Eswatini Revenue Service (ERS) wishes for all businesses and individuals to comply with tax regulations.
ERS Head of Domestic Revenue Pearl Muir-Dlamini said the aim of the tax compliance certificate (TCC) was not to close businesses nor create bottlenecks that would bring challenges to business operations. This was during the Media Tax and Journalism Academy workshop hosted by ERS for the Editors Forum at Pigg’s Hotel this past weekend.
The media personnel were sensitised on the tax compliance certificate regulations, the importance of compliance, customs and more. The clarification came after The Nation Editor Bheki Makhubu strongly raised concerns that the TCC would lead to businesses stopping operations as it stifled businesses. He said people were already struggling financially and were trying to survive, the TCC regulations would worsen their situations as it was blocking growth for small businesses.
“Trump is running America to protect the wealth, you are following that attitude by choking people and we will be frustrated then make noise. Our job is also to tell you, particularly those of us who are in the midst of this because this thing is a problem. You are restraining growth in trying to collect money that you cannot collect from those who are holding it back,” said Makhubu.
He said there were people who were millionaires who are not paying taxes.
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Eswatini Positive News Editor Mbongeni Ndlela also questioned if ERS could publicly disclose how much revenue loss could be attributed to large corporations compared to the micro, small and medium enterprises (MSMEs).
Dlamini said the tax collected was used to fund essential services for government; healthcare, water services, education, social grants, and more.
ERS Commissioner General Brightwell Nkambule echoed Dlamini.
He also said they did not decline the TCC, but they always granted it on condition of the client making a commitment, with the intent of keeping it. He also noted that the regulations were not new as they were made in 2022. However, they were enforcing them now because of the increase in the number of people who did not comply with tax obligations; E4.8 billion sent to offshore accounts not declared.
Additional Context
The renewed enforcement of tax compliance regulations reflects growing pressure on revenue collection amid concerns over tax leakages, particularly involving undeclared offshore funds. The debate highlights tensions between compliance enforcement and business sustainability, especially for MSMEs.
