PHILIPSBURG:--- The Ministry of Finance has officially published the 2024 tax tables, which go into effect retroactively as of 1 January 2024. These tables provide taxpayers with essential guidance for their tax calculations and filings. While the release comes much later than it should have, the impact remains positive, as taxpayers have until May 31, 2025, to submit their 2024 tax returns.
Due to the delayed publication of the 2023 tax tables, which were only released in December 2024, most businesses have used the 2022 tax tables for the past two years. Compared to the 2022 tax tables for wage tax, the 2024 brackets are larger, which, in some instances, may have a positive financial impact on certain individuals.
The publication of the 2024 tax tables allows individuals and businesses to verify their taxable income, ensuring compliance with tax regulations and accurate reporting. Additionally, taxpayers can now calculate the exact amount they owe for 2024 or determine if they are entitled to a refund from the government. Despite the late release, the tax tables remain a valuable tool for gaining insight when filing 2024 tax returns.
Example of Potential Tax Refund for Some Taxpayers
Some taxpayers may get a tax refund for 2024 due to the updated tax brackets. Here’s a simple example:
- A person earns NAf 34,000 in 2024.
- In 2022, income up to NAf 30,000 was taxed at 12.5%.
- In 2024, that limit increased to NAf 34,000, meaning income up to NAf 34,000 is taxed at 12.5%.
Because employers used the 2022 tax tables, they withheld too much tax (20% instead of 12.5%) on the extra NAf 4,000 during the year 2024. After filing the 2024 tax return, the government will have to refund the difference, which is the extra tax paid on that NAf 4,000.
Minister of Finance, Marinka Gumbs, stated: "The above example shows the importance of having tax tables published timely as it prevents unnecessary high tax withholdings for individuals in some instances. Although the tax tables for 2024 were released later than expected, they remain a key resource for individuals and businesses in preparing their tax filings. The Minister encourages taxpayers to review these tables carefully to ensure their filings reflect the correct calculations.
The Ministry of Finance will now resume with finalizing and publishing the 2025 tax tables and intends to have this published within the coming months. For further information and to access the 2024 tax tables, please visit https://www.sintmaartengov.org/government/Pages/Official-Publications.aspx
