|The Citizens Democratic Party
Ensure that all persons and organizations eligible to pay taxes share the country’s tax burden.
1. Current tax rates are too high
2. Inefficient revenue collection system
3. Only a small percentage of the country’s workforce, business organizations and individuals pay taxes
4. Individuals and small businesses in the Informal sector do not pay tax
5. Weak enforcement of laws against tax evaders
6. Book keeping and accounting practices almost non existent in small and medium scale businesses
1. Pass legislation to reduce tax rates to affordable levels
2. Equip ZRA with technology and revise the mode of payment system to maximize revenue collection and root out corruption.
3. Formalize the Informal sector;
i. Ensure that all persons engaged in business activity are registered with the registrar of companies and appropriate licenses obtained.
ii. Ensure that all employees are registered with ZRA and Ministry of labor.
4. CDP will embark on an ambitious exercise to have an accurate database of all employees and income in Zambia. Employers will be required to provide income records for all
employees regardless of job title to ZRA. Any employer not complying will be heavily fined and or face jail time. This will also apply to informal employment e.g. house keepers.
The idea is to track all income in order to efficiently collect taxes consequently reducing the burden on all Zambians.
5. CDP will create a tax system that protects the low earning Zambians as well as the disadvantaged by creating tax caps. These caps will be tax limits or exemptions for qualifying
Zambians who earn a certain amount of income in a given year. These limits and or exemptions will be determined by the living wage as determined by current central
statistical data of consumer prices and living expenses. These limits and or exemptions will be revised bi-annually and adjustments made accordingly.
6. Ensure that book keeping and accounting practices are adhered to by business owners.
7. Accountants and accounting firms will be encouraged to render book keeping, payroll and tax preparation services at an affordable fee to business owners that can not afford to
employee an accountant.
8. Ensure that all persons earning an income file tax returns with ZRA
9. Strictly enforce laws against tax defaulters and evaders
|The CDP Solution
|Putting People First