THE Zambia Revenue Authority (ZRA) has opposed the re-introduction of windfall taxes in the mines, as doing so will stifle the growth of the industry in Zambia in the medium and long term.
ZRA commissioner general Wisdom Nhekairo said this in Lusaka yesterday when he appeared before the Parliamentary Committee on Estimates chaired by Bweengwa Member of Parliament (MP) Highvie Hamududu.
“Objectively it is not good to impose taxes which risk suffocating the mining industry. Thus the re-introduction of the windfall tax on sales has the potential to stifle the growth of Zambia’s mining sector,” Mr Nhekairo said.
He said increasing taxes when other countries were not changing their tax systems would make Zambia uncompetitive in the area.
Mr Nhekairo said removal of windfall tax on sales would not necessarily lead to loss of Government revenue as the variable tax still captured any windfall gain that could arise in the mining sector.
“A fundamental economic argument is that low taxation is one of the key determinants for attracting foreign investment and, as such, relatively higher taxes especially in the form of windfall taxes on sales may be a major disincentive to long-term investment,” Mr Nhekairo said.
To inspire investment, Zambia needed a policy that was certain and stable with reduced risks to long-term investment decisions.
“Shifting policies within a short period of time may not inspire continued investments.
“The momentum with the current investment inflows into the mining sector need to be maintained as it has desirable forward and backward linkages such as employment creation and a guaranteed revenue stream,” he said.
He said windfall taxation of sales posed a threat on the profit realisation of some mines and could lead them to spending less on workers in terms of salaries through lessened Pay as You Earn (PAYE) to the Government.
“Moreover, variable profit taxation, by it being based on profit taxation, is administratively consistent with the current practices within ZRA.
“This notion of taxing super profits is currently applied in the financial sector and will be applied to the telecommunications sector as announced in the 2011 Budget,” he submitted.
Mr Nhekairo also said administratively, mining taxation was an immense challenge to even the most developed tax authorities.
The commission had since established a dedicated mining tax unit to ensure efficient and effective taxation of the mining sector.
Mr Nhekairo said there was need for continued support, both financially and materially, to enable the tax authority to keep pace with the complexities associated with mining taxation such as tax avoidance by mining firms.
[Times of Zambia]
Come on guys, be serious. What is this so called growth of the industry? Production of 100k tons /year of copper, or 600k tons of copper? What is growth? It is clear that all the top people in Zambia are under the control of the mines.
Nhekairo or whoever you are! I think you have no option but to speak like your dull masters. I think you will never convince any Zambian on this matter. And you know why? The best Economists have already told us that windfall is the best way to go. To be frank with eachother, who is the better economist: Magande vs RB or Magande vs Musokotwane?
We are missing a serious chance to gain from our natural resources all because some chaps have been oiled by these mining companies. We all know that given the current state of affairs, copper prices are likely to be high. There is no way any of these mining companys would leave if we revised the tax system.
The leaders are up to no good. Its all about enriching oneself. Right now its the mining companies and the current leadership.
This country shall never develop any further than we have right now. We have leaders who live in an illusioned world. If someone in charge of collecting revenue can talk such crap then we are doomed. He says changing Zambia’s tax systems when other countries were not doing the same would make Zambia uncompetitive. Do all countries have copper? Are all countries increasing fuel prices like Zambia is doing? Do all countries have high taxes on fuel like Zambia has? Windfall tax is charged on sales at above a certain price. What is taken into consideration is that at that certain price the company is already making a normal profit. The costs of production do not increase when the price of Copper goes up so there is no effect on costs rather the mine makes abnormal profits
Mr Nhekairo also said administratively, mining taxation was an immense challenge to even the most developed tax authorities.
This is pure bulls.hi.t . If you can not handle such please resign.
Contd from #4…all we are saying is we tap into this abnormal profits so the country can also benefit from this God given resource. When the price is below the trigger price the mines wont qualify for windfall taxes and will get normal profits. What should be noted is that all the mining companies have their main bank accounts outside Zambia and only keep operational funds in Zambia. They are not Zambians so they are not obliged to develop Zambia. Under Kaunda it is ZCCM that built Zambia….the roads, hospitals, schools name them. If people were patriotic about this country we can actually develop to very high standards. Its sad we have unpatriotic leaders. I think we need to start this with our primary school curricullum. Let children grow up loving their nation.
