The project is supporting tax administration development and improvements in three overall areas: institutional, operational, and IT infrastructure.
Institutional development means boosting efficiency by improving HR-management practices, with a strong focus on motivation, honesty and integrity.
Operational development comprises re-engineering of business processes, introduction of an automated risk management system, universal filing methodology, and creation of a modern call-center.
Business re-engineering helped reduce the time spent by taxpayers in paying taxes, from 271 hours in 2010 to 186 hours in 2019. And, electronic filing increased from 65% to 99% during the same period.
Taxpayer service centers, equipped with terminals for taxpayers to submit tax reports and e-queue systems, have been opened in all regional centers. These are one-stop shops for taxpayers, where they can get professional advice, receive consultation on opening a business, register as taxpayers, pay taxes, and resolve any tax-related issues.
IT infrastructure development centers around the launch of three new IT systems: e-Invoicing, a Risk Management System, and an Integrated Database.
To date, the e-Invoicing system has generated almost $1 billion extra in VAT revenue, and along with the use of ICT, has helped prevent VAT fraud and evasion, allowing for a more transparent flow of goods.
The Risk Management System evaluates tax reporting and taxpayer’s performance, identifies high-risk areas, and improves the government’s capacity to detect tax abuse cases. In 2019, the system helped generate $204 million in additional revenue for the national budget.