President Lungu on arrival in Livingston
President Lungu on arrival in Livingstone

PRESIDENT Edgar Lungu has with immediate effect revoked the law that imposed presumptive tax on bus and taxi operators.

The Head of State has also reversed Statutory Instrument (SI) 41 of 2015 that increased the unit fee from 20 Ngwee per unit to 30 Ngwee per unit.

The fees were revised in accordance with the provisions of Statutory Instrument No.41 of July 2015 of the Fees and Fines Act, which increased the value of the Penalty Units from 20 ngwee to 30 ngwee per Penalty Unit.

The Zambia Revenue Authority (ZRA) also introduced the presumptive tax on bus and taxi operators this year.

The presumptive tax is a tax imposed on an informal sector like transport and when it was introduced, bus operators were meant to pay tax of between K1,600 and K19,700 per month at ZRA offices.

Bus and taxi operators protested saying that paying of the taxes was cumbersome and consequently costly.

Special Assistant to the President for Press and Public Relations Amos Chanda said in an interview yesterday that President Lungu had ordered the presumptive tax that had affected the transport sector and reversal of the SI 41.

“Following submissions from the bus and transport operators, the President has with immediate effect directed the reversal of the presumptive tax and the SI 41,” Mr Chanda said.

He said Mr Lungu has directed the ministries of Finance and Transport to revert to the initial fees and fines that transport operators were paying.

Mr Chanda said President Lungu has ordered the two ministries to review the entire penal and tax Law that affect the transport business to ease their operations and make them more effective.

“For example, the bus operators complained that the presumptive tax took a lot of their time as they took about three hours at ZRA which made it cumbersome for them to operate,” he said.

He said bus and taxi operators should know that the review is with immediate effect and should corporate with RTSA and ZRA.

The revised fines ranged from K225 to K450 for charges penalty offences which include traffic offences, unlicensed Motor Vehicle,expired Test certificate and fitness, defective tyres talking on mobile phones whilst driving.

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34 COMMENTS

  1. It is a govt of reversals, revoking, trial and error, uncoordinated decisions, lack of consultations, changing positions!

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    • It’s all pressure and desperation to escape humiliation at the polls! Its like the plans were not shared in Cabinet and agreed to now be reversed! Chashupa ba- Lungu! The opposition is hammering you left, right and, center then come the citizens who jeer having opened their eyes!

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    • It’s too late Edgar, you can even make everything free. 2016 kuya bebele. Making last minute desperate attempts to win votes won’t help. Swine!

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    • ON SOCIAL MEDIA PF IS GOING BUT IN NORTHERN, EASTERN, LUSAKA, CENTRAL, MUCHINGA, COPPERBELT, WESTERN & LUAPULA EDGAR LUNGU WILL BE RETAINED AS HEAD OF STATE. THESE OTHERS WILL BE PRESIDENTS IN TONGA LAND – SOUTHERN PROVINCE. MARK MY WORDS!

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    • These are the works of HH and his team when he visited CB.

      HH is pragmatic. You see CB people what ever problems you want this f00lish PF to solve for you should just invite HH and complain to him then ka Lungu will quickly do things for you.

      Bravo HH

      2016 vote UPND.

      You should now thank HH and GBM for this move by Lungu.

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    • Have you seen this in the online Guardian News?

      ‘George Osborne scraps tax credit cuts in welfare U-turn

      Chancellor says in autumn statement that improvement in public finances means he is able to ditch controversial cut.’

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  2. ANOTHER INSTANCE OF CHIPATEPATE! TRY AND ERROR. CNP.
    HAS THE MINISTRY OF FINANCE BEEN SHIFTED TO STATE HOUSE NOW? TAX ISSUES ARE FOR THE MINISTRY OF FINANCE TO DEAL WITH NOT STATE HOUSE. THIS IS A VOTE OF NO CONFIDENCE IN THE MINISTER OF FINANCE AND, ON MORAL GROUNDS HE SHOULD RESIGN FORTHWITH.

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  3. What is the purpose of appeals, and what are the possible outcomes of an appeal?

    I personally would not blame or criticise this or any other government for reversing decisions that caused citizens great difficulty.

    On traffic offences that put the public at risk of injury and death, I would say that the prevailing laws must apply to the maximum penalty.

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  4. Baimwenamo ka,sad for the President he don’t have good advisers,can someone advise him to increase tax on beer and reduce meali meal. Please not all zambians are drunkard’s ba kateka.

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  5. Gud move although signs of panickn,u cant implement whatever u plan,we shall demonstrate as new tariffs for zesco ar effected also so that the president revokes that SI and revert to the old one

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  6. So Imwee ba Lungu were do you think you will get the money to run the country? How many of Chikwandas Instruments have you reversed? Do you even realise the implications or your eyes are not seen beyond an election? You had an opportunity to make a name in the Histrory of this country , but Iam afraid you will leave a mark , the question is what sort of mark it will be.. most of us can tell that Historians will write that you once passed through state House.