The most ridiculous reason I have ever heard. If we have such buffoons in sensitive positions how in God’s name are we expected to develop as a country?
After appearing before the parliamentary committee on estimates and passing such hot gas, it would have been fair for the commissioner general to just collapse and die.
We don’t need such nincompoops
This commissioner has really killed the hope that people had in benefiting from their resources. But how do such cowards end up in such sensitive positions at ZRA? Zambia must redeem itself from poverty through opportunities like windfall tax. This is why donors are frustrated with such kind of thinking from the ZRA commissioner and are leaving us.
ZRA Commisioner general: I have been building from my paltry salary for the last 5 years. I’m currently building a 3rd house. During this period I have provided employment to at least 5 bricklayers, 5 general workers, 2 plumbers, 2 electricians and supported countless chaps selling sand and offering transport services. In return, you have continued taxing me at 35% of my paltry income. What do you mean when you say ”A fundamental economic argument is that low taxation is one of the key determinants for attracting foreign investment and, as such, relatively higher taxes especially in the form of windfall taxes on sales may be a major disincentive to long-term investment”. You only think real investment is foreign when yopu are suffocating me?? What incentives are you offering me…
These i*****s never opposed Levy on this issue and Iam sure if Rupiah changes his mind they still find an explanation why Windfall should be re introduced. I have no faith in these civil service chiefs.
The ZRA CG is simply protecting his job. The real problem is RB. If RB sees reason in the validity of the argument for the introduction of windfall tax, all these chaps will parrot whatever RB says.We Zambians are just too docile- we allow our govt to partner with foreigners to rape our resources and share the spoils and all we do is grumble! SIC! We know the top GRZ officials are eating with the mining companies big time. If we get rid of this MMD govt and bring in a govt that will be accountable to the people, that will be the first step towards the re-introduction of windfall tax.
We are cursed for having such mental invalids as leaders of our institutions. It is clear that these guys are working on a never ending story. Mining, just like every other industry has costs and profits. We are talking about the super profits here. These require a serious Windfall Tax since this benefit must also translate into benefits for the country since they are beyond what any human being planned for. This is clearly bordering on criminal negligence on duty.
Cry our beloved country … one day in the future we will be talking about how Zambia missed an opportunity and the war torn countries which look like Zambia today will have all overtaken us!
Look at how dirty the ZRA building, in the pic, looks like with all the monies they hundle! If it were headed by people with vision, it would be the best looking structure in Lusaka like other revenue authority buildings in the region! As Mathani to polish it for you, the way he polished Finsbury Park which is opposite the dirty yellow structure that welcomes visitors to Lusaka coming from the North!
Wisdom Nhekairo? where is this dude from?? have we run out of tax experts we had to lookout for one?
“Many African countries struggle with debt and finding money for national budgets because they fail to recognise taxation as a sustainable source of funding. Moreover, multinational companies are too easily given tax breaks while siphoning off money through illegal tax evasion.Taxation plays an important role in determining the distribution of benefits to citizens. It also acts as a connection between state and citizenry.”
4gv the man,his loyalty is in Zimbabwe
I seem not to get his argument on Pay As You Earn (PAYE). Is he saying he would rather continue getting tax revenue from the employees than the company which is enjoying super profits? Wow! There could be some truth to the Mopani tax evading story, if that is the case.
#11 Mopao Mokonzi wa zabanga
I like your name,,,
#2. The current Finance Minister is many times better than Magande both academically and experience. Magande is jealousy of this guy, period. Actually he(Magande) used to tax us too much. That is how Sata came up with a slogan’ less taxes, more money in your pockets’. Tax is not a punishment. If we want to halt growth of the investment flow then we can introduce windfall tax on sales. But if we want sustainable growth we need to be competitive because we compete for FDI on the international market. Copper is found in many parts of the world including USA and the metal faces competition from other metals that can be used for the purpose it serves. We need to be attractive for further investment which will create more jobs and taxes. Be objective.
With this, i rest my case. How on earth can we have such chaps in such positions. And this is the guy who should be collecting more money for GRZ. what Crap.
this ZRA chief’s name sound foreign to me..he doesn’t care ..please we need it back..
