Tuesday, July 29, 2014

JCTR launches 'demand a receipt' campaign
By Kabanda Chulu
Thu 16 Jan. 2014, 14:00 CAT

PEOPLE should demand a receipt for every purchase to enable the government have a higher chance of collecting revenue, says the Jesuits Centre for Theological Reflection.

Launching the "Demand a receipt" campaign, JCTR stated that it was everyone's responsibility to help the government maximise revenue collection.

"The link between tax and development is fundamental. A country that should sustainably provide services to its citizens must be able to mobilise domestic resources. But the reality is that many governments, including the Zambian government, struggle to collect sufficient tax revenues to be able to deliver the desired level of development," JCTR stated in a statement issued by the Economic Equity and Development Programme.

"As JCTR, we believe that if every individual took it upon himself/herself to demand a receipt after every purchase, the chances of collecting tax revenue will be enhanced."

It stated that it was more difficult for a trader to evade tax on a receipted transaction than on an un-receipted one.

"On the other hand, it is easier for the revenue authority to keep track of receipted transactions and collect tax than on un-receipted transactions. Therefore, all people should demand a receipt on every purchase they make as this is one sure way for government to trace all transactions, reduce tax evasion and increase tax revenue collection," stated JCTR.

"This will also address the current disproportionate tax burden which is largely borne by people in the formal sector and ultimately, increase equity in resource mobilisation."

Despite the income tax regulations requiring businesses to issue receipts and keep a cash machine, many traders do not follow the law and enforcement was lacking.

Labels: ,


Post a Comment

Subscribe to Post Comments [Atom]

<< Home