The Human Rights Defenders Coalitionitio (HRDC) applauds government’s suspension of new tax regime on the importation of second-hand vehicles.
After meeting representatives of car importers in Lilongwe on Friday, minister of finance Sosten Gwengwe announced the move saying wrong valuation was used and that parliament did not authorize and increase in import duty.
He said MRA was only supposed to use averages of the rates that importers have already been paying in coming up with a mutually agreeable schedule.
In reaction, HRDC National Chairperson Gift Trapence commended the ministry’s willingness to engage in constructive dialogue with car importers and other stakeholders, and for recognising the importance of wide consultations before the implementation of the new tax regime.
“While HRDC maintains its stance that the proposed tax regime is punitive and unfair, we are encouraged by the government’s responsiveness to the concerns of ordinary Malawians. This decision to suspend the implementation of the new tax regime demonstrates a commitment to inclusivity and the willingness to listen to the voices of concerned citizens.
“We believe that consultations with stakeholders and interested Malawians are crucial in developing policies that are fair, just, and beneficial to all. The government’s decision to create room for more consultations is a positive step towards finding an amicable solution to this issue.
“We appreciate the government’s openness to sitting down with citizens to hear their concerns and engage in meaningful discussions. It is our expectation that going forward the process will be consultative and transparent. Malawians are ready to pay taxes that are fair and reasonable and justifiable,” he said.
Chairperson of Car Dealers Association Themba Mkandawire said he expects the process of coming up with the new schedule to be transparent and consultative.