Blantyre, July 16: The Malawi Revenue Authority (MRA) Friday called on Malawians to demand Electronic Fiscal Device (EFD) receipts whenever they buy products from all registered Value Added Tax (VAT) operator shops.
The MRA said this would enhance VAT compliance and ensure maximum revenue collection for the development of the country.
MRA’s Board Chairperson, Evelyn Mwapasa made the call during the launch of ‘Lisiti Langa’EFD Campaign in Limbe, Blantyre.
EFD is an advanced version of an electronic cash register. It is a device that records all sales transactions and provides evidence of such transaction in a technically easy and undisputed way.
Above all, it records all purchases and stock reconciliation.
Mwapasa said EFD machines had a very big impact on the economy of Malawi. She noted that since the introduction of the initiative, the tax body had collected more revenue than ever because it was becoming difficult for traders to run away from tax compliance.
Mwapasa said: “The aim of launching ‘Lisiti Langa’ campaign is to sensitize people that by demanding fiscal receipts, VAT will contribute towards the economic development of Malawi.
“Right now, the tax collecting body has more than 10,000 registered EFD operators and MRA is doing everything possible to bring more people and companies into tax.
“EFDs will ultimately improve VAT collection. This will translate into improved revenue collected for the government to be used in various development projects,” she said.
Mwapasa warned all tax compliance evaders that the law would take its course once caught.
Consumer Association of Malawi (CAMA) Executive Director, John Kapito said since the ‘Lisiti Langa’ campaign started, there was clear evidence that people knew the advantages of demanding EFD receipts from registered EFD registered shops.
Kapito said consumers had now started demanding receipts from shops, adding that the campaign had taken the right route.
“CAMA started lobbying people to demand receipts way back and now I am happy that MRA has joined the campaign and I urge them to intensify it,” he said.
Mayor of the City of Blantyre, Noel Chalamanda who graced the occasion commended the initiative, saying it would go a long way in improving the economy of the country.
Chalamanda said it was high time Malawi became economically independent.
“The country should not be independent politically only. Let us all join MRA to collect more revenue and the City Council is ready to support the initiative,” he said.