By Nation Reporter
ZAMBIA Revenue Authority (ZRA) will soon embark on inspections of companies that are in the habit of evading tax, Commissioner General Kingsley Chanda has said.
In an interview with the Daily Nation, Mr Chanda said from October to December this year, the authority has strategised to conduct enforcement activities and audits to ensure that companies that were not in the tax net at the moment were brought to the net in a bid to recover contributions.
Mr Chanda said the authority was aware of those companies that were avoiding paying tax and others that were willfully evading taxi to Government and it was also looking at expanding the tax base because it was very difficult to taxi the informal sector.
“We are looking at initiatives to partner with the local authorities and other tax agencies to ensure that even small businesses that are operating informally started contributing to the tax base,’’ he said .
Mr Chanda said lack of effort to increase the tax base had left the tax burden on a few compliant citizens.
He said the authority would not hesitate to take legal action against anybody found evading tax.
And Mr Chanda said the Value Added Tax (VAT) No 18 was amended in February last year, hence ZRA would wait for the proposal from the Zambia Chamber of Commerce and Industry (ZACCI) over their concern that exporters were still facing some challenges in accessing either copies of import documents for goods bearing a certificate of transit provided by the customs authority of any particular country of transit as proof of export.
He said their objective was to simplify and facilitate trade and hoped that ZACCI’s proposal would not compromise their work.