ACTIONAID COMMEND ZRA FOR RECOVERING K3.5M
May 9th 2023
ZRA K3.5m RECOVERY COMMENDABLE
ActionAid Zambia commends the Zambia Revenue Authority (ZRA) for the recovery of K3.5 million from the seven cases that have been exposed in the Financial Intelligence Centre (FIC) report so far.
The resources recovered are critical to the economic development of Zambia. We further commend ZRA for emphasizing the need for prudence and fiscal discipline in the management of public resources.
ActionAid is particularly impressed that key economic institutions such as ZRA are now scrutinizing the annual FIC report unlike previous when negligible actions were taken to address the findings and recommendations. We saw the country losing a lot of financial resources and authorities didn’t do much to make recoveries.
These lost resources can go a long way in improving service delivery in public facilities such as schools and hospital and improve the livelihood of people.
In 2021, FIC Trends Report recommended for competent authorities to enhance collaboration in the value chain of investigating and prosecuting money laundering, terrorist financing and other economic and financial crimes.
Therefore, the recovery from ZRA shows the power of collaboration between the relevant authorities to minimize financial crimes and maximize the country’s domestic resource mobilization to meet our ambitious revenue targets. We recognize this as an important strategy to curb tax evasion and avoidance and enhance progressive taxation.
ActionAid Zambia therefore urges other key law enforcement agencies such as the Zambia Police, the Drug Enforcement Commission (DEC), and the Anti-Corruption Commission (ACC) to emulate the actions of ZRA. They should adopt and act on the findings and recommendations of the FIC.
Despite this notable success, the K2.5 million is only a fraction of the reported K34.4 million issued in assessments which is indicative of greater potential to recover more resources.
There is thus a need for greater collaboration, information sharing, and utilization of accountability tools such as beneficial ownership data to enhance systems across the various stakeholders.
ActionAid will continue monitoring developments from key stakeholders such as ZRA to ensure taxes are collected in a fair and equitable manner and resources channeled to national development and poverty reduction.
“ActionAid Zambia is part of ActionAid International which is a global movement of people working together to further human rights and defeat poverty for all. It works in Africa, Asia, Europe and the Americas to eliminate poverty and the inequalities and injustices that cause it”.
Andrew Itai Chikowore (PhD)
Interim COUNTRY DIRECTOR