Tax Overhaul Needed To Fund Election in Congo
June 5, 2015 Taxation In Africa
KINSHASA – The Democratic Republic of Congo needs to raise an additional USD 1.1 billion in taxes in order to run an election without compromising regular services and infrastructure.
In a statement issued on June 5th the International Monetary Fund recommended that the government of the Democratic Republic of Congo should urgently implement measures to reform taxes in order to raise the funds needed to pay for the upcoming national elections.
It is estimated that the cost of holding the presidential election and the series of votes leading up to the election will be as much as USD 1.1 billion, while the total national budget over the 2015 year is only USD 9 billion.
The IMF recommended that the government sets out to overhaul the tax administration system to increase efficiency ad boost revenues, while also improving the methods and processes for tax collection, and raising the standards for the enforcements of customs regulations.
A successful effort to raise taxes following an overhaul would allow the government to continue funding necessary infrastructure, education and healthcare, while collecting the funds necessary to run the costly election.
Photo By: Clyde Robinson