Maputo, Mozambique, 14 Aug – The Mozambican government wants to begin paying overdue VAT refunds, which will be repaid by the end of 2012, and will start with a 200 million metical payment this year, the Noticias newspaper reported.
An audit on overdue business VAT refunds from 2003 to July of this year, covering 80% of receipts issued in this period, found that nearly 1,300 metical (about US$ 49 million) needs to be refunded.
The International Monetary Fund said recently that reimbursement of overdue VAT by the government has improved significantly and more than 90% of cases are resolved within the stipulated deadline.
The IMF also evaluated the area of tax, noting that preparations for a pilot budget project for 2008 involving five ministries has been extended for the complete 2009 budget covering all ministries and government bodies.
The IMF also noted Mozambique’s solid macroeconomic performance since the mid-1990s that is comparable with other states in the region, with an average growth of nearly 8%, sustained by foreign aid and private capital flows, particularly in the natural resources and commercial sectors.
“However, even before the current global crisis growth began to slow with projections of around one percentage point lower than the previous decade. Distribution of growth has not been balanced and recent investigation showed that in recent years poverty could have increased, especially in rural areas.” (macauhub)