The National Revenue Authority (NRA) is confident it will exceed its revised target of Le2.701 trillion by December 31, Mohamed Bangura Corporate Affairs Manager of NRA said. The agency has embarked on revenue mobilization that has resulted in the agency sealing off business premises that refuse to pay their taxes. Already, over Le2.2 trillion has been collected. Mr Bangura said.
NRA is known for exceeding its targets but tax revenue to GDP (Gross Domestic Product) is still around 10 percent, which tax experts believe is low compared to other countries in the West Africa region. The IMF is calling for the inclusion of more revenue streams.
The telecoms industry is one area where the agency get more revenue, he said. But the Pay As You Earn (PAYE) and Good and Services Tax (GST) are the major sources for NRA revenue. “Generally, domestic tax is a major source of revenue compared to import duties,” Mr Bangura said.
There is a drop in revenue from mining royalties and licenses because of the drop in commodity prices. He stressed that there are challenges with people understating tax estimates and compliance among the professional class is low.
Monday November 07, 2016
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