiblt from outside the dining-room. Meal hours should also be posted near the entrance.
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(3) Linen and Utensils: l'-Ja_?kins for each gues-t and table-cloth for each
table shall be linen and must be changed for each party. Utensils, cutlery, and glasses· shall be t1nifor1n tl1ro11ghot1t the restaurant and of good quality.
(4) Staff: Waiters should be attired in clean a.nd neat and well-fitting
uniforms and sl1ould ha.ve a functional knowledge of. one for eign language. A headwaiter should be present at all times, to receive and seat guests and to super1ise the service. All lcitchen staff sl1ould wear clean and neat uniforms, including head-covers, which must be changed daily. Bus boys should· tlso be neatly ur1iformed.
(5) Kitchen: The kitchen a·ea and eq11ip111ent 111ust be kept neat and clean. Proper ventilation n1ust be present to prevent food odors from escaping into ·the dining area. (6) Safety Equip,nent: First-aid equip111e11t �111d fire extinguishers must be
present on the premises.
t mus ts toile (7) 6.ther facilitie.v: Separate �11d �le_an washrooms, j 11cltiding for le availa b men fo� and e available women. A cloak area must be .b _ es. guests f�ee of charge, and a t�lephone shotild be on the preDlls rs. embe m facilities . must also be · provided for staff . Separate toilet .
· 13 .. TRAVEL AGENCIES
.
o nc age (1) Appearance a114 co,npetence: The appearance of travei y �C� n ess pro personnel shall be , d f io and neat the and an pleasant . . .. competency of the perscnnel shall be of high level . - 626 -
ECONOMIC PLANNING AND DEVELOPMENT
19-6
(2) Languc1ge Reqi,ire111e11ts: Travel agencies must be able to conduct business with tl1e public in at least two foreign languages; English may be useful as one of the foreign languages. (3) B11sit1ess Practices: Tra.vel agencies must adhere to tl1e following practices in the conduct of their business: (a) Establish and maintain a code of higl1 ethical standards of business conduct in the industry, promote co-operation and co-ordination in the trade a.nd witl1 otl1ers, and with all tourism facilities and the indt1stry in general. (b) Establish and 111aintain a higl1 standard of conduct with the public and maintain fiscal responsibility i11 dealings with the public. (c) Engage in fair competition whicl1 will promote initiative and enter prise. May not charge a fee beyond fair fees for services rendered. (d) Qualified employees n1ust be utilized and trained to provide good services custo1narily expected and warranted by s11ch and efficient • agencies.
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(e) The establis·hn1ent n1ust be clean and attractive, have waiting area and rest roo1ns, telepl1one com1ections and provicle an1ple s11pply of fre.e literature wl1icl1 will publicize travel opportunities and places of interest in Ethiopia. "
14. TOUR OPERATORS (l) ToL1rs: · Itineraries of scl1eduled tours must be approved by the ETO on the basis of their inherent touristic interest and appeal. Prices for scheduled to11rs, shall not vary according to tl1e number of participants. If any scl1edu1ed tours reqttires a minimum number participants this fact shall be clearly stated to prospective participants. If the minimum number of participants is not obtained, other participants shall be info1·med no later than one hour before the tour is scheduled to begin. All meals shall be served, and all overnight stops shall be made, in restaurants and hotels recommended by the ETO. (2) Guides ancl Drivers: In all tours, at least one guide must be present in each vehicle. In vehicles carrying no more than ten passengers, the driver may serve as guide. In vehicles carrying more than ten passengers, a separate guide shall be present. (3) Toz,,r Vehicles: Tour vel1icles must exhibit a clean and neat appear ance. Tour vehicles larger tl1an six-passenger automobiles must be equiped witl1 loud-speakers for the use of the guide. Tour vehicles must be also equipped with at least five gallons of boiled water, and a first aid kit. Insura.nce sufficient to cover full liability for all passengers under relevant provisions of the commercial code must be carried.
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l 5. OUIID>ES (1) Language Requirement'S;: All guides wh�th.er self-e�ployed or em. 1n fluent be oae fot,_e1gp lang1:1age. pleyea by tour operators, must
s t s mu ide present a neat a·nd gu l • Al : rice ete mp Co d e an nc ara pe (2) Ap clean appearance. Ml gl!lides must be lkn.owled.geable _ab�l!lt tlle culture, mstory, g�ography, g@�ernment _and pe@ple of �thiop1a and to this eaa, attenclan.ee at pe:cioa� sem1m:at� of raefuresher courses for guide s, sponsored by th e ETO may be Fequ,ired.
16. SOUVENIR SHOPS (1) Appearance: The exterior and interior of souvenir shops shall be
clean and attractive.
(2) Sales persor,,nel: Sales personnel shall be neat and clean and be familiar with the entire raoge of stock sold and shall be able to deal with customers in at least two foreign languages. (3) Articles to be sold: A wide-range of representative Ethiopian articles should be sold, ,1nd the price.s of st1ch articles sl1ould be clearly marked.
17. Ff.t-cIAL PROVISIONS (I) Irzspectior1s cind price co11s:de1·ations: '"fhe Administrator of the Ethio pian Tourist Organization, ::>r his representative, s11all inspect or examine fro1n time to time the tourist facilities and services enu,merated in Articles 5 through 16 hereof to determine their adl1erence to the standards set fortl1 therein. The reasonaJleness of prices cl1arged shall also be con sidered, in light of, inter alia, the capital investment and operating costs• of the facility or services and a fair profit to such facility or service. (2) Certificates of approval arid clast1·ification: Tourist facilities a.nd ser vices satisfactorily adl1ering to the standards set forth in Article 5 through 11 hereof and satisfying the corntnittee as to tl1e rea,sonable ness of their prices, shall be awarded certificates indicating that they have earned tl1e approval of the Ethiopia11 Tourist Organization. In the case of hotels, such certificates sl1all indicate the classification 10 which the hotel has been assigned. Any tourist facility or service wl1ich is awarded a certificate pursua.nt to th�se Regulati?n� shall at all times display the certificat� in � a es, guid of w1th1n the spot promment place of bttsiness. Jn the case badge issued by ETO shall be worn. 18. EFFECTIVE DATE in n tio ca These Regulations shall enter into force on the date of their publi the Negarit Gazetta.
Done at Addis Ababa, this 14th day of July, 1969. - 628 -
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KRP14 1972 V.
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E·thiopia Consolida·ted laws of Ethiopia; an unofficial compilatio11 of national laws in effect as of
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3 9156 00433655 3 .
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