ZRA INTENT ON TAX RELIEF

The stability of the ments Standard Operating exchange and inflation Procedures per Sector that rates is key to the per-

should preserve health and safety formance of the capital

actively study and of workers and customers in markets, says Securities

capture changes the context of Covid-1919 as Exchange Commission

in market demand restrictions are being lifted," (SEC) Chief Executive Of-

and take actions prompt- the report said. ficer, Phillip Chitalu.

ly to reduce negative im- The report recommended Mr Chitalu explained

pact caused by the current the provision of credit guar- that long term invest-

Covid-19. antee schemes to support ments were of concern This is according to a sur- MSMEs access to financial for most investors due to

flow pressure caused by Covid-19.

vey report on the impact of resources by Government the current high inflation

He explained that ZRA had continued to

Covid-19 on Small and Me- and its Cooperating Part- rate as capital was erod- dium THE Zambia Enterprises Revenue (SMEs) Authority in (ZRA) is provide that relief, understanding the current

ners. ed within a short period Zambia. currently granting tax relief to qualified Covid-19 situation.

It said this should to be of time.

taxpayers “The position of Government is very clear, According of up to to the 12 months report, through Tax

supplemented with the sup- Capital markets, he ex-

Time to Pay Agreements (TPAs). our minister made a statement instructing enterprises should urgently port to look of at commercial each case of banks. merit and ensure plained, did not operate

ZRA Commissioner General, Kingsley ZRA adapt to the new market de- According is not to strangled the report, as a result of in a vacuum and there-

Chanda, said his organisation was signing that business mand TPAs with to reduce some taxpayers the negative of between change six and after the pandemic," models should be fully ex- Covid-19. private “Taxpayer lending, that inclusive have approached fi- fore, it got affected by the impact 12 months. by rapidly adjusting the report said. plored, before considering us with nance specific and requests online. of banking some kind of relief macro-economic funda- their Mr Chanda manufacturing explained that plan taxpayers The were report encouraged layoffs and salary cuts," the where among applicable, others, according could to our also laws, we mentals such as inflation and allowed sales to strategy. pay their taxes in instalments enterprises to streamline report said. have provide granted,” timely Mr Chanda financial said. sup- and the exchange rates. through For instance, the signed the TPAs. report businesses and reduce costs It further stressed the Mr port Chanda for SMEs. said his organisation was giving He was speaking re- said, “We some do have companies a couple of had taxpayers rapidly. that are It indicated that en- need for enterprises to have taxpayers "Development who had approached of new ZRA payments cently during the Stanbic voluntarily on TPAs and shifted they have to been man- paying terprises according should take timely a sound risk management to terms. financial “We are not products giving tax in waivers the per say, Bank Zambia-Anakazi ufacturing to what we agreed. Personal “Normally Protec- this ranges measures from to preserve cash prepare to cushion the ad- what medium we are giving and are long-term, maybe payments it terms Banking Online Conver- tive six to Equipment 12 months but (PPEs), certainly ben- not beyond flow when 12 confronted with verse effects of future emer- where is there necessary are penalties to consider and interests in- we are sation episode 8. efitting months unless both themselves our taxpayer and continues sudden to be in crises. waiving and by the way penalties and interest

gencies. novative financial products, "For the last 10 years, society. distress,” he said in an interview. in not revenue.

"For enterprises suffering The report said this was so as to provide more diver- the performance of cap-

“Those are penal provisions in our Act as

"Others Mr Chanda have however been clarified speed- that from signing heavy losses, down measures with a client and because look at their the pandemic cash flow had sified financing channels ital markets has been ing-up TPAs was their a not business a normal trans- form of business such a result of wrong doing on the part of the as telecommunica- and decide that they highlighted pay their due the taxes importance in for MSMEs, as well as help- superior. But we have

importer, so they are not even profiled in our formations for ZRA. He stressed to adapt that to these con- were tion, given employee instalments,” time-sharing Mr Chanda of risk said. management. ing them finance in more noticed that in the last

in special cases due to various reasons targets, so those according to the law, the sumer preferences and com- and stimulating Mr employees’ Chanda also said "Furthermore, ZRA was grating there is the effective ways and at lower nine months, the perfor-

especially when taxpayers face cash flow Commissioner General has authority to waive petition patterns that may creativity for tax new relief business through the need measures to apply which the were Govern- costs," the report indicated.

challenges. depending on the mitigation that taxpayers

announced by the Finance Minister, Bwalya “So in those peculiar cases, we do sit provided,” he said.

Ng’andu, where applicable to cushion cash