The Malawi Revenue Authority (MRA) says it has opened a new satellite office in Dedza as it seeks to control smuggling.

In an interview on Thursday, MRA commissioner general John Biziwick said the new satellite opening is just one of the many initiatives being undertaken by the public tax collector to check illegal importation and exportation of goods.

He said: “We have opened a new satellite office in Dedza to take care of smuggling of goods between Dedza and Mitundu. But in addition is the issue of drones which, with support from the World Bank, we have started the procurement process.

Some cross-border traders use uncharted routes to avoid paying duty

“We are hoping to have drones by the third-quarter of this year. There are also other areas we are looking at to tackle smuggling.”

Smuggling distracts MRA from focusing on revenue collection as  

 substantial resources are diverted towards dealing with problems instead of collecting revenue Smuggling of goods could also pose a health risk and be detrimental to the social wellbeing of the citizens since most of the smuggled goods

 are restricted or prohibited.

According to the Customs and Excise Act, MRA is allowed to seize the consignment and impose a fine of K100 000 or three times the value of the goods in respect of the offence is on perpetrators.

In the year under review, MRA is projected to collect K1.528 trillion in tax revenues, a 47 percent increase from the previous year’s K1.044 trillion.

Minister of Finance and Economic Affairs Sosten Gwengwe is on record as having said resource mobilisation to support the budget is anchored on enhancing tax administration and automation of collection of non-tax revenues through improved tax payer enforcement and compliance.

In the first quarter of the 2022/23 financial year, MRA recorded a revenue performance of 99.8 percent, collecting K355.106 billion against a target of K355.642 billion.

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