The Zambia Revenue Authority (ZRA), in conjunction with the Drug Enforcement Commission (DEC), says they have recovered over K9.4 million in taxes from a company linked to Sedrick Kasanda in the gold scam case.
This followed a comprehensive investigation of the company’s tax compliance, which resulted in an assessment totalling over K52.4 million.
This is according to a joint statement issued by ZRA Corporate Communications Manager Oliver Nzala and the Drug Enforcement Commission Public Relations Officer Mwenge Mulenga.
The Duo said AFME Metal Exchange Limited, a company in which Kasanda, a co-accused in the gold scam case, holds the position of shareholder and Director, received huge unexplained sums of money from overseas sources without declaring taxes on the same.
Nzala and Mulenga stated that Kasanda further withdrew the same amounts in his name without declaring or accounting for any taxes to ZRA.
“In order to safeguard revenue in taxes, a notice under section 23 of the VAT Act (cap 331), section 171a of the Customs and Excise Act (cap 322), and section 84 of the Income Tax Act (cap 323) was served to forfeit a total of K9,433,000 found in a bank account held by AFME Metal Exchange Limited at a named bank,” they said.
Nzala and Mulenga said this amount represented the sole available funds in the account at the time of the DEC’s seizure.
They said that the account was blocked by the DEC and consequently garnished by the ZRA as payment towards the liquidation of K52,449,413.37 total assessment.
“This recovery of the taxes follows a thorough joint investigation conducted by officers from the DEC and ZRA” Nzala and Mulenga added.
They said that the investigation focused on AFME Metal Exchange Limited’s tax compliance.
Nzala and Mulenga warned all entities not complying with regulations that Law Enforcement Agencies, through the Inter-Agency Framework, would visit them.
“All taxpayers are, therefore, encouraged to comply with tax laws,” the duo said.
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