- Once a company obtains a business license, it has ongoing tax filing obligations, even if it is inactive. If a company’s operation in Afghanistan is complete, the company must continue to make required quarterly and annual tax filings, or take steps to close the company, or it will incur penalties and late fees.
- To be able to initiate the closure process, the company should have a current tax clearance certificate.
- An application is to be submitted to Afghan Central Business Registry (ACBR). ACBR will issue inquiry letters to the Customs Department, relevant tax offices and Tax Identification Number Department.
- The relevant tax offices will initiate the assessment by issuing the inquiry letters to different government and non-government entities, to obtain information with regard to obligation that the company may have towards any government and non-government organization.
- The number of inquiry letters differs from time to time. If the company is not audited through the years of its operation, the relevant tax office may conduct a tax audit of the company, even if it is inactive.
- Once the assessment is finalized within the relevant tax office, ACBR will then be informed to initiate the closure of the company and remove it from the ACBR system.