Malawi Revenue Authority (MRA) has said one only requires tax registration to enjoy the much anticipated duty-free week which government is introducing.
Minister of Finance Felix Mlusu in his 2021/22 Budget statement to Parliament in Lilongwe in May, said to boost the growth of small businesses and reinvigorate the economy government is introducing a duty-free week for imports not exceeding $3 000 (about K2.5 million).
He told Parliament that taxpayers will benefit from the duty-free week facility once a year and that the dates for the week will be gazetted within the 2021/2022 financial year for taxpayers to prepare and benefit from it.
In his presentation on Tuesday during a Southern Region session of the 2021/2022 New Tax Measures Media Training with members of the Blantyre Press Club, MRA head of corporate affairs Steven Kapoloma said all those to benefit from the duty-free week must have a taxpayer identification number (TPIN) obtained after registering with MRA.
He said: “Registering for tax with MRA is free of charge and it is now being done conveniently electronically using our Msonkho Online system available on our website www.mra.mw. What is required is that to have all your details especially the national identification card which is a requirement.
“We are making this process more flexible and anyone who may need prompt assistance can call MRA using a toll-free line 672 which is our call centre and people there are being rightly assisted. So do not hesitate and register now in readiness for the duty free week.”
He said the duty free week is government’s investment to grow small scale businesses while widening the tax base.
“Many will agree that K2.5 million, is a substantial amount that has maximum potential to sustainably grow more players in the SMEs sector. Therefore, this will allow most individual businesses and SMEs to exercise their main role to pay domestic taxes in the medium to long terms,” said Kapoloma.
He added that during the duty-free week border taxes will be exempted on all goods, including motor vehicles and that only a processing fee of K15 000 will be payable.
The training with members of Blantyre Press Club had various presentations ranging from Revenue Performance for the 2020/2021 Fiscal Year, New Tax Measures, Msonkho Online, Block Management System, Advanced Income Tax, Presumptive Tax, Dealing with Smuggling and Conveyance, Tax Administration Bills and Revenue Appeals Tribunal Bill.
In his remarks, Blantyre Press Club president Blessings Kanache applauded MRA for empowering journalists with more tax knowledge, which he said the club’s membership will use when pursuing tax stories and generating media content.