Quarterly, monthly tax revenue down—MRA
Malawi Revenue Authority (MRA) continues on its underperformance path, having collected K44 billion in tax revenue, 6.1 percent shy of the target of K47 billion ($85,454,545) in September 2015, according to unaudited revenue performance report published on Thursday.
Revenue collection for the first quarter (July to September) of the 2015/16 fiscal year also fell short of quarterly target by K4.1 billion ($7,454,545) having collected K140.5 billion ($255,454,545).
The public tax collector has attributed the poor state of affairs to underperformance in corporate tax, taxes on goods and services and international trade taxes, which fell short of set targets by K1.2 billion ($2,181,818), K2 billion ($3,636,363) and K1.17 billion($3,090,909) respectively.
Total income and profits taxes performed well with a surplus of six percent, through a collection of K20.95 billion against the target of K19.76 billion.
“This quarterly income and profits tax collection was K71.18 billion, K5.31 billion above the quarterly target. This performance was a result of very strong performance by fringe benefits tax [FBT], pay as you earn [Paye] and non-resident tax [NRT],” reads the revenue performance report.
Apart from total income and profits taxes, Paye performed well by beating the target by K2.34 billion, collecting K14.14 billion. It also exceeded the quarterly target by K5.31 billion, with a cumulative collection of K43.91 billion due to the upward salary adjustment for junior civil servants.
