ZRB reforms boost revenue collections

REFORMS undertaken by President Hussein Mwinyi in the Zanzibar Revenue Board (ZRB) have started yielding positive results as the board recorded 98.6 per cent of revenue collection target in five months.

The reforms included introduction of electronic systems such as – Virtual Fiscal Management System (VFMS) for issuing and receiving electronic receipts in revenue collection.

The systems aim at ensuring that the government collects its rightful revenues.

ZRB had set a target of collecting 579bn/- in this financial year and a target of collecting 238.5bn between July and November, whereby it has attained a five-month target by collecting 236.3bn/-, equivalent to 99.8 per cent.

Gracing the ZRB ‘Taxpayers Appreciation Day’, President Mwinyi expressed contentment with the performance of the board.

“We commend ZRB for the good work attributed to the ongoing workable reforms,” Dr Mwinyi said.

He said that the admirable achievements have been reached following reforms in the board which included introducing and enforcing the use of electronic systems- VFMS electronic receipts system in revenue collection.

He said that to further improve the electronic payment systems, ZRB has completed the development of a new system for managing tax collection – Zanzibar Integrated Domestic Revenue Administration System (ZIDRAS), which is expected to become operational next month.

The system will replace the current Zanzibar Integrated Tax Administration System (ZITAS) which has been associated with numerous challenges.

Dr Mwinyi reminded that tax is the backbone of any government in the world because the funds collected facilitate funding of various social and economic programmes.

“The government’s aim is to build a tax administration that will enable ZRB to collect the rightful revenue,” he said.

The Isles top leader said that the government’s ambition has been well translated by ZRB in the fourth strategic plan for the year 2021 to 2025, which aims at making the board the best tax management institution while having strong foundations and ability to increase revenue collections.

“Voluntary tax payment, providing better services, increasing creativity in the use of information and communication technology (ICT) and building the capacity of its employees is among the priorities in the strategic plan.

He assured the taxpayers that the government is ready to negotiate with them on the issue of tax rates and to ensure that the board operates under tax systems, with justice to all taxpayers.

“We want to reform ZRB to perform better and become a model in revenue collector in this region, Africa and the world,” he said.

The president further said that ZRB should be close to taxpayers with the aim of solving their challenges instead of using force in tax collection.

He said there are some officials who apply force in tax collection, saying those doing so should stop and use peaceful ways in addressing any challenge.

Commenting on the newly introduced ‘Taxpayers Appreciation Day’, he said it is a good idea which many tax collection institutions in the world have been doing.

He also praised the efforts of the board to establish new offices/centres in Unguja and Pemba regions to facilitate tax payment and solve challenges of taxpayers in those regions, ending bureaucracy.

ZRB Commissioner, Mr Yussuph Juma Mwenda informed the gathering that the board is almost beating the target of collecting 579bn/- this fiscal year.

Mwenda pledged that by June next year, the board will have met 100 per cent target of tax collections.

The Minister of State- President’s Office, Finance and Planning, Dr Saada Mkuya Salum said her ministry and the board have collaborated in making operational improvements, leading to improvements in revenue collection.

She asked all leaders at all levels to cooperate in educating the public on the importance of paying taxes and citizens to demand electronic receipts to enable the government get revenue.

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