The country’s revenue collecting body, Malawi Revenue Authority (MRA) has said although this year’s revenue target of K338.9 billion poses a great challenge to the body, it will make sure that all tax payers commit themselves in paying taxes so that the target is beaten.
MRA Deputy Commissioner General Crispin Kulemeka said on Wednesday during a workshop on new tax measures held in Blantyre. Kulemeka said it was important for large tax payers to voluntarily pay their taxes.
“As you are aware, the revenue target for the current financial year is K338.9 billion. This target poses a very big challenge for us. That is why we are here today to clarify the new tax measures so that people should know their tax obligations and settle their liabilities more promptly.
“In this connection, we assure you that the Authority will continue to intensify taxpayer education among taxpayers with a view of enhancing voluntary tax compliance. We will also closely work with all stakeholders on how best we can improve tax administration,” he said.
Kulemeka said MRA is tasked to engage taxpayers every year to enlighten them on the new tax measures introduced by government.
“The reason for this is to keep the nation updated in detail on tax matters thereby easing the process of making informed decisions. MRA has also introduced a number of products under its modernization programme that are aimed at improving service delivery and reduce the cost of compliance among taxpayers and the Authority,” he said.
The meeting focused on changes for Customs & Excise which became effective on the midnight of May 24, 2013 and for Domestic Taxes which became effective on July 1, 2013.
The areas highlighted included, Domestic Taxes measures thus, Pay As You Earn (PAYE), loss carry forward, Interest on overdue tax, transfer pricing, Withholding Tax on imports and Value Added Tax (VAT).
For Customs and Excise, the meeting highlighted measures and adjustments that have affected import and excise duties, Customs Procedure Codes and others.