KEEP IT UP ZRA

THE Zambia Revenue Authority (ZRA) deserves commendation for coming out in full force to prevent the government from further losing colossal sums of money through tax evasion. In the past few months and weeks the taxman came out guns blazing and successfully smashed big rackets which could have resulted in the government losing colossal sums of money through tax evasion. While it is mandatory that any enterprise doing business in Zambia remits tax to ZRA, some companies, local and foreign violate this law with impunity. It is grossly unfair to force a few corporates and individuals to carry this burden while others evade tax, which consequently deprives the country of the much-need resources meant to be ploughed back in the economy for development. But we salute ZRA’s alert officials who of late have successfully clamped down on crooks involved in tax evasion schemes that have resulted serious illicit financial outflows detrimental to the economy. From the billions that the country has lost through the tax evasion scams exposed by ZRA, it is obvious that this is just a tip of the iceberg. It’s now evident that these illicit schemes have been going on for a long time as perpetrators had taken advantage of the yawning loopholes to siphone cash from the country through illegal activities. But this is no longer the case as ZRA has now been transformed to effectively monitor, detect and expose all tax evaders, regardless of the tricks they may try to use in the oil, mining, freight, manufacturing or indeed any other sectors of the ecomony. It is our hope that the revenue collector has finally sealed all the loopholes to enable it effectively collect the revenue Government needs to provide good social and economic services to its citizens. But where are the other law enforcement agencies in the battle against tax offenders if we may ask? Where is the Anti-Corruption Commission (ACC), Drug Enforcement Commission (DEC) and other security wings in this war? Further, just how have these companies, some of them big and respected, been able to dodge taxation for this long or is it that they have been working with some rotten eggs in the system? This and other questions beg for answers. Cracking down on tax offenders should not be left to the ZRA alone but should be the responsibility of all security wings given that illicit financial outflows take place in all the strategic sectors of the economy. It is therefore our humble submission that the other security wings should work hand in hand with the authority to halt illicit financial outflows and subsequent loss of huge sums of money. Tax evasion is a very serious crime everywhere in the world but it would appear Zambia is tolerant with people and companies who commit these crimes. Perhaps tax offenders do not find the current fines punitive enough so dodge tax at will. But as alluded earlier, evading tax is a serious offence and appropriate penalties should be meted out against culprits to serve as a deterrent to would-be offenders. We also urge ZRA to engage and educate those who dodge taxation on the importance of contributing to national development before the axe falls on them.