The Minister of Finance briefed the media while attending the three-day biannual meeting between the government office, Vientiane mayor and provincial governors that the ministry has been working with a local bank to introduce smart customs payment, with smart cards issued for importers and exporters enabling them to pay customs duty quickly. Importers and exporters spend only 15 to 30 minutes to complete the customs payment process which is shorter than the previous document system that required half a day or even a full day to complete. Scanning machines have been installed at border crossings to check whether products match those declared by importers and exporters.

Under the new system, importers and exporters are required to self-declare their imported and exported products and pay customs accordingly, unlike the previous document system that left loopholes for negotiation that could result in revenue leaks. Training courses have been organized for customs officials as well as exporters and importers to familiarize them with the system.

In addition, the ministry has been working with various local banks to introduce a smart-tax system that enables business operators to pay taxes through banks. Tax officials will issue tax-declared receipts for businesses and then the businesses can pay the taxes through the banks or mobile phone. In the near future, businesses would also be able to pay taxes through ATMs as the ministry and the banks plan to develop a support program. At present, scanning machines have been installed at border crossings to check whether products match those declared by importers and exporters which cuts time and guarantees the correct payment of customs duty.

According to available data taking in 11 months and 15 days of the fiscal year ending September 30, some 23.819 trillion kip in revenue was collected, representing 91.16 percent of the annual plan. Revenue for the whole year was expected to reach not less than 95 percent of the plan, an increase of 1.4 trillion kip, equivalent to 7.3 percent, over the previous fiscal year.

Given that the system had just been introduced, the minister said there was a need to carry out a campaign to encourage businesses to pay taxes through the new system.

Source: Vientiane Times

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