ZRA investigates 320 VAT fraud cases

By Honester Mshoka

The Zambia Revenue Authority –ZRA- is handling over 320 cases suspected for VAT refund fraud.

ZRA Manager Corporate Communications OLIVER NZALA says the cases are estimated to be worth over K5-billion.

In an interview with ZNBC News, Mr. NZALA said over 140 cases have been concluded with 11 convictions in the Economic and Financial Crimes court.

Meanwhile Mr. NZALA has revealed that ZRA has recovered over K4.4-million from Spax Mining Limited on the Copperbelt which it had evaded in VAT.

Mr. NZALA said the recovery which includes a K100, 000 payment which ZRA incurred in legal costs follows conviction of the company which pleaded guilty to VAT fraud.

He said this is contrary to section 43 of the Value Added Tax Act Chapter 331 of the laws of Zambia.

Mr. NZALA added that upon the convict’s own admission of guilt, the Economic and Financial Crimes Court convicted and sentenced Spax Mining Limited to pay a fine of over K13,000 or in default serve six months simple imprisonment.