More companies exposed in tax avoidance scandal in Zambia
The Zambia Sugar Company tax scandal that was exposed by Action Aid is a tip of an ice that is wrecking havoc in the country.
Sources in the Ministry of Finance have reported that only two mines paid taxes in 2012 amounting to K2.5 trillion.
Kansanshi Mines Plc paid K2.3 trillion and Chambeshi Mines paid K200 billion. These are the only mines that have been paying taxes since 2007.
The rest of the mines declared losses and have never declared tax profits from the time they started operating with the help of government and Zambia Revenue Authority (ZRA) officials on their payroll.
Ironically the mines that have been declaring losses have continued receiving refunds on taxes they pay when they import goods, buy electricity and other goods locally.
Konkola Copper Mines received tax refunds amounting to K1.9 trillion, Mopani K0.6 billion and Lumwana K0.7 billion.
Be on the look for a detailed Watchdog scandal on how Mopani Copper Mines and the parent company Glencore have been evading tax in Zambia while the owners have become multi-billionaires in Switzerland.