NRA records SSP1.3b surplus in non-oil revenue
The National Revenue Authority (NRA) has surpassed its non-oil revenue collection target by SSP1.3 billion according to the latest financial report from the last eight months.
The commissioner-general of the NRA, the Minister of Finance and Planning, and the Minister of Petroleum were summoned by the chairperson of the standing specialised committee on finance and planning last week, to provide details on revenue collection, both for non-oil revenues and oil production.
According to the report, NRA’s actual revenue collections are SSP74, 340, 391, 197.38 per year (FY 2021/2022) and 6, 195, 032, 599.78 per month (FY 2021/2022).
For the fiscal year 2021/2022, the NRA revenue contribution to the national budget it remits to the ministry of finance yearly is SSP58,200,000,000, and the monthly contribution is SSP4,850,000,000.
Despite the growth in non-oil revenues between July 2021 and February 2022, Changkouth Bichiock, chairperson of the standing specialised committee on finance and planning, noted that the members of the committee have identified some challenges in collecting those revenues.
“The collection is not easy, nor the facilitation, and there might be some leakages which need to be dealt with. So those are some of the things that need to be improved so that the collection goes as we want, “Changkouth told The City Review yesterday.
“We really needed that so that the South Sudanese can know exactly what they are getting from the National Revenue Authority from all the collection of taxes and oil; how much they are producing and where it has gone,” he stressed, as he underlined the importance of public participation.
The general collection of non-oil revenues has increased over the last eight months, notwithstanding fluctuations in July, November, and December. The NRA did not explain what caused the fluctuations in some months, while collections in other months were listed as high.
Remittance formula
The monthly collection was split in half by the Revenue Authority. Mr Changkouth stated that remittance is done to the Bank of South Sudan on the sixteenth of each month and the first of each month to be transferred to the ministry of finance and planning for salaries and other government activities.
In July, the total revenue collected was SSP 3,514,753,945.40 (USD 5,807,340.31), and the gross revenue collection was SSP 5, 624, 238, 012, 31 at the provided exchange rate. For August, the total revenue collection was SSP 3,495,540,745.21, the USD was 6,331, 154.24, and the gross revenue collection was SSP 6,050,866,624.54 at the given exchange rate.
The overall revenue for September was SSP 3,370,043,495.43, USD 7,845, 959.32, with gross revenue collections being SSP 6,499,575,094.60 at the given rate. Total revenue in October was SSP 3, 517, 898, 097.23 at the provided exchange rate, with gross revenue collection totaling SSP 6,085,821,830.94 at the gross revenue collection rate.
The SSP was 3,051,539,722.94, USD 6,243,014.00 in November, while the gross revenue collection totalled SSP 5,565,135,633.08. At the provided exchange rate, the total revenue in December was SSP 3,373, 157,477.12, USD 6,260, 673.06, and the gross revenue collection was SSP 5,948,477, 391.00 at the provided exchange rate.
The overall revenue for January 2022 was SSP 4,245,953,808.82, USD 7, 827, 277.03, and the gross revenue collection was SSP 7,591, 113,612.00 at the stated exchange rate. However, from February 1 to 15, the total revenue was SSP 3,461,311,404.72, USD 4,332,078.95, and the gross revenue collection at the specified rate was SSP 5,309,748,843.58.
As a result, the overall revenue collection from July 2021 to the halfway point of February was SSP 28,030,198,702.87 (USD 51,080,891.62), and the gross revenue collection at the provided exchange rate was SSP 48,674,977,042.05.
According to the revenue estimates and measures in the national budget for 2021/2022, non-oil revenues are projected at SSP 58.2billion, an increase of 13.8 billion which represents 31.1 per cent from SSP44.4 billion in the fiscal year 2020/2021.
The projected increase in non-oil revenues is on account of the tax administration reforms that the government is implementing at the National Revenue Authority, which include digitalization of tax collections, broadening the tax base, and the proposal to fully deploy Revenue Authority staff in all non-tax revenue collecting institutions, the document read.
In addition, the document indicated that the government has proposed some adjustments in the fee structure for some of the non-oil revenue categories. These proposals, according to the budget booklet, are included in the financial bill alongside the budget so that the government has a legal basis for its revenue estimates.
Non-oil revenue numbers
SSP58.2b- Targeted figure in 2021/2022 year
SSP44.2b- Target in previous fiscal year
31.1- Percentage marginal increase in collection
SSP1.3b – Surplus in collection
