South Sudanese importers decry excessive tax burden on businesses

JUBA — South Sudanese importers have raised concerns over what they described as an excessive tax burden on businesses, warning that high and multiple levies are stifling trade and slowing economic growth.

The group expressed this concern during a stakeholders meeting with officials from the South Sudan Revenue Authority (SSRA) that took place in Juba on Wednesday.

The meeting focused on the implementation of the digital tax stamp system, which is intended to enhance tax compliance and address smuggling issues.

Attendees included officials from the revenue authority, representatives of importers and freight forwarders, as well as members of the business community.

Kuot Deng Chol, representing the South Sudan Freight Forwarders Association (SSFFA), stated that high taxes on essential goods may have adverse effects on both businesses and consumers.

“South Sudan is largely a non-productive country that depends heavily on imports. When excessive taxes are imposed on essential goods, it is the businesses that suffer, and ultimately the consumers bear the burden,” Deng said.

Deng noted that some individuals seem to receive favourable assessments, while others encounter higher charges without clear justification.

“The importers are half of the business community in this country. Some clients seem to be favoured, while others are subjected to significantly higher assessments without clear justification. Fairness and transparency are critically important to us,” he added.

For his part, Juma Charles Simon, Deputy Director of Finance and Administration at the South Sudan Chamber of Commerce, Industry, and Agriculture, requested organised training to assist importers in gaining a better understanding of and utilising the digital tax stamp system.

“We have seen the system in the presentation made here. The application process was long. It may require in-house training. If that can be arranged, then a special arrangement should be made,” Juma said.

Meanwhile, Agum Ater Machiek, Assistant Commissioner for Board Affairs and Legal Services at SSRA, assured stakeholders that the authority would provide the necessary training to facilitate smooth implementation.

“The tax stamp is going to be our identification code on the products. When a product is stamped in the market, it will show that it came to South Sudan legally,” Ater said.

She explained that the digital tax stamp will function as an identification code placed on products to confirm that they entered the country legally.

“It has not been smuggled. The same applies to our local manufacturers; it will help confirm that these are legal products in the market,” she added.

Deputy Commissioner for Compliance and Enforcement Joseph Wani urged importers and manufacturers to embrace the new system, assuring them that efforts would be made to simplify procedures to avoid unnecessary complications.