Liko’s Industries tax evasion acquittal involving K24m overturned

By Alice Lubasi

The Lusaka High Court has overturned the acquittal of Liko’s Industries and Logistics Company Limited by the Kitwe Subordinate Court.

Liko’s Industries and Logistics Company Limited was acquitted of tax evasion amounting to over 24 million Kwacha by the Kitwe Subordinate Court.

This follows the Zambia Revenue Authority’s (ZRA) appeal on the initial decision, seeking justice against what the Authority described as a serious offense involving Value Added Tax (VAT) fraud.

The Lusaka High Court, sitting in the Economic and Financial Crimes Division, found that the evidence presented by the prosecution was compelling.

The evidence revealed that the accused had submitted numerous false tax invoices to the Zambia Revenue Authority, falsely claiming to have supplied taxable goods to 34 companies on the Copperbelt.

The court determined that the intention behind the actions was to evade a total tax liability of 24 million kwacha owed to the government.

In its ruling, the High Court criticized the earlier decision by the Kitwe Subordinate Court, stating that it had erred in law by acquitting the accused on the grounds that the prosecution failed to prove that they knowingly filed false returns.

This is according to a statement issued to ZNBC News in Lusaka today by ZRA Corporate Communications Manager, Oliver Nzala.