By: Aminata Sesay
Minister of Finance, Sheku Ahmed Fantamadi Bangura, spearheaded a surprise nationwide enforcement exercise targeting manufacturers and importers of excisable goods.
Accompanied by a high-level delegation including his deputies, board members, the Chair of the National Revenue Authority (NRA), and senior officials from both the Ministry of Finance and the NRA the Minister carried out unannounced inspections at multiple beverage production facilities. The primary goal was to assess compliance with the Digital Excise Tax Stamp system, mandated under Section 37 of the Finance Act 2019.
This exercise comes amid increasing concerns over the underperformance of domestic revenue collection. As outlined in the FY 2025 Supplementary Budget, the government is facing a projected shortfall of nearly NLe1 billion, prompting an intensified focus on enforcing existing tax laws and improving data reconciliation between digital tax platforms and taxpayer records.
“This exercise is not just about ticking boxes; it’s about addressing the real issues that undermine domestic revenue mobilization and holding all players accountable,” said Minister Bangura during one of the site visits.
Implemented in 2024, the Digital Excise Stamp system, using SICPA and N-SOFT technologies, was designed to combat counterfeit goods, enhance fairness in excise taxation, and curb illicit trade by ensuring proper stamping on all qualifying products, including tobacco, spirits, beer, and other beverages.
However, inspections at GVR Bottlers, Kings Beverages, Sierra Fruits, Victory Enterprises, and Shankadas Group revealed significant compliance gaps. While some manufacturers had fully operational SICPA systems or were manually applying excise stamps, others were found to be non-compliant or attempting to circumvent the stamping requirements.
Officials noted discrepancies in data reporting, weak enforcement procedures, and, in some cases, apparent tax evasion by certain manufacturers. These findings have prompted immediate enforcement actions.
As a result of the inspection, the Minister and his team recommended the temporary closure of Shankadas Group (Ferry Junction) and Victory Enterprises (Wellington) for non-compliance with excise stamp regulations.
The monitoring team emphasized that this is just the beginning of a broader enforcement strategy aimed at reinforcing tax discipline, safeguarding consumer safety, and restoring confidence in the country’s tax systems.
More inspection exercises are planned in the coming weeks as part of the Ministry’s ongoing commitment to enhancing domestic revenue mobilization and ensuring the equitable application of tax laws across all sectors.
