PNG Government Payroll System Deducts Thousands of Public Servants' Pay: Corruption Alleged

 The Papua New Guinea government's payroll system has deducted the pay of thousands of public servants, sparking accusations of corruption within the system. The deduction issue prompted protests among public servants, notably disciplinary forces in Port Moresby, including the police, correctional services, and defense personnel, who marched towards Parliament demanding explanations for significant pay reductions in January 2024.

Commission General Sam Koim of the Internal Revenue Commission swiftly responded to these concerns, dispelling allegations of intentional tax increases by the government. Koim clarified that the pay deductions were due to a technical glitch in the Alesco payroll configurations rather than a deliberate tax hike. Assurances were made that corrective actions are underway.

Koim announced that collaborative efforts involving the Department of Finance, Department of Personal Management, and IRC are in motion to issue a joint statement aimed at rectifying the situation.

Despite Koim's acknowledged success in significantly boosting tax revenue and setting an ambitious 50% increase target, doubts linger about the government's effective utilization of these funds. Historical challenges related to corruption and mismanagement within the government raise concerns about the proper allocation of tax revenues.

The ongoing struggle with inadequate service delivery in the country, highlighted by the recent actions of disciplinary forces in Port Moresby, underscores the complexity of tax-related decisions. Such issues often lead to mixed reactions within society, emphasizing the urgent need for transparent governance and prudent fiscal management.

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