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Agencies to push for tax harmonisation

By Wainaina Wambu | December 10th 2018
Passengers get cleared at customs office during launch of the Kentrade Internet WiFi Connectivity at Namanga One Stop Border Post on Thursday, Oct 18, 2018. [Jonah Onyango, Standard]


Regional authorities have committed to push for the harmonisation of domestic taxes in order to deepen trade and investment.

In a joint communiqué, the commissioners general of the revenue authorities of Tanzania, Rwanda, Kenya, Uganda and Burundi also agreed to enhance tax compliance.

This is expected to be achieved by developing a common customs management system to replace the independent systems used at individual state level.

“This will enhance information sharing and help prevent cross-border fraud,” said the statement issued at the end of the 45th East Africa Revenue Authorities Commissioners General (EARACGs) meeting that was held in Nairobi last week.

“To further deepen the EAC Common Market, RAs resolved to more boldly champion the domestic tax harmonisation agenda with a view to removing internal distortions to the free movement of labour and investment flows,” added the communiqué.

The officials agreed to implement the electronic East African Community Customs Valuation System to enable value benchmarking of various goods.

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