• ZRA instituted criminal proceedings against several companies.
• This in its quest to crack down on tax evasion on the Copperbelt.
• The Court sentenced the convicted companies to pay fines in the sum of K35, 200 which have since been paid.

Zambia Revenue Authority (ZRA) has disclosed that it has recovered over K10 million which Government earlier lost through tax evasion by four companies in Kitwe.
ZRA Corporate Communications Manager Oliver Nzala revealed that the Authority instituted criminal proceedings against several companies in its quest to crack down on tax evasion on the Copperbelt.
Mr. Nzala said the said companies and their Directors were prosecuted on charges of false statement and returns and tax evasion contrary to sections 43 and 44 of the Value Added Tax (VAT) Act Chapter 331 of the Laws of Zambia before the Economic and Financial Crimes Court sitting on circuit in Kitwe.
“ZRA instituted criminal proceedings against several companies namely: Eagles Eye Transformation Limited and its Director Lifen Tang aka Linda, Taurus Mineral Resources Limited and its Director Lifen Tang aka Linda, Mineral Junxion and Transport (Z) Limited and its Director Xing Tang and Focus on Equipment Limited and its Director Xing Tang.”
“Facts of the cases are that Eagles Eye Transformation Limited, Taurus Mineral Resources Limited, Mineral Junxion and Transport (Z) Limited and Focus on Equipment Limited and the Directors Lifen Tang popularly known as Linda and Xing Tang on dates unknown but between 1st January 2020 and 31st August 2022 in Kitwe, provided Tax Invoices to Zambia Revenue Authority purporting to show that Eagles Eye Transformation Limited, Taurus Mineral Resources Limited, Mineral Junxion and Transport (Z) Limited and Focus on Equipment Limited had purchased taxable goods from other companies based on the Copperbelt which was false, thereby defrauding the Government of the Republic of Zambia of revenue,” Mr. Nzala stated.
He explained that during the same period, the said companies and their Directors fraudulently recovered VAT and interest amount of K10.6 million by providing false returns that taxable supplies were made to the four firms by several Copperbelt based companies when in fact not, thereby causing loss of revenue to Government of the in taxes and interest amount of K10.6 million.
“The accused Companies and Directors entered into Plea Agreements with the on conditions that; the accused companies pay back to the State the evaded taxes and interest; that the cost of prosecuting the cases incurred by the State in the sum of K1.2 million be refunded; that the Company Directors plead guilty to all the charges leveled against the companies and upon satisfaction of all the terms and conditions the State would withdraw the charges against the Directors, respectively.”
“When the matters came up before the Economic and Financial Crimes Court the State informed the Court that all the terms and conditions of the Plea Agreements had been satisfied by the accused persons, that is payment of the evaded taxes and interest in the sum of K10.6 million and refund of the cost of prosecution in the sum of K1.2 million bringing the total sum paid to the State to K11.8 million. The State proceeded to withdraw the charges against the Directors. The Directors Lifen Tang aka Linda and Xing Tang pleaded guilty on behalf of the companies as company representatives on all the charges of false returns and statements and evasion of taxation leveled against their companies,” he said.
According to Mr. Nzala, the Court sentenced the convicted companies to pay fines in the sum of K35, 200 which have since been paid.
He warned that any taxpayer found wanting will now be prosecuted to the fullest extent permissible by law, hence the need for citizens to pay their fair share of taxes so as to help develop the country.