The Malawi Revenue Authority (MRA) has said it remains optimistic of meeting the set tax revenue target for the rest of the year despite challenges the economy continues to face.
On Monday, Finance Minister Simplex Chithyola Banda announced a revised annual tax revenue target of 3.3 percent to K2.2 trillion.
Speaking in Lilongwe at the start of the 2023- 24 MRA Media Training Workshop, MRA Head of Corporate Affairs Steven Kapoloma said meeting the target would require concerted efforts from all Malawians including the media.
He said the media has a critical role in shaping the right mind-set that is required to achieve tax compliance levels that will drive the development of the country.
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According to Kapoloma, MRA will play its role within its mandate and that it has several initiatives it is already implementing to ensure sustainable growth in revenue collection.
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“To achieve the revenue collection target, we all need to participate. It cannot be the same contributors. We all know of the activities in the informal business sector. Bringing these small and medium businesses into the tax net has been a challenge,” Kapoloma said.
On tax stamps, Kapoloma said MRA currently has stamps on cigarettes which help them to ensure that all licenced cigarette distributors and manufactures have paid the relevant excise duty.
He said any cigarettes that are being sold without excise duty stamps are breaking the law.
“The introduction of tax stamps on liquor, beer and bottled water will bring the much-needed tax revenues but also level the playing field. These will greatly help to seal most of the revenue loopholes that exist due to lack of monitoring of most goods on the market,” Kapoloma said.
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He observed that MRA takes the media as a key partner to support voluntary tax compliance in the country.
The MRA spokesperson said over the years, the media in the country has been undertaking patriotic roles that continue to support revenue collection.
“This is evidenced through swift dissemination of information to members of the general public about taxation and MRA’s operations countrywide. Such efforts have enabled more Malawians to voluntarily come forward to pay tax and finance the national budget.
“By promptly paying taxes, Malawians are progressively realising that domestic resource mobilisation for government’s operations is possible,” Kapoloma said.
One of the journalists who attended the training, Patrick Dambula, described the workshop as an eye opener.
