Botswana Revenue Service (BURS) Chief, Jeannette Makgolo has refuted recent claims made by the Minister of Defence and Security, Kagiso Mmusi, regarding the payment of pensions to retired soldiers.
Speaking in an interview with this publication, Makgolo stated that to her "knowledge, none of the retired soldiers have received their pension payments", contradicting the minister's assertions. Minister Mmusi has publicly said that the first batch of pension payments to retired members of the Botswana Defence Force (BDF) has been made. However, Makgolo dismissed this claim, stating, "As far as I know, no payments have been made to the retired soldiers. We are still in the process of addressing the outstanding issues related to these payments."
Makgolo was asked the question of whether they will be taxing the funds, which the cabinet, has ruled should be exempt from tax. Mmusi confirmed to this publication that no changes have been made regarding exemption from tax. "Yes it is true that the funds will be exempted from tax," he said. Adding to the complexity of the situation, BURS is reportedly hesitant to exempt the funds from tax demanding assistance in developing a model to exempt the retired soldiers from certain tax obligations. This exemption model was seen as a critical step in facilitating the smooth and timely disbursement of the pension funds by the executive.
An official at BURS who preferred anonymity the issue is further complicated by the fact that some retirees were already owing huge amount of tax, "over the model issues, we have been receiving a lot of retired soldiers looking for tax clearance certificates and we were not coping. The issues are just complex. We are under pressure to deliver, as the issue is reportedly being used for political gain. It is claimed that the President has assured retired soldiers that payments will be made before the end of July," said a source at BURS.
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Speaking to this publication, BDF Retired Military Association Secretary General retired Brigadier Mabe Gaborone said it is not true that they have received their money. "We only hear of that money in the media. Our members have not received anything."
The government is reportedly under pressure to fulfill its promise that the first batch of pension payments would be made by July which just passed. The delay has sparked concerns among the retired soldiers, many of whom are still waiting for their promised funds. The situation has caused significant frustration, with some suggesting that political motives may be at play in the delay. Brigadier Thulaganyo Masisi, Masisi's older brother was recently quoted as saying there are public officers who are out to frustrate government's noble efforts towards the retired soldiers by frustrating the whole process.
It is understood that technocrats have reportedly cautioned that the financial issues surrounding the pension payments are highly complex and require thorough analysis and careful planning. Sources say they have warned that rushing the process could lead to significant errors or oversights, potentially exacerbating the situation. These experts argue that ensuring accuracy and compliance with legal and regulatory frameworks is essential, and that such matters cannot be resolved hastily without risking long-term financial stability and fairness for the retirees and the government.
