ZRA gets ultimatum

OPPOSITION political parties have given the Zambia Revenue Authority (ZRA) 48 hours to give a comprehensive report on measures taken against Zambia Sugar following revelations that its holding company, Illovo, avoided paying $3 million tax, through dubious means.

But ZRA Corporate and Communications Manager, Topsy Sikalinda said that taxation was confidential and that the authorities did not comment on named organisations.

Paradise Papers, last year revealed that Illovo Sugar’s refinancing of US$70 million from Standard Bank reportedly enabled the company to evade Zambian tax laws by paying only 0.5 percent instead of the 35 percent corporate tax rate.

It is estimated that Illovo deprived Zambia of US$3 million in taxes, prompting several stakeholders to call on ZRA to seriously follow up the matter.

Former UPND vice president for politics, Canisius Banda had implored the ZRA to take punitive sanctions against Zambia Sugar following the revelations.

Dr Banda yesterday insisted that it was not right for the country to be complaining that there was no money for projects when colossal sums were laying in financial crimes.

And some opposition leaders have expressed concern that no tangible follow ups had been reported by ZRA since the expose’, with threats to protest if nothing was done soon.

Both Zambia Republic Party (ZRP) leader, Wright Musoma and 3rd Liberation Movement’s Enock Tonga charged in sepa- rate interviews that the matter should not die a natural death.

The opposition leaders gave ZRA a 48-hour ultimatum to release a comprehensive report on measures taken to recoup the money.

“If ZRA does not want us to protest, let them tell the nation what is being done to recoup our money. We will not let this die a natural death. Actually we are giving them 48 hours to give us a comprehensive report,” Mr Musoma.