NEW PRODUCTS FOR TAX PAYERS TO PROMOTE SME AND MSMEs IN PNG

The other major product that is part of the IRC Digital Transformation agenda is the QR Coding for all the Tax Compliance Certificates. Mr Koim said the introduction of QR Coding is to addresses the challenges of the production of fake COCs and distribution of fake COCs faced over the years.

NEW PRODUCTS FOR TAX PAYERS EXPECTED

Post Courier - Wednesday, September 28, 2022
BY LORRAINE WOHI

The Internal Revenue Commission is looking at introducing few of its new products to the taxpayers in the coming months, one of which include the Small Business Tax Regime.

Internal Revenue Commission (IRC) Commissioner General, Sam Koim said the Small Business Tax Regime (SBT) was introduced to attract those in the Micro, Small & Medium Enterprises (MSME) space and those whose turnover is below K60, 000 to only pay K250 in a year.

"SBT will allow you file one page or two page return and you only file once in a year unlike others in the previous regime where you expected to file too many returns and too many papers and complex calculation to embark on," Mr Koim explained.

"It is the very good product and if your turnover is above K60, 000 but below K250, 000, you will file at least once in a quarter with K62.50 quarterly.
We are actually reducing the burden and making it very easy for emerging business and those Papua New Guineas out there who like to venture into business."

Mr Koim said there is a way to opt out of the SBT regime if your turnover is above K250, 000 and this is a new exiting product avenue that is emerging for SME and MSMEs.
The other major product that is part of the IRC Digital Transformation agenda is the QR Coding for all the Tax Compliance Certificates.

Mr Koim said the introduction of QR Coding is to addresses the challenges of the production of fake COCs and distribution of fake COCs faced over the years.

"What we have done so far is that we make sure Standard Integrated Government Tax Administration System (SIGTAS) auto-generates the COCs.

"If you are not compliant and if one of your return is outstanding or if have not been paying any tax, your COC will not be processed until that return is filed or paid.

"If your compliance obligation or if your compliance is up to date, the system itself can auto-generate a COC in a matter of a day," Mr Koim said.

He also advised that there will be a number of manipulation even in the system generated process, however IRC has a solution for that and that will be a Mobile Phone App product that will be launched in a month from now.