The National Revenue Authority NRA is set to hit a target of 5.6 trillion leones in revenue mobilization for 2019, which will account for 14% of GDP and will fund almost 90% of all recurrent expenditures for the fiscal year under review.
The NRA is committed to undertaking and achieving a number of reforms to meet this target amidst the continuous slump in iron ore price and the further rise in prices of petroleum products, amongst others.
Key among the major reforms in 2019 will look at broadening the scope and coverage of GST to include other revenue generating institutions, such as the SLRSA, Standards Bureau, National Civil Aviation Authority and the Pharmacy Board of Sierra Leone.
GST waivers will also be eliminated to all international organizations that are not part of the Vienna Protocol as well as GST on construction materials for hotels.
Another key revenue drive in 2019 will be the issue of reviewing upward wise fees,licenses,rates,charges and levies imposed and collected by MDAs to reflect current economic trends.
Government will also undertake other robust tax implementation methods in the FY 2019, such as introducing the labeling of imported raw materials designated for Sierra Leone and also strengthening the enforcement of existing legislations. The NRA, amidst all of this, will also undertake a complete automation of tax collection processes and procedures to align the country with international best practices and reduce the interface between tax collectors and the business community, which will greatly improve the business climate in the country.
All these measures are expected to generate huge amounts of money for Government in the coming year as well as improve the country’s international ratings in terms of time and cost in doing business.
By Ralph Sesay