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Myanmar: Internal Revenue Department to implement Self Assessment System

The Internal Revenue Department (IRD) will practice a Self Assessment System (SAS), moving away from the existing system of tax collection, U Myint Thaung, Yangon regional Planning and Finance Minister, said in Parliament this week.

 “We will start implementing SAS so that taxpayers do not need to seal with staff from the tax offices. This will help to reduce corruption,” U Myint Thaung said.

The government is taking measures to reduce corruption within the ranks of public service. In 2017-18, punishments were meted out against IRD employees who engaged in corrupt or illegal activity, including sacking and demotions. One was also sentenced to five years in jail.

“Under the SAS, all taxpayers will be treated equally and we can eradicate cases where tax officers accept bribes from taxpayers to collect less tax or allow higher levels of tax relief,” he said.

MPs also encouraged the IRD to spend more time educating the public about the new SAS. “The department should educate the public about the new system and the existing regulations so that taxpayers understand the need to pay tax and declare the right amount of tax,” said U Kyaw Min Han, an MP from Yangon.

The move comes on the back of expectations of further economic growth in Myanmar. According to the World Bank’s most recent report released last week, GDP growth is expected to rise to 6.8 pc in 2018-19.

“As the economy expands, more taxpayers will emerge and more taxes should be collected,” said U Kyaw Min Han. In 2017-18, a total of 60,300 new taxpayers joined the economy.

Source: https://www.mmtimes.com/news/internal-revenue-department-implement-self-assessment-system.html