MCIT's tax collection process slow in getting off the ground

Tuesday, 22 August 2017 02:19 Written by  Heart of Asia Published in Economy Read 140 times

The Ministry of Communication and Information Technology (MCIT) on Sunday said although the ministry has made numerous efforts, it has still not managed to launch the Real Time Dynamics Monitoring System (Timer) to monitor telecommunication tax collection. 

 

The Afghan government introduced a 10 percent tax on telecommunication services last year. Four months ago the MCIT said the ministry would launch a new system soon through which they will monitor tax collection using the technology.

But to date the tax collection process from private telecommunication companies has been supervised manually by government employees.

According to the MCIT, the delay in installing and launching the new monitoring system is not the ministry’s fault but is the fault of the Afghanistan Telecommunication Regulatory Authority (ATRA) and the finance ministry. 

“The issue belongs to the finance ministry procurement committee, the ATRA and the National Procurement Authority, especially it belongs to the ATRA,” Najib Nangialay, MCIT spokesman said.

A member of the Afghanistan Telecommunication Regulatory Authority, Zarghona Jalalzoy, meanwhile said they are working on ways to establish the system which needs to be put out to tender. 

“12 companies have shown interest in implementing the Real Time System. In the second phase, the companies will get shortlisted and the system establishment will be launched." 

The ministry meanwhile said in the last 22 months, since the telecommunication tax collection system was introduced, over six billion AFs has been collected.

The finance ministry meanwhile said they will provide the budget to launch the monitoring system (Real Time-Timer) once asked to.

“The finance ministry, as a member, will provide the budget anytime they start working on preparing the system,” finance ministry spokesman, Ajmal Hamid Abdul Rahmizai said.

The delay of establishing and launching the new monitoring system comes amid rising concern over disarrangements and lack of good monitoring in collecting telecommunication taxes. Residents said they are worried that not all the taxes may be ending up in government coffers.