Why do we pay taxes?



I recently have been introduced to the world of tax. I have always wondered how the laws and decisions made by those Oga at the top affect us all. I thought I had an idea, but did I?



As I was asking myself endless questions, I decided to pen them down, so that they don’t get clogged in my head. Also, I am no expert. The questions/arguments/thoughts that I put here are not different from the ones that Mama Mary at the next street would have. I have one advantage though. In my circle of work, there are people who understand money and tax issues. So, I will be asking them as I write, equally, I will share the responses with you.

For 15 years now, every month without fail, 30% of my pay has been deducted and put in the tax/ government coffers. Except for a few months at the beginning of my career in radio, the finance officer/ aka the  in-charge of everything would remove 30 %, this time though, it went in his pocket.


So, first things first. Why is it that we do not hear enough stories about taxes? About the purpose of it, why 30% and what is VAT? Why do I need to pay extra? About agreements that countries sign with each other that will either bring in tax money or take it away? Why is it that we are not told about those decisions and how we should also follow up? A qui profite le silence?

I do not cook on Thursdays. Mama Mary sells me good fish and mboga every Thursday evening. While she was preparing my order, I took advantage of our small talk to ask a few questions. I asked her if she pays taxes. She said she does so. Religiously! I then asked her what she thinks that money is used for. She looked at me as though to say, should I know what that money is for? Isn’t that the job of those men and women in tall buildings?
How many of you will admit you have no idea what your money is used for? do we all agree, that you, Mama Mary and I should be aware of the whereabouts of that cash?

Also, don’t you all think there should be a way for Mama Mary to follow up, get information and to express her frustration if not happy with the work that has been done? and, someone to be answerable? this is only fair.



Why do we pay taxes?

To finance development.
That’s right. The money that the government collects is meant to allow it to offer the services that we all need (I insist on ALL), to socially provide for the less fortunate, to support and finance common resources. Water, electricity, different infrastructure, security, etc. Sadly, in many cases,  our governments collect taxes to pay debts that were never used to finance our collective well being. The plan was to borrow to build a road, so that you can easily commute from home to work and bring in more tax, which in return will finance more development, which results in better quality of life. What do you think happens when the officer in charge decides that he/she’d rather build his/her own house and invest the rest for his/her family vacation, than giving you the road you paid for? Your transport will be expensive and in most cases unavailable, the cost of services like access to health care will look unreal. Basic goods you need to survive will be charged as though they were bought from a five star hotel. How would this end? And who wants to end like that anyway?




Can we now get justice for Mama Mary? Why is it that the government would expect so much from her small restaurant that sells traditional food, but work out an arrangement with multimillion corporate companies_one that produces and sells drinks, (call it Akola) and another one that sells us shoes (call it Nickila)_to give them 10 years without paying a cent? Or better yet, allow the corporations to work from your country, use your infrastructure, locally sell and export their good, but declare their taxes somewhere else? Who came up with this system?

I have heard so many Africans praising their Gov for either constructing a road or a hospital or making education and health care  free. Well, congratulating Gov officials for work well done is commendable, but we should not forget to remind them that they are doing what they are supposed to do. All the work that is done today is not a product of some magic, it is the use of our money. In fact, we should be in position to ask for better infrastructure, better schools, better Education systems, better health facilities, stronger security systems, as long as we pay taxes.



Under no circumstances should we tolerate misuse of our money. Corruption, tax avoidance, money embezzlement etc. On this list , I will just add bad services from government officials and favoritism! Honestly, my money pays you, I should get better.




What should we do?

1.      Paying taxes is your duty. Knowing how it is used is your right
2.     You have the authority to challenge the policy makers and the executive about the use of the money
3. The Government owes you better, it is not charity or favor. This includes transparency and accountability
4.      Media should talk about this more, as in... seriously!
5.      We can make this list long. Add yours.

Your tax is an investment. Be serious with it. Stay woke.😉😉 .



Comments

  1. Wooow! You're a really strong woman with a strong mindset! And this is really good that I wanted to cry tears of joy! About the statement, you really raised some really good questions like people being aware of how our taxes are raised and I would say it's the consequence of having so many illiterate people. They had this question for so long but it was hard for them to raise those problems to the society. Here when we support statements like this, government officials are forced to respond. Some of those questions I already know their answers because I was fortunate to learn entrepreneurship in high school. Which brings me to the point that we should have time to share our knowledge tips with our neighbours after #umuganda so that they don't get confusionsome like these. About tax avoidance it is legal and smart and profitable to young entrepreneurs, I think you meant tax invasion. They are different.

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