VAT IS NOT A BUSINESS TAX
but a pure consumption tax
mission is to act as an agent of the Government to serve the nation responsively, with
competence, pride, commitment and empathy.
systems are designed to simplify the VAT system, as VAT is not a business tax, but pure consumption tax.
systems are designed to automaticity extract VAT rather than leave the payment of VAT to the voluntary choice and morality of taxpayers.
keeps VAT simple, more robust and easy to comply with and easy to collect.
The ability to collect taxes is central to a country’s capacity to finance social services such as health and education, critical infrastructure such as electricity and roads, and other public goods.
Act as an agent of the Government to serve the nation responsively, with competence, pride, commitment and empathy.
A dynamic team of competent and committed people and community in nation-building and inclusive growth.
corporate goals are to:
• Foster a competitive tax environment that supports inclusive growth • INTEGRITY - Do what is right without fear or favour in all circumstances
• PROFESSIONALISM - Serve our nation responsively, with competence, pride, commitment and empathy
• INNOVATION - Continuously seek new ways to do our work better
The VAT amount element is detached from the buyer’s payment and is remitted electronically to the tax revenue authority from the buyers’ bank account. In doing so VAT never reaches the account of the merchant
Current VAT Regime challenges The majority of VAT laws were written before the emergence of many digital technology advances. In this context, those laws are showing signs of age, as the rules tend not to track consumption of goods and services as well as they should.
Compliance with tax laws does not occur without effort: it must be created, cultivated, monitored and enforced in all countries. In economic terms, of course, effort is just another word for cost, and tax compliance costs have been a concern for centuries.
VAT administrative burdens The current VAT system contains fundamental flaws and suffers from assumptions
that are overly broad and ultimately unnecessary.
A series of patches and Band-Aids are being adopted as
Benefits practices and part of an in depth compliance strategy.
And although these compliance practices
are helpful in protecting tax revenues in a generic sense. They do not focus on the real issues of the
tax collection systems.
The use of MobiVAT presents many benefits for Tax Revenue Authorities, including faster processing requiring fewer
resources and reducing the collection cost Split payment: The VAT element is automatically split off from the buyers
payment at the point of payment.
The VAT element is electronically remitted to the tax authority from the buyer’s
bank account The VAT never reach the merchant account Elimination of VAR return: Remove the need for the merchants
to collect and account for VAT on behalf of their Tax Authorities.
Hence removing the merchant’s compliance
obligation by supressing the VAT declaration. Refund Mechanisms Quicker mechanism of VAT return for B2B. For
compliant business with good trach records, the process of dealing with refund could virtually be automated
Separated they live in. A small river named Duden flows by their place and supplies it with the necessary regelialia. It is a paradisematic country
“I just wanted to share a quick note and let you know that you guys do a really good job. I’m glad to work with you. It’s really great how easy VAT is going to be collected. I have no problem at all.“
Alice Umulisa
Seller“This is going to make my work easier because I used to declare a VAT once a year which takes process and waste my time while I should be working on my business“
Marie Claire Tuyisenge
Businesswoman"As Government we are losing billions of euros in value added tax(TAX) revenues because of tax fraud and inadequate tax collection systems, so this MobiVAT comes while it is needed and we can't wait."
Florence Mbabazi
RRA"I'm very happy because of this MobiVAT I suffered so much in paying Value added Taxes and I'm very grateful that I'm going to build my country"
Jacky Kayitesi
Buyer