The parliamentary cluster committee on public accounts and budget and finance is keeping its fingers crossed on how the Malawi Revenue Authority – MRA intends to reach its set targets in tax collection for the 2021/2022 financial year.
During a meeting between MRA and the cluster committee, it was indicated that in the next nine months, MRA is expected to collect at least one trillion kwacha, up from MK800 billion in the previous year.
As officials from MRA are optimistic that they will manage to collect the projected tax within the period, the parliamentary cluster committee is hopeful that measures put in place will be helpful.
Chairperson for the parliamentary committee on budget and finance, Gladys Ganda, has indicated that the efforts put in place are optimistic and hopefully achievable.
“We have heard the measures that they have put in place and they have confirmed that they will be able to reach the target and grow the revenue by 28 percent,” added Ganda.
Ganda has further highlighted that with how MRA performed last financial year, the target can indeed be reached, provided the Covid-19 pandemic eases.
MRA officials are intending to implement tax collection through Msonkho Online platform, following up on businesses that are not paying tax and collecting tax through a block management system.
Commissioner General for MRA, John Bizwick, has noted that once the measures are implemented, tax compliance will be much easier, translating to collection of more taxes.
“There are lots of businesses in Malawi which are not registered taxpayers but through the block management system, we will be able to reach all businesses and collect tax,” added Bidwick.
In the previous financial year, MRA managed to collect an additional eight percent on the target set for its tax collection.