Internal Revenue Commission (IRC)

This was stated by Acting Commissioner General for IRC, Sam Koim, last week at the Revenue Haus when announcing a 3-month amnesty period for all taxpayers to settle debts before the period ends.

With the reinstatement of Koim’s position for another 3 months, he aims to improve all processes to put the Revenue Haus in order by going after outstanding cases of taxpayers.

Acting Commissioner General, Sam Koim, said this provision has been abused and they will not allow it any further.

Koim said this when announcing that the IRC had identified a pattern of employers’ diverting salary and wages tax to other operational expenses.

“In the past, taxpayers have been allowed to use GST credits to offset their salaries and wages taxes pursuant to Section 91(5) of the Goods and Services Act 2003.

Acting Commissioner General, Sam Koim, said the practice is a breach of trust between the employer and employee, and is seen as theft and criminal in nature.

The monies, which they believe run in the hundreds of millions of kina, are then used to run other aspects of their operations.

Companies who evade tax have been warned that strict penalties will be applied going forward.

Prime Minister James Marape, while on a visit to the Internal Revenue Commission Office with Treasurer Sam Basil, warned big companies who have been evading tax that their time is up, and they must own up as forensic audit will be conducted.

As part of this effort, the IRC will conducting awareness sessions in 14 provinces from May 14^th to 30^th to inform taxpayers of this intention.

The awareness will inform taxpayers, businesses and sole traders about the various ways in which they can safely and conveniently pay taxes.

IRC says the acceptable payment methods include:

He made the statement during another visit to the Internal Revenue Commission (IRC) today.

Lupari reiterated his message to the young staffers that the IRC was the most important organisation in PNG and its effectiveness in collecting revenue will realise the country’s development aspirations.

In his third visit to the IRC this year, the Chief Secretary wanted to specifically meet the younger generation of IRC staff.

This was announced today by Chief Secretary, Isaac Lupari, when speaking to Internal Revenue Commission staff today.

Lupari said the Task Force will comprise of the IRC, Office of Migration, Customs, and the Central Bank.

Their main role will be to do a Tax audit on big taxpayers (companies) and visit shop and business entity’s.

Lupari said the Task Force will begin operations in Moresby and head out to other provinces.

He said many businesses are not paying taxes and are operating under the radar of organizations like the IRC.

The call was made by Chief Secretary to Government, Isaac Lupari, when meeting with staff and management of the IRC in Port Moresby.

Lupari said there must be five year training programs implemented in all government agencies.

The trainings will improve the attitude of staff and boost moral so that the can carry out their job’s efficiently.

He told the gathering that agencies such as they IRC and Customs are his priority and that he has recommended for them to be given priority in terms of funding and capacity which is evident in the 2017 National Budget.

This will accompany significant taxation measures in the mining and petroleum sector and the logging industry, which are actions undertaken to revamp PNG’s revenue.

K90 million is earmarked for the Internal Revenue Commission (IRC) to resource the state agency to improve compliance and broaden the tax base. The allocation is a 21.6 percent increase (K16 million) from the 2016 appropriation.

The IRC staff donated in cash and kind to the centre to assist family and sexual violence survivors.

IRC presented K1 108.70 and old belongings, including library books, crayons, colour pencils, children’s clothing and beddings.

IRC also provides a safe place for victims of family and sexual violence and IRC commissioner general Betty Palaso said this is part of their support to the community.