22 Jul 2015 10:50am
RUNDU, 22 JUL (NAMPA) Close to 75 businesses in Rundu have been deregistered, an official in the Public Health Department of the Rundu Town Council has revealed.
This figure includes businesses that did not renew their registration status to avoid paying for the renewal, while others were found to have been set up without being registered from the beginning.
It is true that people have no idea about the process of business registrations but some of them just deliberately do not renew their certificates for fear of payment. Sithembinkosi Moyo told Nampa in an interview on Tuesday.
Business owners, she explained, are expected to renew their registration and fitness certificate every year before 31 March, as per local authorities regulation pertaining to businesses.
Letters are also sent out at the beginning of the year to remind people of the regulations applicable, and urge them to register their businesses.
We keep putting this information in their mail boxes to let everyone know. I also know that the Ministry of Finance and the banks require the fitness certificate when you are opening an account or when you are registering for VAT. she stated.
She said the challenge is that businesspersons have made it a habit not to renew their business registrations, after registering it the first time around.
Moyo said the town council conducted a weeklong operation this month in which they traced unregistered businesses.
The 75 unregistered businesses are only from the central part of Rundu town.
Informal settlements and shebeens still have to be targeted, she said.
Shebeens, which must have liquor licenses, are forced to renew because they do not get a liquor license without a valid fitness certificate, which also lapses on 31 March. she said.
However there are still some shebeens operating illegally, she indicated, adding that they are next to be targeted in the second operation by the town council.
Expiry dates of fitness certificates and the requirements of different businesses whether salons, barber shops or food outlets are just some of the information shared when a person would like to start a new business.
Those that did not renew have penalties already which are 20 per cent of the registration fee, which ranges from N.dollars 500 to N.dollars 6 000.
If, for instance, a supermarket has not renewed their registration for the year and we are now in July, it means that the owner must pay a penalty of 20 per cent of the N.dollars 6 000 for each of the four months. she explained.
Businesses that have not been registered at all will be forced to pay N.dollars 700, which is the amount charged for registration.
It is difficult for the town council to determine when this person started operating, thus it will be difficult to work out the years in which this particular person was already operating. It is for this reason that we treat them as first time business registrations. she said.
The following year, they too are expected to renew their registration according to the type of business they run.