#12 Mwiya Bruce. Go through the article once more. It says that the variable tax captures gains out of supernomal profits. You know, when prices of metals go up with no increase on costs the profit increases and since tax is a percenatge, it captures any increase in profit.Windfall tax is on sales which is wrong because we tax profits. Let a firm remove its costs and tax its profits, thats the right way. Even some educated politicians(HH, Magande) who are misleading Zambians on this matter know these facts but they are blinding you because their utmost objective is to discredit RB.
What is the essence of growing and industry that is not benefiting ordinary zambians? Sir you will have to understand your role as at ZRA. People are in business for profit as zambians we are in business for peofit as well. we aint seeing any profit from our mineral reich country all in the name of keeping investors who are not concerned about developing Zambia. Please we need leaders with great focus and insight.
This guy doesnt care, after all is not Zambian
#Objective A pilot audit of the Mopani Copper Mines (picture) has revealed glaring irregularities in figures submitted to the Zambia Revenue Authority (ZRA).
The audit, which was carried out in 2009 by Grant Thornton Zambia and Econ Pöyry, a Nordic consulting and engineering company, found that most problems arose from transfer pricing in dealings with its majority-owner, Swiss-owned Glencore AG. During the audited period from 2006 to 2008, Glencore had consistently bought copper at prices below the market value set by the London Metals Exchange.I AM SURE YOU HAVE SEEN THIS REPORT- ARE THESE THE PEOPLE YOU WANT EXEMPT FROM WINDFALL TAX WHEN THEY ARE CHEATING ON NORMAL TAX?
Be serious ZRA. What you should be saying is that you have taken bribes you guys. Where can those AMWENYE go that has as much copper as Zambia. You need to compare what ZCCM used to do for the country and what these guys are doing now to realize that they need to pay more in the form of taxes. ZRA please wake up and charge more taxes today. Dont give excuses. Copper is our only earner and it is a diminishing commodity.
#20 Objective
The audit also found indications of inflated operation costs, inconsistency between internal production figures and those submitted to government and it estimated labour cost at Mopani during the audited period at 50 million US dollars – against Mopani’s “ 90 million US dollars. WITH WINDFALL TAX THERE CANNOT BE A LOOP HOLE LIKE THIS ONE. DICARD THE FOLLOW THE LEADER MENTALITY. USE YOUR FREEDOM TO MAKE DISICISION, NOT BECAUSE RB HAS SAID SO SO I WILL DO AS HE SAYS
Come on guys let us make this issue an election issue during this year’s election. May be it will make them sit up and listen knowing how much they want to stay in power at whatever cost. ZCCM would not have gone under if such prices existed at the time. And oh what development we would have seen. What hurts most is that we see these guys protecting foreign ‘infesters’ at the expense of local zambians who continue to be paid peanuts inspite of the huge profits these mines are making. If they paid a decent wage, you Mr. Nhekairo would then be able to reap even more through PAYE. But they always never listen to any one. Examples abound. You will never fool all the people at all times. One day soon, reckoning awaits.
These people seem to have thick skulls n are very blind 2 the plight and suffering of the Zambians!These foreign mine owners will deplete all the copper n leave us black holes. Call it wat ever u want but pliz let us the Zambians benefit from the high copper prices, whether its called wind fall or rainfall tax. The guys have destroyed the roads with their heavy equipment yet theu=y dont fix the roads n their bank accounts are not even in Zed
Wisdom, I am sure the words are not yours. You are just HMV (His Master’s Voice). Don’t you remember the wise words of late Kasonde when he was Minister of Finance? He had mentioned that “good environment is the most important consideration” for investors and not taxation. How windfall tax would have suffocated mines? Windfall tax can be modified but the best taxation is:
taxation on copper price above base price at a fixed percentage.
a fixed percentage of tax on profits.
Royalty on copper produced
ZRA may have a point. Windfall Tax is tax on profits that result from a sudden windfall to a particular company or industry.Therefore, regular income taxes that are paid already take into account the high profits, and that there’s no need to do anything extra to tax or punish the mines.
