ZRA launches Electronic invoice to improve revenue collection
THE newly launched electronic smart invoice by the Zambia Revenue Authority (ZRA), will increase the government's revenue collection, says Finance and National Planning Minister, Situmbeko Musokotwane.
Dr Musokotwane says the country has for some time faced several challenges in collecting revenue and that the launch is a major milestone for the country to maximise on revenue collection.
He was speaking during the launch of the electronic invoice in Lusaka yesterday and observed that the initiative will promote efficiency, accountability and transparency in the revenue collection by ZRA.
He also explained that tax plays a significant role in the government's agenda to grow the economy and that such efforts by ZRA will enable the country to improve its sectors such as health and education among others.
Dr Musokotwane added that the smart invoice was forged through a south to south cooperation between Rwanda and Zambia in an effort to enhance tax compliance and collection.
He observed that with an advanced way to mop up tax, people that are in the habit of avoiding paying tax will no longer be there.
“Taxes are a primary source of revenue for the country as it enables the government to provide essential public services such as health care, education, infrastructure among others. So, the launch of this facility will promote revenue collection,” Dr Musokotwane said.
He also said over the years, Zambia has faced challenges in the administration of value added tax and that oftentimes it has posted negative domestic annual revenue collections, marred with fraud.
ZRA Commissioner General, Dingani Banda said the smart electronic invoice will enhance tax compliance among taxpayers.
Mr Banda said the electronic invoice system is efficient and cost effective in tax administration, adding that the invoice will reduce revenue leakages.
He also disclosed that ZRA will by the end of the year introduce electronic audits of government institutions which will reduce the period it takes to audit manually.