-surpasses $86.4b estimate
The GRA says it set a new record in revenue collection this year, although it continues to be challenged by some sections of the private sector engaged in tax evasion.
In a press release Commissioner-General Khurshid Sattaur said while 2008 was fairly successful, 2009 was “incredible in terms of revenue collection and the progress made toward the development of a modern, functional tax organisation.” He said revenue performance this year has been significantly better with more than 10% improvement over the previous year which allowed it to surpass its estimates of $86.4 billion for 2009. GRA collected $79.1b in 2008. Sattaur also lamented that some private sector entities continue to evade taxes and employ tactics such as under-invoicing and maintaining dual books.
The Commissioner-General also said the GRA’s image was besmirched by a $300M fraud it uncovered involving staff from its Information Technology Division and cashier area. The officers involved were dismissed and charges instituted against two of the perpetrators.
One suspect has allegedly fled the jurisdiction while another recently received permission from the High Court to travel overseas, the GRA said.
The GRA added that it has prosecuted hundreds of delinquent taxpayers many of whom were convicted and millions of dollars recouped when they were made to submit returns and honour their tax obligations. Fines and other penalties were also instituted against them.
The GRA also credits the Total Revenue Integrated Processing System with improving its efficiency.
According to the release 300 Standard Operational Procedures were developed and these have impacted significantly on the customs operations since it now takes less than three days for documents to be processed and goods to be released to an importer who is in compliance.
Sattaur noted that the GRA is already collecting returns on its investment in providing training at all levels to more than 600 staff members.
He said the agency intends to continue to train and upgrade its staff in order to gain the maximum returns.
According to the release the GRA also improved infrastructure in a number of areas this year.
It constructed a state warehouse and acquired three patrol boats and a container scanner.
Plans are also in train to occupy a single tax administration building to house its operations in the new year.
In 2009 the GRA also created an intelligence unit that would profile taxpayers for audits, investigations and other forms of scrutiny; a single unit for policing defaulting taxpayers for all tax offences that previously only dealt with customs evasion. It also created a corporate communication and policy unit that provided guidance to taxpayers on the laws and procedures the GRA applied to administer laws and a Tax Analysis Unit that would enhance its functions by providing detailed analysis of its deficiencies.