Since metal prices are subject to flactuations is windfall tax a long term solution ? I believe the answer lies in ownership.Government should ensure that we get at least 40% ownership in all new mining projects.In addition to this our country has vast potential in agriculture.Tapping our agriculture potential will lead to 1. Food security 2. Job creation 3.The basis for setting up and sustaining a viable manufacturing sector . Projections are that prices of food are on an increase globally.Let us not put all our eggs in one basket.Finaly copper prices are at record highs but over dependency on one resource is very risky.All it will take is for copper prices to take a sudden downward trend and all hell will break loose i.e hiper inflation.
#19. Thanks. But dont you think we should use the Tunisia/Egypt formula if all other avenues of getting rid of this corrupt govt fails? It does not make sense to have MMD leading this country. If we dont remove them they will sell everything in this country ( UNZA, DK, Hillcrest etc!!) and share the money amongst themselves. Who ever thought Mubarak would fall? So there is nothing impossible,Zambians! Let’s unite and die a little for our children!
ZRA commissioner general Wisdom Nhekairo must resign.
What is important is attracting more investments in Zambia. The only way you can encourage more investments to come to Zambia is to give incentives to the potential investors. When investors come to your country it is not only the tax that is important. Obviously they provide employment to a lot of people. On top of this they provide work to a lot of local support industries. They also provide skills to the local population that can still benefit the country in the long term. Remember WE need the investors more than they need us. Every country is trying to lure more Investors. Even the US and Europe are dying for more investments. This investor bashing is not doing us any good at all. Zambians can form investment clubs and invest in the country themselves.
No, he must be in jail for negligence of duty by not collecting Windfall Tax
#36
Voice Of Reason – Mwana dont be cheated, these investors can go any where. I remember how they were falling over each to get contracts in war torn Angola. Even unstable DRC is an attractive destination.Read #26 and 28 and you will agree that the old adage of make hay while the sun shines should be applied. Right now FQ is fighting in courts of law to get back to war torn DRC.It is the metal price that counts not the enviroment.
COMMISSIONER GENERAL. YOU ARE OFF ROAD. I WAS A MINER. PRICE OF COPPER IS SET IN LONDON AND A MINING FIRM HAS NO CONTROL OVER IT. MINING FIRMS CAN ONLY CONTROL LABOUR RELATED COSTS AS THEY ARE USUALLY AVOIDABLE IE MEAGRE PAY AT LUANSHYA MINE. THE PRICE OF COPPER IS LIKE THAT OF SHARES, SO WHEN THE SHARE PRICE IS HIGH YOU SALE THEM AND MAKE A PROFIT. YOUR ARGUMENT THAT LOW CORPORATE TAX UNFORTUNATELY DOES GO WITH METALS AS THEY FLACTUATE. FOR MANUFACTURINF YOU POINT MIGHT WORK, BUT ZAMBIA IS MONO ECONOMY COPPER RELIANT AND YOUR STUBBORNESS JUST SHOWS HOW BADLY YOU ARE POLITIZED. WHAT IF THE PRICE OF COPPER BECOMES $30,000 PER TONNE, IMAGINE HOW MUCH REVENUE WE WOULD LOSE. LIVE LIFE A DAY, GET MAXIMUM BENEFIT FROM YOU WORK AND TIME DAY NOT TOMORROW. ASK FIRST QUANTUM MINERALS, MOSES KATUMBI
#36 Voice of Reason. We are not against attracting investors, Rather we would like to share reasonably in their investment.Remember,there are two things involved in order for someone to make an investment decision. A resource and capital. Investors have the capital but we have the resource. Is it too mich to ask if all we ask for is an equitable share of the investment? Remember as long as we have mineral resources investors will always be available. I know what I am talking about- I am a Mining Engineer and ACCA holder!. The Investors need us as much as we need them! Period.
COMMISSIONER GENERAL. WINDFALL TAX IS RECOMMENDED FOR WASTING INDUSTRIES LIKE MINING BECAUSE ONCE YOU DIG COPPER OXIDE TODAY, IT WILL GO BACK. ITS GONE. SO LETS US GET MOST OUT OF THE GOOD GIVEN COPPER. IF THERE ARE INVESTORS FOR COPPER BOZ CAN USE THE SURPLUS IN RESERVE TO TURN ZAMBIA INTO AGRICULTURE EXPORT STATE AND TOURISM TILL WE FIND INVESTORS WILLING TO SHARE WITH US. HAVE YOU EVER BEEN TO MUFURILA, CHINGOLA, KALULUSHI, THE ENVIROMENT IS DAMAGED. THE ROADS IN MUFULIRA ARE BAD. FIRST QUANTUM HAVE JUST ANOTHER URGLY SITE A BWANA MKUBWA. TAKE A TOUR OF MINING TOWNS BEFORE YOU EVEN PRONOUNCE THAT THE CURRENT TAX REGIME ON MINES IS GOOD. DONT JUST LOOK A REPORTS PREPARED BY JUNIOR GUYS. GO OUT IN THE FIELD.
