In its quest to enhance service
delivery and achieve high voluntary tax compliance, the Malawi Revenue
Authority (MRA) plans to introduce Electronic Invoicing System (EIS) to replace
Electronic Fiscal Devices (EFDs).
The Authority will roll out the
EIS, a web-based system, because it offers several benefits to the business
people. For instance, traders will be able to create, send and receive invoices
electronically while at the same time managing stock records through integrated
software solutions.
Making a presentation in one
of the meetings conducted in Lilongwe, Ulinda Mponela, System Test Analyst in
MRA’s Domestic Taxes Division, explained that there are more benefits in the system
that far outweigh the EFDs.
He hinted that the new system
has a component called Application Programming Interface (API) which allows
seamless integration between businesses' Point of Sale (POS) systems and MRA’s
databases.
‘’This real-time connection
ensures that sales data is transmitted directly and securely to MRA,’’
emphasized Ulinda adding that even in cases of internet outages, POS systems
will continue operating and synchronize data once reconnected.
“This is unlike the EFD
regime which had limited storage capacity and high maintenance costs,’’ he
gesticulated.
With the introduction of EIS,
businesses people will use various platforms including smartphone POS
terminals, computer-based POS systems, web-based platforms and even third-party
invoicing solutions.
Between 24th and
31st July 2025, MRA conducted sensitization meetings with VAT
operators in Blantyre, Lilongwe, Mzuzu, Zomba and Mangochi to sell the new
system. The Authority will cover other business and trading centres soon before
conducting training on how the new system operates in readiness for complete
roll out of the EIS.
BY
BETHSAIDA MSOWOYA & JACK CHIMUTU