Filing and Paying Dates
General
Aruba’s tax system is based on two different systems, each with their own stipulations for filing and paying of the taxes due. These systems are:
- Assessment taxes.
- Filed return taxes.
Assessment taxes
The taxes due based on an assessment are for example the corporate income tax and the individual income tax. The tax payer annually has to file the issued return within two months after its date of issue. If the tax payer cannot file the return within this 2 month period, a request for an extension – with a maximum of 12 months – can be filed at the tax authorities.
Please note that if no return has been received within 6 months after the end of the tax year, the tax payer is obliged to request a return within 15 days after the 6 months have expired. Failure to comply with this obligation may result in a maximum of 6 months imprisonment and/or a monetary penalty of a maximum of AWG 100,000 (USD 56,180).
Based on the return, the tax authorities will issue an assessment. The assessment should be paid within 2 months after the date of the assessment. The tax authorities can always deviate from the filed return.
The tax authorities can impose preliminary assessments during the current financial year. In that case the amount due in the preliminary assessment can be paid in as many installments as months remain in the financial year. Interest will be charged if the payment regulation is used.
Filed return taxes
The taxes due based on a return are for example wage tax, turnover tax (BBO), social security premiums and dividend withholding tax. The wage tax, turnover tax and social security premiums returns should be filed within 15 days after the month-end, while also the amount due should be paid within these 15 days. It is not obligatory to pay the amount due when filing the return and vise versa; the filing of the return and payment of the amount due can occur separately.
The dividend withholding tax is due within 15 days after the dividend becomes payable, i.e. is at the disposal of the shareholder. We refer to our “highlights dividend withholding tax“.
Objection and appeal
It is possible to file an objection (appeal) at the tax authorities (Tax Appeal Court) within two months after the date of the assessment (date of the decision regarding the objection).