Somaliland

Somaliland:Business owners must pay taxes says Finance Minister

January 16, 2011   ·   13 Comments

Hashi

HARGEISA (SomalilandPress)—Finance Minister Engineer Mohamed Hashi Elmi today spoke about how his department is planning to summit the 2011 budget to the house of parliament in the upcoming weeks.  Minister Elmi who is currently on vacation was able to speak with the press for short moment, “I am on vacation however I have decided to take this moment to speak about this issue”.  Mr. Elmi went on to say “we plan on summiting in the 2011 budget to the parliament very soon as we promised”.  The final draft is currently being finalized before it can be submitted to the parliament for review.

Minister Elmi was quick to note that the 300% salary increase that his party Kulmiye promised to the people will not be able to accomplish due to the deficit that the new government has inherited from the previous government.  Mr. Elmi said “due to deficit we were not able to give the 300% as promised however we have managed to give 100% salary increase for all civil servants and the arm forces. We know that w will continue till we reach that 300% goal in the near future”.

Before the minster was able to conclude his press conference he informed all business owners to pay their current fiscal tax bills and that if they do not pay these bills on time that their business licenses will be suspended.  This is the first time that any government has taken a bold action against the countries business owners whom for years have evaded their tax responsibilities.  Minster Elmi notified the business owners “taxes are the engine to run an effective government and it is the duty of every business owner to pay these taxes”.  Business owners are also now required to summit all their staff’s information in order for these employees to pay taxes on their salaries.  The minister is quote saying “it is not fair for a civil servant making $45 a month to pay taxes on their salary when a private employee who makes $300 a month does not pay taxes at all”.  These new policies that the Minister of Finance plans to implement in the country are all new to the majority of the citizens and the effect that it will have on the society is still undetermined.

Source:SomalilandPress

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Readers Comments (13)

  1. boqoljireh says:

    It is true that the tax is the engine to run the government and its equally true that our business people [specially the heavy weights] have evaded for a very long time. The government should be forceful to implement the law and the tax has to be collected regularly.
    The benefits of the tax collected from the employee should known to them that they will rib the benefit when they get retired, and the minister has to make sure that the Retirement Box should be created along with this new tax collecting scheme. A dollar[$.1] from those who take $90 a month will make the change if we collect properly.
    We [The Somaliland people] are with you Mr. Minister. Keep doing the good job Sir.

  2. Muj Yusuf says:

    Good to seek a progress taxation system in Somaliland – our country! The minister of finance should have been a good example, before he talks about the law by presenting the preliminary budget to the parliament by the 31st December 2010. This did not happen and all we now see is spinning.

    We now know that he said he would double the teachers’ salaries and we all now know that teachers would lost minimum 400,000 Shilling per month, when his an authorised spin words are taken into account. Hence, the recent fist fighting within the ministry of Education! I think it would have been nice if he could refine from spinning and focus on delivering a budget that the parliament of Somaliland could debate about and then approve, before it is too late.

  3. Omar says:

    So true even though i never been in SL and live in Eu. The tax is very important and this should be the bulk of the budget insteed of aid or recorces( i know we have no major resorces that is being used nor aid) A diversified economy is a good economy. I hope that in 10 years that Somaliland has become a better country and have no starving ppl and good basic education and health care system for everyone. And hopefully the budget will be more then 300 milion dollar insteed of 60 and have no huge baby boom witch will strain the economy but whom am i to say. Let us all dream and see how SL is when the mandate has expired and a new election if they have turned SL to a diffrent country

    Sorry for my english i had english as my second language in school

    • mohamed says:

      I believe the finance Minister is a God fearing good person who's true to his word. I also know
      that the Kulmiye Govt. who were in power for only 6 months and took over bankcrupt treasury
      from the previous Udub Regime with no properly well defined laws for the different Govt.
      institutions the Finance Minister is really having a tough time to start everything from the scratch
      and in such a short period one can only say he's really doing a wonderful job. Let's see how
      things evolve in the due course ahead.
      Cheers.

  4. mohamed says:

    Naafadii ku waxyeeloobay halgankii xoraynta dalka iyaana waa-iin xisaabta lagu daarraa. A special committee must be set up by Govt. to study ways to help the plight of the disabled SNM veterans throughout the the 6 JSLAND Regions. Taking care of the heroes of freedom must be the top priority policy for the new Kulmiye Party Govt towards their livelihood and their healthcare etc. even if in the case of healthcare demands the necessity of abroad treatments.
    Cheers.

  5. Taha A. F. Alsomaly says:

    My name is Mr Taha A. F. Alsomaly from Saudi Arabia. Therefore, I fully support the declaration of finance minister. Businessmen in Somaliland are the backbone, if the tax is not paid, the government existence will not survive anymore. Please respond quickly and pay tax honestly in order to meet commitments without delay. In this way only, Somaliland can stand up to help all future plans successfully and explicitly.

  6. patriotic says:

    Dahabshiil,Somtel and Telesom, Telecom, and all Xawala should be pay taxes too.

  7. hamdi says:

    Thank you mr finance minister Engineer Mohamed Hashi Elmi. keep continuing your good work, only you and Dr Gaboose are the shinning stars in the cabinet. the other have to work harder and achieve more in their posts. i hope also you fully recover from the the recent ailments.
    i have noticed this year will be a year of develpoment for somaliland and puntland. well done guys.

  8. patriotic says:

    Somaliland Minister of Finance know that, for Somaliland economy to grow and to attract business and jobs, and ultimately eliminate poverty, It must build capacity, strengthen infrastructure, combat corruption and develop transparent financial systems. They also need to work on a global level if they are to retain their already scarce resources by combatting illicit financial flows and reduce the impact of tax havens. Tax revenue is central to achieving all these objectives. It is about providing a stable and predictable fiscal environment to promote growth and, in the longer term, reducing dependence on development aid. BRAVO Mr. ELMI you are the shinning STAR may Allah protect!

  9. patriotic says:

    Taxation is also about “good governance”, because tax systems work as vehicles for enhancing state-society relations and improving public accountability. However, Somaliland is faced with challenges
    1) Widespread curruption, impunity
    2) Large corporation who have lots influence in the political Scene (Xawalas and telecommunication companies), do they pay tax, the answer is NO,
    3) Curruption at the public sector – Berbera port, Hargeisa Airport, Hargeisa Water Utility etc

    Curruption has been became a Cancer, Mr. Silanyo and Mr. Elmi are doing their best but they need our support and the grassroot support.

  10. patriotic says:

    Honarable Minister Elmi, has done alot for this country and he has a track record for being Mr. CLEAN. He is an example to many somalilander, and I would like to thank the president for appoint him and Hon. Gabose.

  11. Ayaan says:

    I believe everyone should pay taxes! Thank you Minister Elmi!! ( horumar SL)

  12. A. N. Abdikarim says:

    I my self do believe that, I must pay the obligated amount of tax from my salary, and every one shoul do the same, other wise how could the government earn revenue and pay its costs. we


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