Category: Press Statements

IMPROVING FOREIGN DIRECT INVESTMENT FOR SUSTAINABLE ECONOMIC DEVELOPMENT IN ZAMBIA.

Zambia, like many African countries, seeks to attract Foreign Direct Investments (FDI) to stimulate economic growth, create jobs, and reduce poverty. The past five years have seen an upward trend in FDI inflows, but this trend has been erratic, with significant fluctuations in investment levels. In 2020, the country recorded its highest FDI value at…
Read more

ZAMBIA’S TAX AMNESTY PROGRAM: A SUCCESSFUL INITIATIVE WITH ROOM FOR IMPROVEMENT.

The Zambia Revenue Authority (ZRA) has been implementing a tax amnesty program since 1st October 2022. According to the Ministry of Finance and National Planning, this is to provide relief to individuals, businesses, and other entities following the adverse effects of COVID-19. The program covers all tax types and provides amnesty on penalties and interest…
Read more

BOOSTING TAX COMPLIANCE IN THE GIG ECONOMY: Challenges and Innovative Solutions for Zambia.

A common way to increase tax compliance is through tax enforcement by the authorities, but this method has its limitations. To improve tax compliance, governments must consider additional measures. In Zambia, the emergence of the gig economy presents a unique challenge to taxation due to the short-term nature of its labor supply and the digital…
Read more

UNLOCKING THE POTENTIAL OF ZAMBIA’S MINING INDUSTRY THROUGH THE GREEN ECONOMY.

For a long time, Zambia’s economy has relied heavily on its mining industry. However, there is a growing awareness of the necessity to shift towards a more sustainable and environmentally conscious approach to mining. The adoption of a green economy offers significant opportunities for Zambia’s mining sector, in terms of both sustainability promotion and increased…
Read more

UNDERSTANDING HOW CORPORATE INCOME TAX CAN AFFECT FOREIGN DIRECT INVESTMENT INFLOWS TO ZAMBIA.

It is a universal practice to tax companies that earn a profit for the economic benefits derived in a country. One such important tax that applies in this regard is the Corporate Income Tax (CIT). In Zambia, the CIT rate has been applied at 35 percent until recently in 2022 when it was adjusted downwards…
Read more

LEVERAGING ON THE DIGITAL ECONOMY TO IMPROVE TAX REVENUE PERFORMANCE IN ZAMBIA.

This article seeks to simplify the concept of the digital economy and the role it can play to enhance domestic resource mobilization (DRM) in Zambia. Economic digitalization has been ongoing in Zambia for many years. In the last five years, economic digitalization has grown very fast with components such as online shopping and digital advertising…
Read more

A STRONGER KWACHA IS NEEDED TO HALT THE RISING FUEL PRICES IN ZAMBIA.

It has been over a year since the government abolished subsidies on petroleum products and instituted a monthly fuel price review through the Energy Regulation Board (ERB) to reflect a more accurate cost of the product. Fuel prices have since been fluctuating in the country resulting to monthly anxieties and uncertainties amongst consumers and suppliers…
Read more

MOVING TOWARDS A NARROW VAT GAP: SOLUTIONS FOR IMPROVING THE VAT COLLECTIONS IN ZAMBIA.

Compliance on Value Added Tax (VAT) in Zambia still remains a challenge. The VAT gap (the difference between the VAT liability and the actual collections of VAT) is estimated to be over 30 percent. In other words, the government collects under 70 percent of what it can potentially realize from all VAT receipts. Factors contributing…
Read more

UNDERSTANDING THE OECD INCLUSIVE FRAMEWORK AND ITS INFLUENCE ON DOMESTIC RESOURCE MOBILIZATION (DRM).

The global tax landscape continues to evolve and control how countries raise revenues, redistribute wealth, and also regulate corporate behavior. For the most part, governments raise revenue through taxes. This week’s article, therefore, intends to invoke thoughts on global tax reforms and their influence on revenue collection for a mineral-resource-rich country like Zambia. To begin…
Read more

ZTP’S REFLECTIONS ON ZAMBIA’S 2022 TAX REVENUE PERFORMANCE.

The Zambia Tax Platform (ZTP) notes that the Zambia Revenue Authority (ZRA) did not meet its total revenue collection target for 2022 despite the treasury recording an increase in collected gross revenues amounting to K106.6 from K96.3 billion in the previous year. ZTP also notes that total refunds increased by 31.6 percent amounting to K16.3…
Read more