Learning points – Enhancing VAT Compliance Management in Africa VADA Workshop in Uganda 14th – 16th June 2016

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 COMPLIANCE ISSUES… Cash economy that makes tracking transactions difficult Fictitious input VAT claims/missing taxpayer/ghost Taxpayers Aggressive tax planning Poor record keeping Financial difficulties especially where supplies are made to government(Donor) Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 …COMPLIANCE ISSUES… Abuse of VAT reliefs Lack of capacity to audit some transactions/e-commerce . Incomplete & Inaccurate registration details. Manual invoicing systems prone to error. Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 …COMPLIANCE ISSUES… Legal challenges – low penalties and deterrent prosecution Sale of Tax receipts/ Tax invoices Suppression of sales Increasing offsets Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 Best practices… Implementation of Risk Mgt (ERMS) - Tanzania Fast tracking refunds - Uganda Ack. receipts by govts debts owed - Ghana Increase threshold to eliminate challenged businesses/reduction of compliance costs - Uganda Adopt electronic fiscal devices – Rwanda, Tanzania, Malawi Use of Law to support VAT Administration - Rwanda Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 …Best practices… Campaigns, draws, lotteries to encourage issuance of receipts, EFDs – Rwanda, Tanzania Physical Monitoring – Rwanda, Ghana, Tanzania Stakeholder involvement, EFD & electronic systems implementation - Uganda Educating the public and simplifying the VAT– Uganda, Ghana, Malawi, Gambia, Tanzania, Rwanda Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management VADA – 14th to 16th June 2016 …Best practices… Client Segmentation and sector revenue gap analysis – Uganda, Tanzania Return examination/ desk audit– Uganda, Tanzania Learning points on enhancing VAT Compliance Management

Learning points on enhancing VAT Compliance Management END Thank you Learning points on enhancing VAT Compliance Management