Broaden tax base, Govt advised

Wed, 22 Feb 2017 12:09:37 +0000

 BY MAILESI BANDA

THERE is need to broaden the tax base in the country so that we can benefit from the money through social and economic developments, Zambia Tax Platform (ZTP) chairman Lewis Mwape has advised.

Mr. Mwape said enhancing the tax base would lead to improved service delivery and create a conducive environment for business.

Speaking in an interview with the Daily Nation, Mr Mwape said the civil society needed to work with the Government to ensure that they helped attain financial stability in the country.

He said borrowing from other countries would only reduce when both public and private sector businesses were faithful in remitting their taxes.

He said there was much that needed to be done in order to ensure that the country’s tax base was broadened.

“There is need for business owners and those responsible for remitting tax to do so to enable government improve the business community. We are so much concerned when the Ministry of Finance is trying to back track on some of the programs that were documented in our budget speech just because there is no money,” he said.

He said there was need for the government to maintain its position so that they could avoid a situation of borrowing to meet budgetary requirements.

Mr Mwape said the country was able to raise revenue to support the budget from local businesses.

He said there was urgent need to improve the domestic revenue base and mobilisation of the funds.

He also observed that most people found it difficult to remit taxes because it meant a reduction in their income.

“It’s not easy to pay tax because that is a reduction on an income of either a business or a person and it’s not a pleasant thing to do but we have a duty as business persons and individuals to demand for service delivery and transparency in the governance system when we pay tax,” he said.