1. VADA WORKSHOP – GROUP B PRESENTATION
Discussion on problems and issues identified by members and potential solutions and suggestions on the way forward

2. Problems and issues identified.
Under invoicing of the declarations.
Recycling of the receipts for many buyers/ Use of one invoice on different clients.
Taxpayers using fake invoices/false claim of input tax.
Usage of the devices is limited (the sales take place outside the fiscalisation band).
The ratio of staff to taxpayers for enforcement is low.
The EBM not able to report the sales on time due to various reason like internet connectivity etc.
The quality of invoices being generated, the papers fade so fast.
Purchasers providing misleading information by providing wrong TINs, telephone numbers etc.
Taxpayers declaring negotiated input tax credit (input tax trading).
The EBMs do not help in the coding/naming of the description of goods at stock taking and this makes intelligence difficult.
The cost of the machines EBMs is very expensive.

3. Solutions identified
Introduction of the EBM version 2 to deal with lack of data transmission.
The data should be stored in the system as and when it’s generated.
The system should be able to regenerate the lost invoices.
Taxpayer sensitization and taxpayer education to clients to make sure they claim for their invoices.
Introduction EMBs that do not require sim cards.
Introduction of lotteries based on invoices that have been issued to encourage usage.
Introduction of rebates to the person who are purchase and ask for receipts/invoices.
Integration of telephone numbers with the TIN registration and EBM version 2.
Introduction of a flat tax rate for dealers of goods.
Building intelligence capabilities and increasing our enforcement functions.
There is need for government to invest and buy these EBMs for taxpayers.