Mon, 20 Feb 2017 12:34:19 +0000
DOMESTIC resource mobilization is the only sustainable form of financing that will help Zambia attain the Sustainable Development Goals and the Seventh National Development Plan targets and ultimately help in attaining the Vision 2030, Civil Society for Poverty Reduction (CSPR) executive director, Kryticous Nshindano, has said.
Mr.Nshindano commended Government and the Zambia Revenue Authority for their intent to undertake a forensic audit of all the mining firms in Zambia.
He said the decision to do so had been long overdue and should be done with utmost urgency before the firms covered up their tracks.
“It is a well-known fact that aggressive tax planning is very rampant in the country and mining sector specifically and therefore in undertaking this assignment, ZRA should ensure that the team is comprised of men and women of high integrity,’’ he said.
He said Zambia had continuously been accused of policy inconsistencies especially in the mining sector because of the aggressive tax planning and the country being able to benefit from its natural resources.
He said there was need for Government to establish what is prevailing in the mining sector and how best to tax it to benefit both the investors and Zambians.
He said paying taxes and mineral royalties was essential for the mines to have a developmental impact.”Companies that fail to publicly declare their profits, disregard ‘arms-length’ transfer pricing rules, abuse international tax laws to shift profits to low tax jurisdictions, undermine development by robbing the country of much needed revenue for the provision of essential services such as health, education and, most importantly, the eradication of poverty,’’ he said.
