By Amin Kef (Ranger)
In a significant enforcement action, the National Revenue Authority (NRA) has on April 5, 2024 sealed off St. Mary’s Supermarket on Hill Station for failing to adhere to tax regulations. The supermarket has been accused of not issuing Electronic Cash Register (ECR) receipts and hindering tax administration, contravening Section 155A of the Income Tax Act 2000 and Section 50 (1) of the Goods and Services Tax Act 2009.
Authorities have imposed hefty fines on the establishment, with penalties set at NLe 10,000 and NLe 250,000 for each violation. The NRA’s move to shut down the supermarket signals a zero-tolerance policy towards tax evasion and non-compliance, aiming to secure the Government’s revenue stream.
The closure of St. Mary’s Supermarket is expected to send ripples throughout the local business community, serving as a potent reminder of the legal and financial consequences of evading tax duties. The supermarket’s failure to provide proper receipts is indicative of potential tax avoidance, which undermines public finance and development programs funded by tax revenues.
The NRA’s ongoing campaign to clamp down on tax evasion reflects a commitment to foster a fair business environment where compliance is non-negotiable. The Authority has reiterated its resolve to take all necessary actions to curb revenue loss and enforce the law, thereby promoting transparency and equity in the market.
The business sector is now poised to reassess its tax practices in light of the NRA’s reinforced efforts to ensure that all entities contribute fairly to the nation’s coffers. This incident highlights the critical role of tax compliance in supporting the country’s infrastructure and overall development.
