Kokpar B. Wohwoh writes!
As a concerned Liberian, I’m watching Liberia’s introduction of VAT with caution. Our economic system is fragile, and corruption is a challenge. I’m worried about our ability to effectively administer VAT and ensure transparent revenue management.
The VAT aims to broaden the tax base and improve compliance efficiency, but it also raises concerns about increased cost of living and inflation.
The government is taking steps for a smooth transition, including awareness campaigns and stakeholder consultations. I hope the government prioritizes robust systems to manage VAT revenue and protect vulnerable populations.
Other countries have faced similar challenges, and their experiences highlight the importance of careful implementation and stakeholder engagement. Kenya, Japan, and Denmark are examples of countries that have navigated VAT implementation in different ways.
Considering Liberia’s context, I’d pose these questions: How can VAT maximize overall well-being and minimize harm from a utilitarian perspective? Does the VAT align with Liberia’s social contract and citizens’ expectations from a contractarian perspective? How can VAT support Liberians’ basic needs and enhance their capabilities from a capabilities approach?
The government’s approach will be crucial in addressing these concerns and making VAT a success. I’m looking for effective solutions.
What can Liberia learn from other countries’ experiences? How can we ensure VAT supports our development goals?