EU-funded SRC solutions to improve ease of doing business, reduce revenue leakages |07 October 2022

The gathering following the presentation of the demo

The new tax management system and new applications for the ASYCUDA World System in implementation at the Seychelles Revenue Commission, funded through the Eleventh European Development Fund, will greatly improve the ease of doing business with the institution.

The two information technology (IT) projects, comprising the development of a new tax management system, and the upgrading of the customs ASYCUDA world system falls are expected to also significantly improve Seychelles Revenue Commission’s (SRC) overall performance through synergies, data-sharing, accurate reporting, as well as through the implementation of a more cost-effective operation, it was highlighted yesterday.

Deputy commissioner general of SRC, Fred Morel, speaking at a presentation to the benefit of the European Union (EU) delegation led by Ambassador of the EU to Mauritius and Seychelles Vincent Degert, noted that with the new resources, SRC is better equipped to be more effective and efficient in the implementation of tax laws, providing for a more accurate tax-payer system, thereby significantly reducing the chances of revenue-leakages.

Implementation of the systems fall in line with the reforms to digitise the tax-collection institution, eliminating manual processes, towards a paperless organisation.

The project has seen the development of SRC’s own digital platform, and integration of the ASYCUDA World complete with online payment gateway, to facilitate trade.

“The long-term benefits will include reshaping SRC’s organisational structure by allowing for the employment of staff members in critical areas of the organisation, the enhancement of voluntary compliance by taxpayers in filing and payments of tax returns,” noted Mr Morel.

Additionally, the new projects are expected to increase the transparency between the institution and taxpayers, thereby strengthening public confidence in the institution, as a reputable revenue administration.

The project was conceived last year, and has progressed significantly so far, although not fully-implemented yet.

Mr Morel conveyed gratitude to the EU, as well as local contributors the department of information communication technology (DICT) and the Ministry of Finance, National Planning and Trade for the innovative solutions.

Vice-President Ahmed Afif said the new integrated system with the aim of modernising the institution is in line with the government's strategy to reform tax operations and in broadening the tax base, but also improve the customer experience.

Seychelles also benefited from technical support from experts from GOPA, under the Eleventh European Development Fund (EDF).

Mr Afif also committed towards equipping the DICT to be able to develop integrated systems, vowing to put “all hands on deck”.

“We will work tirelessly over the next couple of months, for us to get all this done, whereby all the systems talk to each other. Inter-agency collaboration is very important. It is important not just for customs, but it is also important to SRC, because everything you do at customs links with businesses out there, links with other tax returns,” said VP Afif.

“The more we talk to each other, the more the systems talk to each other, the more information the government has, the more revenue we collect with less effort. Therefore, the more development we can carry out, having received the money,” VP Afif noted.

One of the first modules to go live will be a registration system. Three of six modules of the ASYCUDA World update are to be implemented first.

VP Afif also thanked the EU for the “long-standing and outstanding relationship” between the Seychelles and the EU, which has reaped numerous benefits for the country, including the private sector.

For his part, Ambassador Degert said the EU is happy to have assisted Seychelles with the project, deeming it as a project which “could not have been more timely”, considering that the main source of domestic revenue is through tax collection, necessitating an efficient tax management system.

The online platform will make it easier for taxpayers to fill and file their tax returns and to effect payments, while allowing authorities to monitor each taxpayer, also reducing tax arrears.

Invitees to the presentation were treated to a demo of the new registration model, and accompanying online services.

Ambassador Degert added that it is essential that SRC has sufficiently trained staff to implement the system, a further element which the EU will be happy to help with.

The entire tax system is scheduled to be fully-implemented in May 2024.

Also in attendance for the presentation were chairman of the SRC board Chrystold Chetty and other board members, SRC and customs staff, as well as representatives from the Seychelles Chamber of Commerce and Industry (SCCI) and traders.

The demo was presented by experts from GOPA, namely team leader Maurizio Zincone, Andre Schoonbee and Wassim Al Khawand.

Laura Pillay