The 2021 audit report has revealed that the Ministry of Water Resources has Withholding Taxes not Paid to the National Revenue Authority Contrary to the provision of Section 117 (4) (5) of the Income Tax Act of 2000, The reports however stated that the auditors observed that withholding taxes amounting to Le40,401,365 were not deducted from payments made to suppliers, and paid to the NRA.
The Auditors have recommended that the Principal Accountant should ensure that the amount identified is immediately recovered from the contractors and paid to the NRA, and evidence of payment forwarded to the ASSL for verification.
In the audited report the Management notes the findings and recommendations, and wishes to inform that evidence of NRA payment through the BSL is available for your verification.
The Auditors said that the Evidence of payments of withholding taxes to the NRA was not submitted for verification. Therefore, the issue remains unresolved.
