DP: “Government should have learned from failures with private collection of taxes”

23/01/2016 15:20

The opposition reacted for the first time for the recent initiative of
the government, which aims to delegate to private operators the
administration and collection of VAT.

Jorida Tabaku, from the DP, says that the initiative is a dangerous experiment, tried for the first time in the world.

Tabaku says that the government should have learned from the failures by letting private companies to collect taxes, such as “Crown Agents”, who had a 4 million EUR cost to raise the customs revenues to 100 million USD and failed.

The Ministry of Finances has decided the reward for the private operator, which starts if the revenues are increased with more than 11%. If it is above this, the private operator will receive 90%. For Tabaku, this formula is a progressive robbery.

The government has promised that the partnership with the private operator will be a very effective instrument in reducing evasion, and will not cost anything to the citizens.

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