The fact that the Namibia Revenue Agency has taken an aggressive stance towards those accused of defrauding it is exceptionally good news.
In recent weeks, NamRA has gone after over 900 taxpayers from more than 50 public and private institutions who they believe have defrauded the Namibian people out of over N$130 million.
Those implicated in the fraudulent tax refund scheme include taxpayers earning income from additional sources, such as farming.
So far, 50 criminal cases have been lodged with the Namibian Police and 128 demand letters were issued to the implicated taxpayers.
NamRA has also moved to directly deduct from the monthly salaries of some of the accused, without their consent or a court order. The agency is empowered by the tax law to claw back what is owed to the public through garnishee orders against tax cheats.
It is not the only active case against tax dodgers. A huge tax evasion case is also brewing in court, with several business people being accused of scamming the country out of N$3.5 billion in import/export duties.
For a long time, elements in the tax office pulled strings and corrupted the system in favour of those who could slip them a few dollars under the table. Taxpayers have always tried to game the system by finding loopholes through which they pay as little as possible.
This widespread phenomenon is unacceptable. It has to change.
Those at the receiving end of NamRA’s action will point fingers and say the agency is lackadaisical and unequal in claiming their pound of flesh equally from all eligible citizens.
There is truth in this sentiment, and the agency has much to improve on that front.
Everyone should pay their fair share, and the agency has a massive job in achieving their revenue-collection target.
But paying your tax should not be seen as such a heavy burden.
Namibia has some of the best road networks in the world. Electricity access is increasing and reliable. Quality potable water is accessible to the majority of urban dwellers and some rural folk. While the country has challenges in public education, health and law and order, Namibia is largely a well-functioning State.
This is thanks to the taxes it earns from the small group of mostly individual taxpayers.
NamRA should concentrate as much as it does on bringing those criminals to book as it does on educating everyone on the responsibility to pay their fair share. It should be a matter of pride that one can contribute to the development of the country and the upliftment of those less fortunate than yourself.
We should take pride in the doctors, teachers and engineers that our tax money has been able to produce. We should take ownership of the smooth services delivered in state-of-the-art facilities at institutions such as Home Affairs.
It is ours.
However, those relying the heaviest on Namibia’s infrastructure, relatively cheap labour and political stability to derive the most out of the country’s people and resources should feel compelled to contribute more.
NamRA’s bold steps are commendable.