The Economic and Financial Crimes Court in Kitwe has convicted and fined Pingan Auto Services Limited K89 million after finding the company guilty on 22 counts of false returns and statements and evasion of tax contrary to Section 43 and 44 of the Value Added Tax Act, Chapter 331 of the Laws of Zambia.
In the same court, Santorini Investments Limited was fined K124 million in another case for fraudulently claiming Input Value Added Tax (VAT) from various Copperbelt based companies. The fines are to be paid on or before 30th March 2023 failure to which warrants of distress will be issued to the convicted companies.
Facts of the cases are that the two companies in purported compliance with the Law provided to the Zambia Revenue Authority, information namely tax invoice numbers purporting to have been supplied with taxable goods by various Copperbelt based companies when not, thereby evading paying of Value Added Tax to the Government of the Republic of Zambia.
The Directors of Pingan Auto Services Limited are Zhang Fengguo and Zhang Liang whereas the Director of Santorini Investments Limited is Victor Mwansa.
The Zambia Revenue Authority wishes to sternly warn taxpayers that the Authority will prosecute any taxpayer submitting false returns and evading taxes.
Kalemba February 24, 2023
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