THE Zambia Revenue Authority (ZRA) says that Withholding Tax (WHT) on rental income is not a new tax and that it was introduced in the 1970s.
In a statement ZRA commissioner general Berlin Msiska said that Withholding Tax is also applicable on interest, commissions, dividends, management and consultancy fees, among others.
“The latest communication on Withholding Tax (WHT) on rental income which has been communicated since 28 April 2015 seems to have been misunderstood by some members of the public to suggest that the Government of the Republic of Zambia has introduced a new tax, which is not the case,” Msiska said.
Mr Msiska added that effective 1 January 2014, the rate of Withholding Tax on rental income was reduced from 15% to 10% and made a final tax.
ZRA has also introduced adopted the Short Message System (SMS) to enhance communication with its clients.
“ZRA has enhanced its compliance communication strategy by adopting Short Message Service (SMS) to communicate to the public in addition to the traditional methods such as radio, television and leaflets,” he said.
“The public is hereby informed that as part of our efforts to directly reach out, provide educational information to our stakeholders and broaden the tax base, we have enhanced the channels of communication to include SMS and other electronic platforms.”
Recently, Government appealed to all tenants to withhold 10 per cent of the money they pay to their landlords and pay withholding tax (WHT) to the Zambia Revenue Authority (ZRA).
Information and Broadcasting Services Minister Chishimba Kambwili made the call during a live interview on Radio Luapula in Nchelenge District.
The Minister added that failure to pay the tax is breaking the law and if there are concerns on the amount of the percentage, Government is ready to dialogue on the percentage of the tax but paying withholding tax is law and every citizen should comply.
just renovate your chi building….emulate society house….
Vote PF for lower taxes and more money in your pockets! hahahahahahahahahaha!!!! Funny!
just give us plots even if they are not serviced. once we build, you can tax us at any % that you feel like. dont get money for doing nothing. what is so difficult about demacating land for residential plots? i have always given an example of solwezi where there are no legal housing settlements. the place is full of bush and undeveloped. it’s the same people working in mines who will develope this area not govt. please look into that.
Not required. what benefit will it give Zambians?? All residence areas are not serviced except Plot 1, yet trying hard to get the little that Zambians have..
ZRA and it’s government are lazy, they want to make Zambians poorer and poorer.. THINK, INNOVATE & FIND OTHERS WAYS TO RAISE REVENUE. Why should it be through Taxes all the Time??
DO toll gates if you want??
Is this more money or less in the Pockets. Rubbish Campaign Promises..
Next to be introduced by PF to raise money to fill the gap created by Chikwanda and his team of shameless thieves is the clubbing tax along with increased beer levy.
Another form of tax for people who own cars in being discussed. They will call it car owners’s tax to levied on top of what you already pay as motor tax.
All this money being raised is for paying the useless bloated PF officials.
Finally PF wants to raid your personal bank accounts and get 25% of your money without your consent promising to pay it back at a time convenient to them.
PF has stolen the whole $1.75 billion and now wants grap the little that poor citizens are relying on.
PF is doing all this to convince the donors that its still credit worthy but the donors are not buying it and they are not…
10 percent on Rentals is rather too high why not just 2percent. Govt should look at turn over. there are enough houses to raise income.
Iwe Berlin Msiska, how much tax do you collect from KCM and how much are you supposed to collect?
When it was introduced is completely irrelevant. What should be of concern is whether it is relevant now. 1970, meaning this thing is completely out dated. Scrap it
I thought the campaign promise was also “lower taxes?” If it was introduced in 1970, why are you stepping up efforts now to enforce it?
This law is completely out dated. A lot of things have happened since them, is it only PF that is bent on enacting old outdated laws in Zambia instead of bringing on board laws that are very meaningful to the current state of affairs. PF never stops amazing me especially when its coffers areas dry as they are now, they will always think of very bisare things to make their ends meet. If KK never put the law into action for he seem to be the only reasonable leader we have had apart from Levy Mwanawasa , who is PF to put this old law into action? Uner PF we are already suffering as citizens and they are now adding salt to our bleeding souls, what a party of illiterates that is only supported by the illiterate cadres who continue to fight over land which never comes their way.
The mine tax law was repealed for the interest of mining houses. The same can be done for interest of poor Zambians.
Repeal the law. Imagine one retires after 40 years of paying PAYE. He builds a house from his pension which was taxed so that he will have a permanent livelihood and then ZRA says they are not finished with you yet. I am a supporter of government (not PF member), but on this one lets all speak with one voice by not paying this tax. Cant a man be left to live his final years in peace. Zambian here let’s do it together regardless of our political affiliations.
i have told u wat to do. just demacate land, we buy the plots even a thousand plots we dont care how much we spend, as long as we have our land and u get yo cut. simple isn,t it
Every citizen living in town he/she suppose to tax for the services provided by GRZ. In council townships like Kabwata, Chilenje, Roma, Hellen Kaunda, Matero and woodlands. Where are roads and houses with civic numbers.
Every citizen living in town he/she suppose to pay tax for the services provided by GRZ. In council townships like Kabwata, Chilenje, Roma, Hellen Kaunda, Matero and woodlands. Where are roads and houses with civic numbers.
Berlin, start thinking. Not justifying crap which even Kaunda found not good to implement. Why do people stop thinking when they start eating government food ???? It baffles me
Signs of a government going broke. They will unearth the nyakapelele tax very soon – just wait and watch!
This tax is just making PF unpopular cum 2016 ! !