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NRA enforces tax collection

February 1, 2022

By Alhaji Haruna Sani

In order to maximise revenue collection and promote economic growth and reduce poverty in Sierra Leone, the Commissioner-General of the National Revenue Authority (NRA), Dr. Samuel Gibao together with other staff of the NRA yesterday on a verification exercise to ensure and enforce all businesses registered with the Good and Services Tax (GST) maintain the Electronic Cash Register (ECR) machines.

The ECR system is designed for use in business for efficient management of sales transaction which comprises Certified Invoicing System (CIS), Sales Data System (SDC) Electronic Signature Device (ESD) which is connected to CIS for signing on the receipt, storing receipt information and sending receipt information to NRA server.

During the shop to shop visit by the NRA boss and his staff along the Central Business District of Ecowas street, part of Rawdon Street and Siaka Steven street, Dr Gibao discovered that about 80% of business owners were in possession of the ECR machines whiles the remaining 20% were not having the ECR machines.

For those without the machines, Dr. Gibao gave them a grace period of two days or else he promised to close their businesses which would cost them a whooping cost of Le250, 000,000 to reopen their businesses.

According to the NRA boss, government has provided 5000 (Five Thousand) ECR machines which the NRA is supplying GST registered business at no cost. He said they have distributed and installed up to 3000 ERC machines so far, adding that after distributing the remaining 2000, business owners would be urged to buy the ECR machines.

“I am going to spend at least three to four hours in every working day for the next one month to ensure that all business have the ECR machines. By Thursday another team would be out to ensure that all GST registered businesses have the ECR machines installed, order than that I will classify them as impugning tax offenders. I as the chief collector have started the enforcement and verification process in Freetown and very soon we are going to extend to most of the districts and provincial head quarter towns,” the NRA boss stated.

He said section 25 (12&3) of the 2018 Finance Act gives the NRA the Authority to install electronic fiscal devices in business premises. He maintained that the ECR machines will help automate GST invoices process, automate NRA systems and processes, and enhance voluntary compliance among others. He added that the system is simpler and easier than the manual procedure.

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