The Development Finance Associates says the introduction of Sale Tax may stifle Zambia’s economic growth if not well implemented.
Associates Senior Partner Trevor Hambayi says Sale Tax may affect the growth of SME sector in Zambia as it acts as a tax burden on them.
Mr. Hambayi says SMEs in Zambia needs to be supported as opposed to introducing measures that may affect their growth.
He says Sales Tax will increase tax burden on SMEs in the country.
“Sales Tax will be difficult as an SME you don’t know what value you will pay at the end of the day in terms of taxes. We are already complaining of the turnover tax that SMEs are being charged that moved from 3% to 4%,” he said.
He adds that it will be difficult for SMEs to reinvest in their businesses when Sales Tax is fully implemented.
Mr. Hambayi was speaking this morning when he featured on Money FM Business Radio’s Policy, Power and Money that airs Mondays and Thursdays at 9hrs.
Sales Tax to stifle Zambia’s economy – DFA
