The disclosure was made during a media briefing in Juba on May 23 by Acting Commissioner for the Domestic Tax Revenue Division, Ajang Ajang Lino, who described the low compliance rate as a major setback to efforts aimed at boosting domestic revenue collection and reducing reliance on external support.
According to Ajang, the country’s tax administration continues to face major compliance challenges, including under-declaration of income, non-filing of monthly tax returns, late payments, and poor financial record keeping among taxpayers.
“As of today, out of 83,000 registered taxpayers, 21,000 are organizations—businesses, companies, and faith-based institutions—while the remaining 62,000 are individual taxpayers. However, only 1,897 taxpayers have complied by filing their returns within the 15-day statutory deadline,” he said.
He warned that the overwhelming failure to file tax declarations is undermining government efforts to finance national development and deliver public services.
Ajang further noted that many businesses are failing to maintain proper financial records despite legal requirements mandating that records be preserved for at least six years. He said the lack of documentation has complicated tax audits and weakened enforcement efforts by the authority.
The commissioner added that non-compliance creates an uneven business environment by disadvantaging companies and individuals that meet their tax obligations.
Despite the challenges, Ajang said the Revenue Authority is intensifying enforcement measures while also encouraging voluntary compliance through taxpayer education and improved service delivery.
He highlighted digitization as one of the authority’s key reforms, saying the introduction of digital revenue collection systems in 2021 has significantly improved efficiency and transparency in tax administration.
“Before digitization, we were collecting below 5 billion. As of April 2026, collections have reached 157 billion,” he stated.
Ajang also cautioned against unauthorized tax exemptions and interference in revenue collection processes, stressing that all exemptions must now be legally justified and traceable through digital systems.
“The interference in tax collection will not be tolerated. Taxpayers are urged to meet their obligations by paying through official banking channels,” he added.
He called for closer cooperation between the Revenue Authority, the private sector, financial institutions, and the media to strengthen public awareness and improve tax compliance across the country.
While reaffirming plans to take action against tax defaulters, Ajang said the long-term objective remains the establishment of a transparent, fair, and efficient tax system capable of supporting South Sudan’s economic independence.
“Digital transformation is not optional; it is necessary for building a modern tax administration,” he concluded.
