Somali Leader Cautions Merchants Against Dodging Taxes by Altering Seller Identifications

Mogadishu (AX) — Somali President Hassan Sheikh Mohamud has issued a stern warning to enterprising traders trying to dodge the newly imposed sales tax by fiddling with their merchant numbers.

During his speech in Mogadishu on Thursday, President Mohamud put his foot down, stressing the gravity of such antics. “Dodging taxes is tantamount to fraud,” President Mohamud declared emphatically.

“Skirting taxes equates to theft and crime, and there will be consequences. It’s unacceptable to alter merchant numbers to sidestep taxes. You are facilitators, and those taxes are vital for funding crucial public services and security,” he elaborated.

He also took a moment to laud Somali entrepreneurs for their invaluable role in nation-building, but he didn’t shy away from urging them to shoulder their tax responsibilities, which are essential for government operations.

“Government thrives on regulations and law enforcement, both dependent on tax revenue. Kudos to the banking and telecom sectors, yet I urge all business folks to adhere to the tax system and respect the established laws,” he continued.

This admonition from President Mohamud comes on the heels of reports that some traders have been tweaking their merchant numbers since the government rolled out the 5% sales tax on August 18, 2024. This tax now gets automatically sliced off business accounts at the point of sale.

Edited by: Ali Musa

Axadle international–Monitoring