MSMEs encouraged to register for tax

The Malawi Revenue Authority (MRA) has underscored the need for Micro, Small and Mediums Enterprises (MSMEs) in the country to register for tax in order to be awarded big contracts by the government and grow their businesses.

The call was made recently by the Deputy Manager Customs & Excise for Lilongwe, Patricia Gondwe, when she made a tax presentation to MSMEs during a conference organized by Small Medium Enterprise Development Institute (SMEDI) in Lilongwe City.

Gondwe added that some businesses are not fully recognized by various organizations as well as the public sector because they are not registered for tax.

‘If your business is not registered, some organizations will be reluctant to offer you contracts. I, therefore, implore you to register your business with MRA for tax purposes in order to increase your chances to win government contracts and also access loans from various lending institutions with ease,’’ hinted Gondwe.

In the same vein, Gondwe encouraged the MSMEs who import goods from other countries to clear their merchandize through MRA border stations than resorting to smuggling because the consequences are very severe.

Opening the conference, Acting Chief Executive Officer for SMEDI, Liberty Neba, said that MSMEs play a critical role in the economic development of Malawi but the majority of them are not registered for tax.

“That is why we extended an invitation to MRA to make a presentation on taxes that affect MSMEs,” said Neba.

The day-long conference attracted over one hundred participants from the city and beyond. Other speakers at the conference were from the Public Procurement and Disposal of Assets Authority, (PPDA), Ministry of Trade and Office of the Registrar General.

BY CONSTANCE NKOSI