The overall objectives of the New Direction for revenue mobilization is to increase domestic revenue from the current 11.1% of GDP to 20% of GDP within 3 years and to build a fair, a transparent and accountable tax system that promotes investment and growth. Our key strategy is to push for better taxation collection rather than imposing new taxation. Such efforts hold the potential to stimulate growth and investment whilst also allowing for increased levels of tax collection. Specifically, the following shall be the focus:
- Review existing tax laws, agreements, policies and strategies to ensure that they meet the objectives of maximising tax revenue collection as well as impacting on the well-being of all Sierra Leoneans, especially low-income earners and small business enterprises
- All holders of elective office and political appointees, including the President and Vice President will pay tax on their earnings to ensure fairness in the tax system
- Develop and legislate a National Tax Policy that articulates how the Sierra Leone Tax The system will look like in terms of focus, administration and rate changes in the medium term.The new National Tax Policy will ensure the coordination and harmonisation of taxing authorities in the country to avoid the multiplicity of taxes.
- Evaluate the on-going tax reforms with a view to enhancing the capacity of the National Revenue Authority (NRA) in tax assessment, collection and reporting through training; developing tax ICT infrastructure, working environment and introducing performance-based remuneration system for staff.
- Implement all audit reports findings and recommendations and ensure that every cent collected is paid into the Consolidated Revenue Fund.
- Enforce the Fiscal Accountability and Management Act that obligates all MDAs to transfer all funds to the Consolidated Revenue Fund. To this end, the new SLPP administration will immediately commence the implementation of the Treasury Single Account (TSA) system that would allow Government to aggregate receipts from all government sources in order to give a better oversight of public finances, improve cash management and reduce reliance on bank financing.
- Mandate the NRA and the Ministry of Finance to upload on a regular basis tax information on revenue collection by sectors, tax rates particularly on frequently imported commodities, assessment and rate of tax compliance by sector
- Further strengthen the tax administration core processes, specifically in the areas of filing, assessment and payment and in dispute resolution
- Develop the capacity of local councils, particularly the city councils, in revenue assessment and collection
- Establish a One-Stop Shop (OSS) that will enable importers to clear goods within 24 hours
- Develop a more robust and transparent policy and law for granting duty waivers
- Mobilise resources from non-traditional sources such as issuing of Diaspora Bonds within the context of controlling the debt burden, South-South cooperation, public-private partnerships, tourism and Carbon Financing.
- Develop and create strategic partnerships with crypto currency and crowd funding platforms through smart contracts using block chain technology to raise funds by pledging unexploited mineral deposits (gold, diamonds and rare earths) and using the funds to reinvest in social programmes like health care and education
- Enforce tax laws especially rental income taxation and ensure timely settlement of all tax obligations. For rental income tax, update rental income tax database using the existing database on holding and letting agents, and conduct field audits on rented apartments and houses