Economist calls for greater tax flexibility to support start-up companies

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Economist and university lecturer Gaspar Mateus João has called for greater flexibility from Angola’s tax authorities in dealing with businesses, particularly those at an early stage of activity, warning that excessive tax pressure can contribute to the premature closure of many projects.

In an interview with the newspaper Expansão, the specialist said the Administração Geral Tributária (AGT) should adopt a more balanced approach, including closer monitoring of newly created companies.

According to the economist, tax policy needs to take into account the challenges faced by start-ups so that new projects are not undermined during their initial phase.

“If we do not have taxpayers, we will not have where to collect taxes from,” he said, arguing that the State must find a balance between tax revenue collection and the growth of the business sector.

Gaspar João also warned about the high number of companies that are created but cease operations after a short period, defending the need for an in-depth study on the causes of this high business mortality rate.

In his view, many companies face structural difficulties linked to financing, the business environment and tax pressure.

“The number of companies that are created and end up dying within a short period of time is large. A thorough and comprehensive study on the issue is needed,” he said.

The economist believes that tax authorities should adopt more detailed monitoring mechanisms for start-ups, allowing them time to consolidate their businesses before facing the full weight of fiscal obligations.

While acknowledging the existence of tax evasion in the country, the specialist stressed that not all companies should be treated in the same way.

“Tax evasion exists and therefore we should not place all companies on the same scale,” he said, suggesting a more detailed analysis to differentiate companies that deliberately evade taxes from those facing genuine financial difficulties.

According to the economist, more tailored tax policies could help strengthen the business sector, expand the tax base and create more jobs.

In the interview, Gaspar João also noted that although the process of formally creating companies has improved in recent years, challenges increase once businesses begin operating, particularly in terms of financing and the collateral requirements imposed by the banking sector.

He pointed out that limited access to credit and the need for asset guarantees remain among the main obstacles facing Angolan entrepreneurs.

Gaspar João is a university lecturer in corporate finance and auditing, a business consultant and the author of books on oil and entrepreneurship.

03/03/2026