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| Business |
| Govt to establish commercial courts |
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by
Tadala Makata Kakwesa, 24 May 2005
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14:34:18
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Government is planning to establish commercial courts for special cases concerning private sector institutions.
The Ministry of Trade and Private Sector Development has included the introduction of the commercial courts in its proposals for the 2005/2006 budget.
But some experts say the move will not have any significant impact as compared to the role a tax ombudsman’s office would rather play.
In a document sourced by Nation Online, government said it has resolved to introduce the commercial courts to which private sector institutions would be appealing.
Director of tax in the Ministry of Finance Patrick Zimpita said in an interview the decision to introduce the commercial courts was made before the private sector proposed for the tax ombudsman.
He indicated that funding for the project will come from the British Department for International Development (DFID).
“It was the idea of donors to introduce these courts and what ever the case, even if the tax ombudsman’s office will not be introduced, the court will still be established because it is the idea of our donors,” said Zimpita.
The British High Commission’s public relations officer Christ Wraight said in an interview that no funds have been set aside for the introduction of the courts.
“Through the Malawi Safety, Security and Access to Justice (Massaj) programme, DFID provides support to the justice sector, including the judiciary. This does not include support for the creation of commercial courts,” said Wraight.
Society of Accountants in Malawi (Socam) executive director Hennox Mazengera said although the idea of forming commercial courts is welcome, government should still look at the issue of tax ombudsman seriously.
“If government wants to use the courts as an alternative to the tax ombudsman, it should ensure that judges will be adequately trained in tax issues and trade practices,” said Mazengera.
In February this year, the private sector proposed that government open up a tax ombudsman’s office which will exclusively be dealing with issues of tax.
They noted that the Malawi Revenue Authority (MRA) plays the role of a prosecutor and investigator of its own cases.
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