A delegation from the Lesotho Revenue Authority (LRA) was recently on a six week-long training and familiarisation tour of the Zimbabwe Revenue Authority (ZIMRA). Our Revenews Staff Writer Musasiyashe Kufakunesu (MK) caught up with the LRA head of delegation Mr Lefielo Lefielo (LL) for an in-depth interview on why they fell in love with Zimbabwe in general and ZIMRA in particular. Read on . . .
MK: I would like to welcome you once again to Zimbabwe and in particular to ZIMRA. I hope you are finding your tour of the Zimbabwe Revenue Authority very useful to you. Can you briefly explain the reason why you are here in Zimbabwe?
LL: We have come here to Zimbabwe and in particular to the Zimbabwe Revenue Authority because we, the Lesotho Revenue Authority, are in the process of modernising our customs processes.
MK: What has necessitated your modernisation of customs processes?
LL: Well, you have to be mindful of the fact that in Lesotho, we are still using the manual customs and goods declaration system. We intent to migrate to the computer-based system of declaration of goods early next year (2014). So we want to learn how ASYCUDA World works so that we can implement it in our own country. We are here at ZIMRA so that we have a practical feel of how this system works.
MK: Okay, that sounds so interesting. But one would always be tempted to ask; why choose ZIMRA of all the revenue authorities in the region and probably in Africa?
LL: Well, for us the answer is simple: ZIMRA has had a long history of using the ASYCUDA system, having moved from one version to another. It was therefore important and logical for us to learn from the people who are conversant with the system. Secondly, we have a strong relationship with ZIMRA which has been cemented through the signing of a number of agreements. So this gesture is part of LRA and ZIMRA’s way of honouring these agreements. But most importantly, we think ZIMRA has gone a gear up in its modernisation process. They probably have one of the best customs and declaration systems in Africa. So we have got a lot to learn from them.
MK: What can you say of the experience you have had so far with ASYCUDA World?
LL: The progress we have made so far with the system has been good because it’s basically a movement from manual to a computer-based system. What you have in the manual system is also found in the computer-based system. But you have to appreciate the fact that loopholes are few in the computer-based system and it is much more efficient as compared to the manual one. So the team is impressed with the progress it has made in the learning of the computerised system of customs management.
MK: Who makes up your delegation?
LL: Our delegation is made up of six officers with three of them learning the practical side of the computer-based system, while the other side will be learning the technical side of the system. This is for us to get a holistic understanding of the whole thing.
MK: What challenges has the LRA faced in revenue collection and how have you dealt with them to ensure voluntary compliance?
LL: As you might be aware, people are generally reluctant to pay taxes. So that is one challenge that we have faced as a tax Authority. But also, corruption has been an albatross on the neck of the Authority. However, the LRA has put in place initiatives to educate people about the importance of paying taxes. We have established a Taxpayer Education Office whose main aim is to educate people on why they should pay taxes. We buy slots on radio stations where we encourage people to pay taxes. We also hold tax clinics in the neighbouring South Africa, where we educate our people living and working there, why they should contribute to the growth of the Lesotho economy through paying taxes. Sometimes tax defaulters are prosecuted. So we have a whole host of initiatives put in place to ensure there is voluntary compliance.
MK: How has the LRA faired in terms of meeting its revenue targets?
LL: We haven’t done badly. In fact, we have met our targets consistently, but I must hasten to say sometimes it’s an issue of firefighting where we really need to go out there physically checking to see if people and companies have paid their taxes. So it’s a lot of work that is put into these exercises so that at least people give to the State what belongs to the State.
MK: That is what we call thinking out of the box. Anyway as a parting shot, what have you got to say?
LL: We would like to give a thumps up to the kind of reception that we got from ZIMRA in particular and Zimbabwe in general. I must say the treatment we received made us feel like royalty. Even the ZIMRA officers that we have worked with have been so helpful. But more importantly, we have been humbled by the Commissioner General Mr Gershem T. Pasi and his Executive Managers who personally had to squeeze some time off their busy schedules to meet us. This was quite remarkable. We also want to shower praises on ZIMRA which we think takes seriously all the agreements that it enters into with other countries and we are so certain that we will achieve what we came here for.
MK: Thank you for giving us this time to interview you.
LL: You are most welcome.
From Right, Revenews Corespondent, Mr Musasiyashe Kufakunesu asks Head of
Delegation Mr Lefielo Lefielo (Centre) a question while the Vice Head of Lesotho Delegation,
Mr Mota Lekau looks on during the interview