13/10/2023
ZRA WITHHOLDING VAT ALERT 📢 📢
The Minister of Finance announced tax policy changes in the 2024 National Budget Speech on 29 September 2023. Experts are currently analyzing the budget.
At the beginning of Q2 2023, the ZRA Commissioner General issued the Value Added Tax (General) (Amendments) Rules, 2023, which, among other things, allows the Commissioner to exempt certain goods and services, or other determined cases, or class of cases, from the requirement to withhold VAT (WVAT).
The essence of WVAT is to improve compliance for VAT-registered suppliers. However, until very recently, the WVAT obligations were imposed on all registered suppliers without exception. This caused an unnecessary administrative burden for taxpayers with good compliance history.
To the Commissioner General and the entire Revenue Authority team these are welcome changes, as they aim to reduce the WVAT administrative burden for both ZRA and taxpayers.
It is easy to benefit from these exemptions! Our tax team will be happy to provide guidance and assistance in reviewing your compliance status with WVAT obligations, to resolve any potential tax liabilities or credit issues.
Visit: www.iabc.co.zm