(3 minutes read)
· The Tax Authority of Mozambique (AT) wants to streamline the process of inspection and revenue collection in the central and northern areas of the country
· This region registered the highest loss of resources due to the smuggling of wood, gold and wildlife products
· To prevent the loss in revenue, the AT is recruiting workers to guarantee sufficient human resources to manage the borders. These regions are known for the concentration of the largest production centers in the country
The Tax Authority of Mozambique (AT) wants to streamline the process of inspection and revenue collection in the central and northern areas of the country. This region registered the highest loss of resources due to the smuggling of wood, gold and wildlife products. To prevent the loss in revenue, the AT is recruiting workers to guarantee sufficient human resources to manage the borders. These regions are known for the concentration of the largest production centers in the country.
Tax Administration Divisions also will interact more with taxpayers, in order to understand the challenges that taxpayers face and persuade them to adhere to the TA’s processes and procedures. For ensuring better compliance, the taxpayer can submit a tax declaration and make payment from his or her own office.
Traffic management is another sector that contributes most to tax evasion, generating the loss of seven to ten percent of gross domestic product (GDP) annually through the illegal transit of goods, and one of the reasons for the current reinforcement of human resources. A study carried out recently indicates that the country loses 12.9% of its GDP annually as a result of exports and smuggling of illegal products. In 2020, AT collected around 240.7 billion meticais, a figure above its defined goal of 214.1 billion meticais.
