NamRa in bid to stop illicit flows
In a move to expand its revenue base, the Namibia Revenue Agency (NamRA) has announced plans to close gaps around illicit financial flows (IFFs) and target high-net-worth individuals to ensure they are taxed effectively.
NamRA commissioner Sam Shivute made the announcement during a post-budget discussion hosted by FirstRand, following the tabling of the mid-term budget review by Finance Minister Ericah Shafudah.
“With IFFs, we already know there are leakages, and we are starting now to close those loopholes,” he said.
Shivute added that high-net-worth individuals would also be a key focus. “We need to ensure that high-net-worth individuals are effectively taxed, because in our society, salaried workers have tax deducted at source, and many pay more than billionaires and millionaires,” he explained.
According to Shivute, the agency’s data shows that salaried individuals are currently paying proportionally more tax than the wealthy. “We have the records and the data to prove this, so we agreed that tax administration must be strengthened to ensure high-net-worth individuals are taxed appropriately. To achieve this, we must invest in building capacity,” he said.
Shivute acknowledged that NamRA currently lacks sufficient capacity to fully carry out this mandate, a challenge the agency plans to address with support from the private sector.
“We will continue to strengthen tax administration and build the necessary capacity. Truth be told, we need to improve efficiency and service delivery, and we hope the private sector will collaborate with us to achieve this,” he said.
NamRA commissioner Sam Shivute made the announcement during a post-budget discussion hosted by FirstRand, following the tabling of the mid-term budget review by Finance Minister Ericah Shafudah.
“With IFFs, we already know there are leakages, and we are starting now to close those loopholes,” he said.
Shivute added that high-net-worth individuals would also be a key focus. “We need to ensure that high-net-worth individuals are effectively taxed, because in our society, salaried workers have tax deducted at source, and many pay more than billionaires and millionaires,” he explained.
According to Shivute, the agency’s data shows that salaried individuals are currently paying proportionally more tax than the wealthy. “We have the records and the data to prove this, so we agreed that tax administration must be strengthened to ensure high-net-worth individuals are taxed appropriately. To achieve this, we must invest in building capacity,” he said.
Shivute acknowledged that NamRA currently lacks sufficient capacity to fully carry out this mandate, a challenge the agency plans to address with support from the private sector.
“We will continue to strengthen tax administration and build the necessary capacity. Truth be told, we need to improve efficiency and service delivery, and we hope the private sector will collaborate with us to achieve this,” he said.
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