The Tax Commission resumed sitting yesterday at the high court premises in
Established in November 2011 by President Yahya Jammeh, the commission of inquiry looks into tax evasion and other corrupt practices of accountants, legal practitioners, companies, and private persons, medical practitioners and institutions required to pay tax to the Gambia Revenue Authority.
The commission was also mandated, among other things, to ascertain the extent of loss of public revenue resulting from non-payment of capital gains tax, personal income tax and sales tax; and to determine the role of individuals, groups and professional bodies in the evasion and avoidance of tax.
It will also enquire into professional malpractice by members of the public as it relates to obtaining goods through widespread issuance of false and dud cheques and other malpractices by members of professional bodies as these have affected foreign direct investment in The Gambia.
The GRA official when asked by the state counsel whether he had complied with the order issued to him on 14 January 2012, for him to provide certain information to the commission, told the commission that he had fully complied with the order.
The first order was for the outstanding liabilities for 2007 to 2011, the second order was the total expected revenue on tax due from 2007 to 2011, the third order was about the number of files and copies, the fourth order was for the commissioner general to provide the list of persons that issued dishonoured cheques to GRA from 2007 to 2012, with their details, and the fifth order was for the commissioner general to provide the GRA annual audit to the commission.
All the above-mentioned documents were later tendered before the commission.
Sanyang stated that when he received the order in the presence of his GRA technical team, they worked together to compiled the documents.
He further stated that the issue regarding the fourth order should be directed to the commissioner of domestic tax.
He said as far as he could remember the large tax payers were Timber and Furniture, Right Choice Supermarket, ASH Holding, EH Farage, Kairaba Pharmacy, A and A General Trading, and KG International, among others.
GRA Commissioner General revealed that the taxpayers are divided into three categories, adding that one of the categories is the large taxpayers, for which D1.5 million was the criteria, but the current criteria is a turnover of D1 million.
He told the commission that he would not be surprised if he was told that there are some instances when some of the large taxpayers paid without assessment, because installment payment is in place, adding that he knows that it is not right for taxpayers to issue dishonoured cheques.
Sanayang added that he was bound to rely on the information he received from his director of finance and accounts, in respect of how much money was collected.
The commissioner general adduced that the money uncollected on cheques was five million, four hundred and seventy thousand on domestic tax revenue targeted but uncollected.
He revealed that they have a total of D164, 651,339 from 2007 to 2011, for income tax , sales tax and PAYE tax.
Musukebba Corr, commissioner of domestic tax, also told the commission that the names on the list before the commission are the people with liabilities, according their records.
She added that they have about 250,000 taxpayers, in their record, and that all the commercial banks do not owe the GRA.
“The taxes of the commercial banks are up to date,” she stated.
She added that the total outstanding liability is D164,651,339, including arrears before 2007.
The witness told the commission that they have between 300 and 400 large taxpayers, and the criteria for large tax payers is D1 million, but in 2007 it was D1.5 million and later increase to D5,000,000, and in mid 2011, it decreased back to D1 million.
The commission at that juncture ordered the GRA commissioner of domestic tax, Musu Kebba Corr, to provide the commission with the list of large taxpayers ranging from D1.5 million, with their arrears.
The commissioner of domestic tax revealed that the rate for sales tax for a telecommunications company is 20% and the other companies is 15 %.
The commission will sit again on 7 March 2012.