Heavy taxing of the investors has been done before in Zambia. We should not impose heavy taxes on our investors. Every country has what are called low tax zones meant to attract more foreign investments. We are competing with other economies. These guys can find Zambia too much to bother with. It is them who have the money to invest and it is us who need the investors. In an ideal world, we would want our fellow Zambians to invest, but this is a non-starter. HOW ARE YOU GOING TO ENCOURAGE MORE INVESTMENTS IN THE COUNTRY? UNFORTUNATELY, THE ONLY WAY IS TAX INCENTIVES. What we need to do is learn how China moved from being poorer than Zambia in the 70s, to becoming a powerhouse it is now? Heavy taxing the ONLY proper industry we have is not the answer.
#38 what you are to mentioning here is that these countries do not depend on one commodity ( mineral ) and that is the Challenge our country has.Accounting wise “wind fall tax” is basically a once off tax , in terms of sustaining the country especially ours is not practical,as much as we would like to have this jackpot …the long term effects will be deadly, its better you have a gradual increase in taxes than once off which will be a determinant in investor confidence in the long run and subject to abuse by the ruling party.
more ever some of these mines are even evading tax
@43
zuma – I dont dispute your argument, but look at this. As a person born and bred on CB, I can see that the current investors are reaping for once and all. Unlike the old investors such RST(RCM) and AAC(NCCM) these guys are not puting in anything. The roads which were previously maintained by the mines are non existant. For your information the old mine owners built secondary schools such as Chikola and Chingola in Chingola, Kantanshi and Mufulira in Mufulira, Kitwe had Mukuba,Kitwe Boys/Girls. Roan etc. Even Chiwala in Ndola was built by the Mines not by government. What do we see today? Nothing. Iam surprised you havent refered to theTax Misconduct by Mopani. Instead you are defending against the only way we can be assured of getting proper value.
People on this discussion forum do not seem to be consistent in their arguments. If the investors are damaging the environment the government should jump in. This cannot be solved by taxing the investors more. If anything this will encourage even more corner cutting. Every government has the Environment Agency which should monitor the way the Mines manage their activities. The silliest argument I have seen here is ‘let’s overtax the mines while we can’. There is enough copper to last another 50 years. We can use the mines as a catalyst to encourage more investments in the country so that when the mines have been exhausted we have other industries to fall back on. Hopefully, these future industries will be in the hands of Zambians by then.
The problem is we have a lot of educated villagers(ama fontini) running our affairs. Look at the Building for ZRA in the picture. Then this moron is telling us that it is complicated to manage the mining taxes. Please go and do something else if you can not manage that. We need revenue as country. There are many decent investors who can run our mines with the windfall tax in place. We should not be desperate. The windfall tax may be effected using a sliding scale linked to the copper price.
@46
Voice Of Reason- If your government had some gray matter in their small heads they would have gone for the WINDFALL TAX, then use it to expand the employment base by investing that money in different sectors.You want to go slowly suppose the copper price falls all of sudden, wont this be a lost opportunity. Again you want to tell us that China was once poorer than Zambia. I dont know where you got that info. China has never been poorer that Zambia. May be talk of Indonasia and its neighbour, but certainly not China in 1970s–It even gave us a loan to bult Tazara
#46 Voice of Reason. It is not OVER-TAXING. Look, these Investors based their profit projections on SP of $3,500 per ton.With their cost per ton at $2,000.00 it made economic sense for them to buy the mines in the year 2000 because a profit of $1,500 per ton was obtainable. Now today at a SP of $10,000.00 per ton they are making $8,000.00 per ton i.e. $6,500 per ton more than their original basis of the investment decision. We are saying SHALL WE SHARE IN THIS SUPER-PROFIT? THAT IS THE BASIS OF WINDFALL TAX! That is not OVER-TAXING.If the copper price falls, we wont ask for any more than is due to us. I hope you have understood that simplified argument.
