INTRODUCTION OF ELECTRONIC CASH REGISTER MACHINE IN FREETOWN FORCES BUSINESS PEOPLE TO CLOSE SHOPS
Expressing his displeasure to Murhero Media Network, one of the shop owners at PZ ABU Bakarr Jalloh, said Because they have been mandated by Government through the National Revenue Authority to use the Electronic Cash Register Machine, caused them to close their businesses.
Thursday the 3rd March 2022, Business people within the Central Business District in Freetown, the capital city of Sierra Leone, have all shut down their businesses. The closure of shops within Abacha Street, PZ, Wilberforce Street, Siaka Stevens Street among other areas, came as a result of the introduction of the Electronic Cash Registered Machine by the National Revenue Authority (NRA) for mandatory use by shop owners.
Expressing his displeasure to Murhero Media Network, one of the shop owners at PZ ABU Bakarr Jalloh, said Because they have been mandated by Government through the National Revenue Authority to use the Electronic Cash Register Machine, caused them to close their businesses. He added that the purpose of the machine is for government to add extra charges on any transactions they do on their goods and services.
As shops and Businesses remain closed within the Central Business District of Freetown at the time of this interview, Abu Bakarr Jalloh also intimated to Murhero Media Network that they are in negotiation with the government and other stakeholders for an expeditious remedy to the current situation.
“The introduction of this machine is going to greatly have a rippling effect on the common consumers. Because if I am selling a particular good for $ 5, I will definitely make it $ 6”, he said.
Mahmoud Bah, also a businessman at Abacha Street, Expressed that the introduction of the machine is under their condemnation because of its effect of increasing taxes on their businesses. He disclosed that they are currently paying the Goods and Services Tax (GST), the National Revenue Authority Tax, City Council rates among other taxes.
He reiterated that the introduction of the Electronic Cash Register Machine will just create an additional burden for them and the end-users/ consumers. He revealed that the introduction of the machine does not make sense to them as business people add that, it creates additional expenses for the poor people coming to buy in their shops.
“So if the price on fuel has gone up, prices on other commodities have equally gone up, then the introduction of this machine is just going to add salt to injury”
Mahmoud Bah continued that the current scenario within the business community in terms of taxation will scare investors from coming into the country. He assured that if the government insists on implementing the Electronic Cash Register Machine, then they will automatically increase prices on commodities. He furthered that negotiation is ongoing between the business community and the government for an instantaneous redress. He concluded that if the Government becomes adamant to heed to their clarion call, then they will have no option but to close their shops till God Knows how long.
It could be recalled that on the 14th of April 2021, the Commissioner-General of the National Revenue Authority (NRA) Dr. Samuel Jibao, informed the general public that the Authority has commenced the installation of Electronic Cash Register Machines in the business premises of all registered GST taxpayers such as supermarkets, hotels, guest houses, restaurants, bars, night clubs, building materials stores, boutiques, saloon, general merchandise, and other service providers.
Commissioner Jibao also reminded the General Public that the use of the machine is compulsory as provided for by the Finance Act of 2020 and other related legislations. He further mandated all GST taxpayers to input all transactions into the machine and generate receipts for each transaction.
For public edification, an electronic cash register (ECR) is a system designed to enable products to be sold at a retail outlet. Electronic cash registers help large retail outlets track sales, minimize register errors, collect inventory data, and much more.
Section 25 subsection (1,2, and 3) of the Finance Act 2020 gives the NRA the Authority to install Electronic Fiscal Devices on Business Premises. Section 34 of the Goods and Services Tax Act 2009, also provides that every registered GST business shall in the ordinary course of business; maintain an electronic cash register as may be specified by the Commissioner-General for the purposes of invoicing and recording all transactions. The Act also notes that a GST Supplier who makes taxation supplies shall be required at the time of supply, issue the receipt with an original GST invoice, whether from the printed booklet or an electronic cash register for supply.
BY MOHAMED M. SESAY
