By: Haddy Touray
The Gambia Revenue Authority (GRA) has reminded employers in both the public and private sectors, as well as VAT registrants, of their statutory obligations under the Income and Value Added Tax Act 2012.
The Authority said it has observed that some employers deduct Pay-As-You-Earn (PAYE) taxes from employees but fail to remit the amounts within the prescribed period. It added that some VAT-registered businesses also collect VAT from customers on goods and services but do not remit these funds as required by law.
According to the GRA, such practices constitute serious violations of tax regulations.
Under Section 94 of the Act, employers are required to remit PAYE deducted from employees’ income to the Commissioner General within 15 days after the end of the month in which the deduction is made. The Authority stressed that employers act only as agents of government in collecting these taxes and are not permitted to retain the funds.
Similarly, VAT-registered businesses were reminded that VAT collected from customers does not constitute business income but is public revenue held in trust for the government. Registrants are therefore required to account for and remit all VAT collected within the time prescribed by law.
The GRA warned that failure to comply with these obligations is an offence and may result in prosecution, imposition of penalties and interest, as well as personal liability for responsible individuals.
It further noted that under Section 95(1) of the Act, any person who withholds tax and fails to remit it to the Commissioner General shall be held personally liable for the amount withheld.
The Authority urged all employers and VAT registrants engaged in such practices to regularise their tax affairs and desist from further non-compliance.
The GRA also announced plans to conduct a nationwide verification exercise in the coming months to identify employers and businesses failing to remit PAYE and VAT. It said appropriate enforcement measures would be taken against defaulters.
The Authority reaffirmed its commitment to promoting voluntary compliance and encouraged taxpayers to meet their obligations in a timely manner to support national development.
It advised taxpayers seeking further information or assistance to contact the GRA through its official communication channels.
GRA Urges Employers, VAT Registrants to Comply with Remittance Obligations
The Gambia Revenue Authority (GRA) has reminded employers in both the public and private sectors, as well as VAT registrants, of their statutory obligations under the Income and Value Added Tax Act 2012.
The Authority said it has observed that some employers deduct Pay-As-You-Earn (PAYE) taxes from employees but fail to remit the amounts within the prescribed period. It added that some VAT-registered businesses also collect VAT from customers on goods and services but do not remit these funds as required by law.
According to the GRA, such practices constitute serious violations of tax regulations.
Under Section 94 of the Act, employers are required to remit PAYE deducted from employees’ income to the Commissioner General within 15 days after the end of the month in which the deduction is made. The Authority stressed that employers act only as agents of government in collecting these taxes and are not permitted to retain the funds.
Similarly, VAT-registered businesses were reminded that VAT collected from customers does not constitute business income but is public revenue held in trust for the government. Registrants are therefore required to account for and remit all VAT collected within the time prescribed by law.
The GRA warned that failure to comply with these obligations is an offence and may result in prosecution, imposition of penalties and interest, as well as personal liability for responsible individuals.
It further noted that under Section 95(1) of the Act, any person who withholds tax and fails to remit it to the Commissioner General shall be held personally liable for the amount withheld.
The Authority urged all employers and VAT registrants engaged in such practices to regularise their tax affairs and desist from further non-compliance.
The GRA also announced plans to conduct a nationwide verification exercise in the coming months to identify employers and businesses failing to remit PAYE and VAT. It said appropriate enforcement measures would be taken against defaulters.
The Authority reaffirmed its commitment to promoting voluntary compliance and encouraged taxpayers to meet their obligations in a timely manner to support national development.
It advised taxpayers seeking further information or assistance to contact the GRA through its official communication channels.