7. #49. Mopao Mokonzi wa zabanga. Have you come across an investment club called the Zambia Diaspora Investment Group? Look them up online. This looks like the way to go for us Zambians. zambiadiaspora.com
@45 i think you’re mixing a lot of things, firstly ..my point was that we are copper dependent, unlike other countries so negotiating for a once off tax relief..to me is short sighted,secondly i have not mentioned the Mopani saga simply because its not on the topic, that is a corporate governance issue, lastly iam born and bread in Mafukeni was part of Nccm/Zccm arrangement what you need say is that these guys need to put back some of the profits in community ie infrastructure/social welfare.
i was on the copperbelt in december, the place is pathetic but having said this we had it coming Zccm could not have cont supporting the community/social responsibilities being it a loss making company..it had to come to an end.
GRZ need help from these Guys on the social front.
@51 Forget about ZCCM. The whole thing was a mistake by KK and we are still making the same mistake- this time in reverse.
#50 Lets Invest Ourselves. I have seen that site. May you guys give us more details on the management of funds. How am l protected as an investor? We do not want to lose our hard earned cash.
Guys dont you know that this ZRA boss comes from zimbabwe?Thats why he doesnt even care about we zambians.He is a learned person bt look at how he is being used by the politicians.listerning to maxwell mwale this morning,he does’nt know how pipo are demanding for the windfall taxes but he said RB wont be pushed around easly.Lets hold hands together and remove MMD this year.
#49. Thanks . I get your point. However, what disappoints me a lot about these forums is the outright illogical bashing of our investors, especially the Chinese. The benefits from the investments are meant to be symbiotic. Obviously when the Chinese come into our country they should abide by all the necessary regulations and rules. If they don’t the government should step in. There is a lot we can learn from the Chinese. Not least their work ethics. The whole world is finding hard to cope with the China syndrome. They are capable of being able to do all the manufacturing needed for the entire world. We need to be on the same side as them.
#48. I apologise for the mistake. What I should have said was per capita, our GDP was most likely higher than China’s in the 70’s.
#53. Dinx. This investment club has been approved by the Zambian government. It was actually unveiled by the Finance Minister. If we are compete against the South Africans, Chinese and Indians Investors in Zambia this is the way to go. If I was you I would email them and ask to speak to someone. They normally have a telephone conference at least once a month. If you have skype the cost of the call is minimal.
Zambiadiaspora.com
Can we have more comments from zambians actually living in zambia please!
#58 Energy. Obviously you are in denial. You are not speaking from Zambia!
There is not a single iota of wisdom in what this ZRA Wisdom Nhekairo is saying. And by the way, from his name this chap is not Zambian and one can understand his lack of patriotism to ensure that Zambia gets what Zambia deserves.
Wisdom must be fired, period
Too much chikwakwa type of reasoning on the blog.
Wisdom must be fired for lack of wisdom. After that he must change his name
This exploitation will continue as long as our domicility lasts.while we continue being preoccupied with tribal politics,our politicians are busy eating away the national cake.do they care which tribe ll be affected the most by lack off basic needs?we must assert our authority ova these leaches.whether it be sata,hh or rb ,we must show them who holds the power.the egyptians had tahrir square,we also have freedom park,isnt it?and i think we can do it better.
#64. Potent maximus. It is to be encouraged that people should have the type of freedom and opportunities that Zambians have enjoyed over the years. People can, to a large extent, say anything about anybody without fear. However, I fear in Egypt’s case the jury is still out. With ‘democracy’ they will have to deal with the inevitable elevation in crime levels and other ills that you get in open societies. I hope they do not start to miss Mr. Mubarak soon.
” THE Zambia Revenue Authority (ZRA) has opposed the re-introduction of windfall taxes in the mines, as doing so will stifle the growth of the industry in Zambia in the medium and long term. ZRA commissioner general Wisdom Nhekairo said this in Lusaka yesterday ”
He is bought and paid for by the mines, and needs his own finances audited for ‘irregular payments’. First, as head of the ZRA, it is not his business to ‘worry’ about the profitability of the mining industry. Secondly, with the windfall tax in place, the mines would be paying what they are owed now under the variable profit tax and dividend payments. They are not paying taxes. That is what they want. The only thing they fear is enforcability of the tax regime.
