ActionAid Calls For Change of Strategy in Taxing Mines

ActionAid Calls For Change of Strategy in Taxing Mines

ActionAid Zambia has observed the need to review the modalities in terms of revenue collection for the mining companies in the country.

The organization has also commended the Zambia Revenue Authority (ZRA) for exposing the tax evasion scam worth K76.5 billion in the extractive sector.

ActionAid Zambia Country Director Nalucha Ziba has told QTV Business News that the current strategy of taxing mining firms based on their profits is not working for the country.

Ms Ziba says this is because no mining company has disclosed that it has made profit for ZRA to tax them.

She says using that system, the mining firms hides and deflects some of the operation costs to avoid paying the fair share of taxes.

Ms Ziba says there is need to relook into the rate at which taxes are collected not based on its profits.