In an effort to further promote voluntary tax compliance in Small and Medium clients, Lesotho Revenue Authority (LRA) introduced the tax lottery initiative to serve as motivation to clients in the said category.
LRA Public Relations Manager, Mr. Pheello Mphana said this when speaking at a meeting intended to highlight the Authority’s initiatives aimed at improving service delivery in as far tax payer collection in concerned.
The meeting took place in Maseru on Wednesday.
He said the tax lottery forms part of the strategic outcomes which focus on improved quality of service to the clients, adding that through the initiative, a draw of five vehicles will take place at Maseru Mall on July 13.
Mr. Mphana further said the final draw will be participated by 25 clients selected out of 4104 clients.
He said when the tax lottery initiative was first launched last year, LRA handed a vehicle to one client of Quthing and this year the number of vehicles have increased by four.
Speaking at the same meeting, Head of Client Education Mr. Letsatsi Sepiriti said since the tax lottery initiative was introduced last year, it helped a lot in improving revenue collection, saying in the previous two years and before the initiative was introduced, LRA failed to meet the set target.
He said the Authority saw an increase in numbers of small and medium traders and filling their tax returns contributed towards the revenue collection.
Asked how does the LRA categorise small and medium as well as large enterprises, Mr. Sepiriti said the small and medium are those who make turn-over of below M850,000 per year while those who run large enterprises, they are expected to make over M60 million per year.
He commented that most of the traders in huge companies are already paying tax and have engaged qualified Auditors to prepare their books of accounts hence the reason they have not been included in the tax lottery campaign.
Mr. Sepiriti further encouraged the tax payers to be compliant in an effort to contribute in the revenue collection for the development of the country.
Source: LENA 03/07/2019