ZRA intercepts 100,000 litres of smuggled ethanol

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By GIDEON NYENDWA

The Zambia Revenue Authority (ZRA) has intercepted 100,000 litres of Ethanol worth K2.6 million in taxes.

ZRA Corporate Communications Manager, Oliver Nzala said ZRA on May 7, 2023 intercepted three trucks laden with 400 drums of Ethanol, which was 250 litres per drum while carrying out patrols in Mpika.

Mr. Nzala said the trucks entered Zambia through Nakonde border and the ethanol was declared as goods in transit to the Democratic Republic of Congo (DRC) through Mokambo border when in fact the goods were destined for Zambia.

“Both the goods and the three vessels have been seized on account of Transit fraud,” he said.

Mr Nzala said in order to import excisable goods such as ethanol into Zambia, importers were required to pay customs duty for importation of goods, the customs duty depends on the kind of goods being imported.

Mr. Nzala said ZRA was on high alert to curb smuggling and illicit trade by unearthing of various tax fraud schemes in order to enhance tax compliance.

He said the authority has aggressively embarked on eliminating tax evasion in the country that has led to the unearthing of various tax fraud schemes.

Mr. Nzala ZRA in collaboration with other government agencies continues to be vigilant to curb trade on illicit goods and other transnational economic crimes. He said taxpayers were encouraged to pay their taxes and remain compliant with tax laws to avoid punitive enforcement measures including prosecution and forfeiture of vehicles used in committing such offences.

Mr Nzala said the goods that have been seized would be forfeited to the state because what happened was clear fraud as the owner declared that the good were destined for DRC when in the actual sense were destined for Zambia. He said smuggling of goods affects the economy because payment of tax is avoided and also infringe on competition as the owners of the ethanol that was intercepted would have been producing things without paying duty and selling them at a very cheap price injuring other people who pay tax and selling the actual products at a normal price.

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