The government has Suspended customs duties and Value Added Tax on additional medical supplies used in the fight against COVID-19 in order to expedite the provision of medical-related devices needed to support the fight against COVID-19.
Finance Minister Dr. Bwalya Ng’andu says the government will extend the list of medical supplies that are not subject to Import Duty and Value Added Tax for an initial period of 6 months.
Dr Ng’andu says the complete list comprises 38 individual items which include testing equipment, protective garments, thermometers, disinfectants, sterilization products and other medical equipment such as ventilators and patient monitoring devices.
He also said that in order to assist companies and businesses manage their cash flows during this period when they are faced with reduced revenues, Government has decided to waive tax penalties and interest on outstanding tax liabilities resulting from the impact of Covid-19.
Addressing the nation on further measures aimed at mitigating the impact of the coronavirus on the Zambian economy, Dr Ng’andu said the Zambia Revenue Authority will soon issue guidelines on the criteria on who qualifies, the period of relief and other related modalities.
And Dr Ng’andu said government is still engaging the International Monetary Fund with the view to benefit from appropriate facilities to which Zambia qualifies apart from those which have already been rolled out.
Dr Ng’andu said with respect to an economic programme, Zambia has just completed a two-week virtual mission with the IMF at which an assessment of the macroeconomic and fiscal situation was undertaken.
He said this follows Zambia’s request for an economic programme with the IMF which was made at the end of 2019.
Dr Ng’andu added that Zambia will now discuss with the fund on an appropriate macroeconomic framework that may lead to a programme.
Meanwhile, Dr Ng’andu said Zambia has further applied to the World Bank, the African Development Bank and Afreximbank to be considered for support under their various Covid-19 Emergency Funds.
He said Bilateral discussions have also commenced with a number of G20 countries on the postponement or rescheduling of debt service payments over a period to be agreed.
Dr Ng’andu said engagement with the bilateral partners center around the possibility of them meeting the financing gap arising from the adverse effects of Covid-19 on the fiscus.
This is welcome but please announce measures to keep people at home. Support measurers. even Namibia is doing it. Yes Bownman is trying to help send masks to every part of the country if you cant afford paying people as all the money is gone. Even a free bag for every household. Surely our coffers cant be completely empty for an emergency. There has to be something not begging from business who are supposed to be supported guys. Common
The question we should be asking is how many of these does equipment does MOH have? And which companies have been awarded contracts for these testing equipment, protective garments, thermometers, disinfectants, sterilization products and other medical equipment such as ventilators and patient monitoring devices.
Is this confirmation that government has these in short supply?
Are u telling me government has been collecting import taxes on medical equipment? Really? Not ready to believe this.
In addition any donation made by companies towards this covid 19 fight should be tax deductible. Meaning when calculating net profits, you should first deduct the amount you contributed towards the fight then only calculate tax on the balance.
What HH has been crying about for weeks now, you finally do it! Late as always ba pf
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