MRA, importers unite against smuggling

Malawi Revenue Authority (MRA), Ministry of Finance and Economic Affairs and Small-Scale Crossborder Association (SSCA) have joined forces in the fight against smuggling.

The agreement was made during the trio’s meeting held last Wednesday in Lilongwe

“The meeting recognized smuggling as a significant problem impacting small business, tax revenue and public health. Hence, the stakeholders agreed to collaborate in combating smuggling and tax evasion,” the grouping said in a statement.

On the recently introduced tax stamps it said that the small scale importers will continue to import and supply specified excisable products without tax stamps on condition that “they produce valid customs clearance documents to the buyers until the remaining administrative challenges are addressed by MRA.”

The statement has been signed by MRA representative Kondwani Sauti-Phiri, Ministry of Finance’s Grecium Kandio and the association’s chairperson Richard Kampanje.

The tax collector was yet to respond to our questionnaire yesterday seeking specification on the “administrative challenges” and when they expect to be ironed out.

In May, MRA introduced the tax stamps which compel tobacco cigarettes, alcoholic beverages and extended the regime to bottled water, carbonated soft drinks, drinks made from cereals, energy drinks, fermented sweet tea, lotion and glycerine.

The stamps, which cover each of the bracketed imported product, costs between K12 and K32. It has since triggered an outcry from small scale businesses fearing it will hurt their businesses.