By Sharon Kunda
The Zambia Revenue Authority -ZRA- has signed memoranda of understanding with local government authorities to act as tax collection agents on behalf of the Commission.
ZRA Commissioner General Kingsley Chanda says the local authorities have been identified as strategic partners because of their administrative structures which are countrywide.
Speaking during the signing ceremony held in Lusaka Monday, Chanda said the taxes to be collected are tax on rental income, base tax and turnover tax in markets and bus stations only.
He said the councils will receive 10 percent commission and that tax payers will be using the various ZRA payment platforms to remit tax.
And Ministry of Local Government Acting Permanent Secretary Lennox Kalonde said the local authorities will be required to capture a lot of people in the informal sector and that they will have to do so without fail.
Kalonde said financial mismanagement of taxes to be collected will not be tolerated.
Meanwhile, Local Government Service Commission Chairperson Amos Musonda said the Council has capacity to effectively manage the collection of taxes.
Musonda said there is need for constant monitoring and evaluation to ensure objectives of the MoU are fully realised.