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  7. Uwu ndiye upuba weka weka ta! I really stil wanda about ecl’s financial & economics advisers, to be precisly which school did these blood suckers who owez advises this sangoma man studied to. B’coz to be honest these guys & their boss have lamentably failed. For sure, how can you give this beautiful country to the dogs? Shame on you sangomaz, mukazi nkalako nanzelu ta! This time around ba ecl should vote for Presido HH, we need your vote man! Ni foward fye naba Big Flight called UPND ta! Chao.

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  8. As a business owner I have to deal with ZRA all the time, it takes me considerably more than 3 hours a month too. Can I also stop paying tax? This is a flimsy excuse and should not be entertained, any problems should be ironed out and streamlined, but to simply shelve it is nonsense.

    When presenting the budget the Govt. said they would tackle the deficit by increasing revenue collection and not cutting spending. We now have a situation where spending is continuing unabated and the measures to earn more money (fines, taxes, duties etc) are being reversed.

    Zambia needs to broaden its tax base and this was a measure that would allow for this to happen. It was actually quite progressive and I was in full support. Just as I believe there is a huge opportunity being missed in the…

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  9. cont.
    sale of salaula, which is a multi-billion dollar industry worldwide. This trade is controlled by a few ‘big boys’ and believe me when I tell you that they are making millions of dollars.

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  10. The best way to convince people that you are a leader is to confuse them and workout a solution to get them out of their confused state. Believe you me this situation works and its always appreciated by people who think low. He is showing transporters, after confusing them, that he cares for them but they don’t understand the game he is playing.

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  11. i now believe that he was waving at trees in Livingstone because i cant see people following the president this is sad indeed

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  12. Good move Mr President. Looks like Govt has not been engaging stakeholders before implementing these Statutory Instruements. These reversals or inconsistencies in decisions is NOT reflecting well on PF. Going forward, engage all stakeholders before implementing these Statutory Instruements. Broaden the Tax collection base instead of increasing Tax on the few that are subjected to pay Tax. In most countries anyone doing business (including tutembas) must be registered and is subjected to pay Tax, we can do the same in Zambia.
    I suggest you also look at making all farming equipment Tax exempt, so that many farmers can import cheaper equipment to enhance farming.

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    • @Neutral
      Since when have you been using this moniker ‘Neutral’?

      I have been using this “Neutral’ moniker for over 4 years only to see a fool like you also confusingly using it. Stop it!

      Even at PACRA before you use a company name you need to do a name search & clearance in case another company is already using the same business name. This is what you should have done first – name search & clearance, Foolish you! This is pathetic, you uncouth being!

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  13. NEUTRAL, You are talking sense than these upnd kaponyas who are always criticizing without offering solution.
    Even in 2016, they will lamentably to the PF because their preoccupation is to go to state house.

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    • @MIGHTY SHANSHA

      He is not @Neutral! Its a stolen ‘moniker’.

      @Neutral
      Since when have you been using this moniker ‘Neutral’?

      I have been using this “Neutral’ moniker for over 4 years only to see a fool like you also confusingly using it. Stop it!

      Even at PACRA before you use a company name you need to do a name search & clearance in case another company is already using the same business name. This is what you should have done first – name search & clearance, Foolish you! This is pathetic, you uncouth being!

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  14. Useless comment hiding under another person’s moniker!

    @Neutral
    Since when have you been using this moniker ‘Neutral’?

    I have been using this “Neutral’ moniker for over 4 years only to see a fool like you also confusingly using it. Stop it!

    Even at PACRA before you use a company name you need to do a name search & clearance in case another company is already using the same business name. This is what you should have done first – name search & clearance, Foolish you! This is pathetic, you uncouth being!

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    • There is no guiding laws on this website as to which name one uses. Just a friendly advise, do not insult people you do not know. In future be very careful. I’m not a fool as you think, anyway no need to argue lest people get confused who is a fool between us.

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    • There is no guiding laws on this website as to which name one uses. Just a friendly advise, do not insult people you do not know. In future be very careful. “Neutral” is an english word and NOT your personal name. I’m not a fool or pathetic as you think, anyway no need to argue lest people get confused who is a fool between us.

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  15. But Lungu is a dull president zoona. IMF told him and his bunch of twats on the need for fiscal discipline and that is when you go ahead and reduce the tax base??? And some people here are supporting this and you expect us not to call you and your supporters dull?

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  16. How about the Guardian News below:
    ‘George Osborne scraps tax credit cuts in welfare U-turn

    Chancellor says in autumn statement that improvement in public finances means he is able to ditch controversial cut.’

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