Empowering provincial centers to improve tax collection and compliance efforts was the objective of the Internal Revenue Commission Annual Provincial Managers meet in Lae this week.
Commissioner General, Mr. Sam Koim emphasized the need to treat provincial centers as effective operational centers, separate from headquarters in the city of Port Moresby.
“The goal is to make provincial centers more active in terms of ensuring tax compliance and, in doing so, improve tax collection efforts and ultimately increase tax revenue,” he said.
“The meeting is designed to help us understand the challenges faced by provincial managers and allocate resources to address those challenges to boost compliance efforts in the provinces,” Koim added.
Meanwhile, Commissioner of Tax, Mr. Samuel Loi highlighted the success of the taxpayer mapping initiative, which has already led to a 60% increase in active taxpayers.
“The IRC expects GST tax revenue to grow substantially, potentially allowing for reductions as part of the overall fiscal reforms in other taxes such as Salaries Wages Tax or even Corporate Income Tax to attract foreign direct investment and address issues affecting businesses, contributing to overall economic growth,” Loi stated.
The IRC is committed to improving its operations at the provincial level and reducing non-compliance through better taxpayer data and targeted compliance efforts. That is why this annual meeting is crucial for aligning the IRC’s strategy across its nationwide network.