The Albanian government has admitted in a letter to
the IMF that its contract with a British adviser, Crown Agents, has not
yet resulted in the expected rise in customs revenues.
BIRN
Tirana
The €8.5-million contract between the Socialist-led
government of Albania and the British company Crown Agents - signed
last year - has not delivered any boost to customs revenues, the
Albanian government has admitted in a Letter of Intent to the
International Monetary Fund, adding that the contract would continue.
“The big boost to collections expected at the time of signing has not yet been realized. The main problem lies in inconsistent application of valuation rules and procedures, and informality,” the letter signed by Minister of Finance Shkelqim Cani and Minister of Economy Arben Ahmetaj says.
However, the letter adds, “work by the external consultant on customs administration will continue”.
The government signed the two-year contract with Crown Agents to combat contraband activity and raise tax revenue.
Under the agreement, the British company provides advisory and risk analysis services for the Albanian customs office in order to better combat fiscal evasion.
The centre-right opposition Democratic Party has panned the contract with the company, calling it as a pointless extra burden on Albanian taxpayers.
During the first year of its work, the consultants and the customs
administration carried out a major public relations campaign, issuing
scores of press releases on their day-to-day activities, mainly focusing
on targeting small-scale tax evasion and on awareness-raising campaigns
against illegal alcohol and tobacco trading.
One year on, the government accepts that its expectations have not been met.
“The big boost to collections expected at the time of signing has not yet been realized. The main problem lies in inconsistent application of valuation rules and procedures, and informality,” the letter signed by Minister of Finance Shkelqim Cani and Minister of Economy Arben Ahmetaj says.
However, the letter adds, “work by the external consultant on customs administration will continue”.
The government signed the two-year contract with Crown Agents to combat contraband activity and raise tax revenue.
Under the agreement, the British company provides advisory and risk analysis services for the Albanian customs office in order to better combat fiscal evasion.
The centre-right opposition Democratic Party has panned the contract with the company, calling it as a pointless extra burden on Albanian taxpayers.
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Crown Agents Representative David Smith and the head of Customs
Directorate of Albania Elisa Spiropali in a press conference announcing a
new campaign of control for companies of excise duty merchandize on
June 2014. However, these campaigns didn’t bring extra cash, the
government admits. Photo: LSA / FRANC ZHURDA |
One year on, the government accepts that its expectations have not been met.
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