ONGWEDIVA – The Namibia Revenue Agency commissioner Sam Shivute said since the establishment of the agency in 2021, there has been an atmosphere of fear, mistrust and false narratives against the tax collector by the public.
While speaking at the stakeholder engagement meeting on Friday in Oshakati, Shivute said NamRA should not be seen as destroying people’s livelihoods but positively impacting them.
“Do not fear NamRA. It is not a monster. The narratives that NamRA is making people’s livelihoods difficult and only targeting locals is false, and we will continue fighting these false narratives,” he stressed.
During the engagement, vice president of the Namibia Local Business Association (Naloba) Peter Amadhila raised concern that NamRA is targeting only the little income of pensioners and small businesses while sidelining mostly foreigners.
“The government, through NamRA, is grinding behind pensioners and our small businesses. Meanwhile, foreigners are on honeymoon. Can we not amend our laws to write off petty taxes of pensioners? Let us look at the bigger pictures and look into the mining industry.”
Shivute sternly refuted Amadhila’s claims, saying NamRA enforces tax laws for everyone.
“We are not working against our people, but we will enforce the laws without fear or favour – Namibian or not Namibian. It is either you comply or not. Claims that foreigners are on honeymoon is false – and if that is the case, they should know their days are numbered,” he explained.
He urged those who are worried about being audited by NamRA to make sure they are truthful and complying with their tax obligations.
“As long as you are complying and up to date with your payments, there is nothing to fear. If you owe the government, you can always engage us so we make arrangements. Owing the government does not mean you are required to pay the debts once off – that is why it is always advisable to approach our offices and make arrangements,” he said.
The national tax collector’s head, however, reiterated his determination to force recalcitrant taxpayers to hand over what they owe.
“We do not want businesses closing and individuals finding themselves on the wrong side of the law due to noncompliance of tax payments,” he said, adding that the revenue agency is ready to act firmly and professionally with those who engage in such practices.
New Era recently reported that over 900 taxpayers have been fingered as recipients of fraudulently claimed income tax refunds from public and private firms, and 48 criminal cases have been lodged with the Namibian Police.
“We have records of people who claim between N$100 000 and N$600 000 income tax refunds. We have observed corrupt dealings committed in the past years, and we are yet to look into the VATs. That is theft, and we are going to treat criminals as criminals,” said Shivute.
Shivute has also come out guns blazing against local businesses that run primarily on cash transactions, saying some businesses have taken advantage of hard-cash trades to avoid paying tax.
“This is another issue we have because Namibia does not have a law that is against cash transactions, and I hope the tax policymakers will hear this,” he said.
He then reported that last year, two local businessmen found themselves facing the wrath of the law after being found in possession of N$1.2 million and N$1.1 million cash without paying tax.
Similarly, another businessman has forfeited four trucks to the state after not complying with the tax law.
He highlighted enforcement actions across various industries and types of offences, including income tax refund fraud, understatement in income tax declarations, as well as customs offences.
“We are warning non-compliant taxpayers and traders that NamRA will not tolerate any transgressions of tax and customs laws,” he added.
– ashikololo@nepc.com.na