Aren’t we stupid? When the limited natural resources get depleted or the price for them plumets, we shall look back and cry fowl play. Who is to blame? We got the education and abilities to reason wisely. Let’s use this knowledge to the benefit of our country. One Zambia One Nation.
Or alternatively, he is making a plea for increased funding for the ZRA, and is using the windfall tax as leverage. However, it makes no sense to spend more money on the ZRA in order to collect a tax that can be very easily collected by putting pen to paper and sign into law the Windfall Tax.
I just like everything Mr MrK is saying …
But why don’t we chase **** QUANTUM CRIMINALS for all the crimes and frauds
Then put a huge debt to those canadians….
I am so sure they will adore as must as we are enjoying their companies registered in Canada with ‘their laws…’
of NEO-COLONIALIST
The problem with Zambia at the moment is these egocentric minded i diots occupying jurisdictions they don’t understand. i’m tired and fed up with all this cow dang business.
It’s all about an egocentric mind set at play here we are used, that’s why we can’t wait for October so that we can restore all systems back to their original condition.
Why introduce windfall taxes at this stage,who do they want to fund from the profits realized? Obviously they don’t have the common man mind. the only beneficially set to benefit at the moment is the MMD campaign machinery.
Mr Nhekairo also said administratively, mining taxation was an immense challenge to even the most developed tax authorities.
This man is liar pathological for that matter,this what happens when u entrust a foreign from Zimbabwe to affairs…usually such i diots have loyalty to appointing authority.how else do Zambians expect this stooge to depart from RB’s thinking ,Situmbeko’s thinking?they know for sure that Konkola coppermines have been evading taxes through tax avoidance and they behave like they don’t what’s happening,this I diot from ZRA who is supposed to stand with Zambians in this difficulty times is a disgrace to himself and the entire ZRA…THIS MAN HAILS FROM ZIMBABWE WHERE THE PRESIDENT COME FROM,where have we seen a Zambian Heading such an important ORG’ IN Zimbabwe?
Muyangwa Muyangwa should have been a Commissioner General their…a true Zambian from western province…a brave worrior
LADIES AND GENTLEMEN LETS US ALL BE AVOIDING TO PAY TAXES THROUGH UNDER DECLARATIONS FROM DAY ON WARDS OTHERWISE WE HAVE TO SURVIVE,LETS US DECLARE TAX JIHAD,SUICIDE TAX BOMBERS..UNTIL WINDFALL TAX IS REINTRODUCED…THESE CHAPS THEY TAX US A LOT THROUGH PAY AS U EARN..
Hi Anne,
Thank you. The same to you too. I think renationalisation should be on the table for tax evaders. If the ZRA can’t collect taxes without massive expansion, that is the strongest endorsement for the Windfall Tax.
Zambia is losing about $1 billion a year in uncollected taxes and dividends to ZCCM-IH. And that is without the Windfall Tax. So the only argument is not about how much tax should be collected, but how it can be collected. The money is due to us. All we need is to go and get it, and when the MMD doesn’t want to collect, it is because they are receiving money not to do so.
Also, I find it odd that the Lusaka Times has not published a single article about the Mopani audit.
Also, corruption and bribery is baked into the entire privatisation process. Former World Bank Chief Economist Joseph Stiglitz called privatisation ‘briberization’, because worldwide the WB offered bribes to government officials to sell public entities for less money.
Check out the article on gregpalast /com, called:
The Globalizer Who Came In From the Cold
Is Mr Nhekairo is a Zambian? I have never heard of such a name in Zambia and it may expalin why he is anti windfall tax.
#78
Kashimani – His father came from Zimbabwe. He owned a bar in Masala Ndola called Kairo Bar
another cadre @ hand speaks for his salary. he probably doesnt want competition from those working in the mines. you **** we would rather safa but remian with copper in the soil than you and you stupidest reason ever:d
i long for a day when this w fall tax issue will die. it seems no matter what experts and the business owners talk those employees and non business owners will oppose. chaps like the popular Sata doesnt talk about it because he has a real chance of becoming president. chaps like magande talk any thing it seems.no other country in our region and far are increasing tax why should we.
we need an ecomomy that is pro business not pro consumption as in the past.