Economy

ZRA seizes two trucks over alleged false declarations, attempt to evade K1.2 million tax

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The Zambia Revenue Authority (ZRA) has seized two trucks involved in a case of origin fraud, resulting in a revenue loss of over K1.2 million.

ZRA Corporate Communications Manager, Oliver Nzala, disclosed the development in Kapiri Mposhi on Sunday, stating that the intercepted consignment comprised plastic preforms manufactured in India but falsely declared as originating from Tanzania.

“Tanzania is a member of the Southern African Development Community (SADC), and as such, products from that country qualify for preferential treatment, including customs duty exemptions,” Nzala explained in a statement issued in Lusaka on Sunday.

However, he said a physical inspection revealed the preforms were in fact manufactured in India, making the consignment ineligible for such exemptions.

“Preforms are small, test tube-shaped pieces of plastic, most commonly made from PET (polyethylene terephthalate), that serve as precursors to plastic bottles and containers,” Nzala said, adding, “They are produced through injection moulding and later transformed into their final shape via blow moulding.”

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Nzala further revealed that the importer had also been charged with undervaluation, in addition to the fraudulent declaration of origin.

“Each truck was carrying 800 boxes of preforms,” he said.

Nzala said the incident underscores the persistent challenge of smuggling and tax evasion in Zambia, stressing that the Authority remained vigilant in combating such illegal practices.

He added that ZRA had intensified anti-smuggling operations, particularly in border areas where these activities were more prevalent, by deploying additional personnel and surveillance technology to monitor entry points and address vulnerabilities.

“ZRA also encourages the public to play a role by reporting suspicious activities,” he said.

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