•THROUGH the tax online e-payment, ZRA has so far connected seven banks which include Zanaco, BancABC, Stanbic Bank Zambia, Cavmont, Citi Bank, Finance Bank, and Access Bank.

THE Zambia Revenue Authority (ZRA) is optimistic about meeting a higher revenue collection target in 2016 and has established an e-connectivity to boost its operations.
ZRA Commissioner-General Berlin Msiska says the revenue performance for 2015 was not easy due to several factors.
One of the factors was the depreciation of the Kwacha against major convertible currencies, which affected a number of areas such as import volumes into Zambia and had a bearing on trade taxes.
The fallen prices of copper, Zambia’s major economic driver, had an impact on the revenue from taxes like mineral royalty which was further compounded by the decline in mining activity or production.
“When we did the numbers for the year, we estimated that the mining sector in the year would produce 800,000 tonnes.
“But the way it looks now, the mining sector is going to produce about 650,000  tonnes, which of course affects our revenue,” Mr Msiska said during an end-of-year party hosted for members of staff recently.
The other issue that affected ZRA’s performance was the change in policy mid-year.
Mineral royalty was pushed up and corporate income tax rate reduced to zero at the start of 2015.
Halfway through the year, there was a reversal of that regime and the mineral royalty tax was brought down and corporate tax re-introduced.
“That also had its own effect on the numbers that we projected at the end of 2014 going into 2015.
The minister made a mid-year ministerial statement in Parliament where he alluded to the decline in revenue from the mining sector.
“He estimated that it would be about K2.1 billion loss.  What we did as senior management, we took that figure of K2.1 billion and made an adjustment to the original targets and brought down the target by K2.1 billion because of that ministerial statement that was made,” Mr Msiska said.
He noted that the decline in importation and the impact of load-shedding, which left a dent on consumption taxes like value added tax (VAT) and corporate tax also disturbed the Authority’s projections.
However, even in the face of the K2.1 billion adjustment, ZRA remained confident that it could still deliver revenue of about K29 billion to Government.
“As I speak now, when we did our numbers at the end of November, we found that we have about K500 million above the revised target.
“As at yesterday, December 17, 2015, we have so far collected a total of K28.4 billion against the revised target of K29.2 billion
Therefore, we need to collect K796.4 million to meet the revised target,” Mr Msiska said.
The efforts ZRA employees have been making to ensure the Authority lives up to its mission had given the Commissioner-General confidence that the revised target would be met.
It was on this premise that the board of directors approved payment of the Christmas bonus to motivate the workers.
“Let me mention that this achievement in tax collection is partly due to the full implementation of tax online and Asycuda World, including the e-payment solutions.
“These are web-based systems. I appeal to you to embrace them and work towards ensuring that they are perfected and they perform to the expected standards,” Mr Msiska said.
He said he was certain that the teething problems experienced with the Asycuda World in its implementation stage would soon be resolved and that ZRA would maximise the returns on the system.
“I am further pleased to inform you that the Authority has prepared a strategic plan for 2016-2018 and has adopted the balanced score card methodology of measuring the attainment of the corporate strategic plan.
“All divisions have been directed to base their divisional/departmental output plans for 2016 on the balanced score card with a focus on outputs as opposed to activities,”  Mr Msiska said.
He further said under its modernisation programme, ZRA had in the recent past taken steps to upgrade its business operations and processes in order to improve service delivery to its stakeholders and in return increase revenue collections.
CONNECTIVITY
Online connectivity has been provided to Kenneth Kaunda International Airport transit sheds to improve clearing efficiency.
ZRA further put in place a high-speed optic fibre link which was implemented between the head office and the training centre.
Implementation of the data centre is ongoing and expected to be completed in 2016, towards which the Authority in 2015 acquired 70 tablets for mobile processing of transactions.
Furthermore, ZRA invested in a system upgrade of Asycuda World to version 4.22 to make tax administration easier and less costly for both taxpayers and the Authority.
In the area of tax online e-payment, ZRA has so far connected seven banks which include Zanaco, BancABC, Stanbic Bank Zambia, Cavmont, Citi Bank, Finance Bank, and Access Bank.
“With these milestones, we can confidently say that tax online has been rolled out completely and is now in the support and maintenance phase.
Through the Project Management Department, the Authority engaged in various change management activities to enhance staff awareness, particularly on the new systems rolled out,” the commissioner general said.
COMPLETED
Among other successes in 2015 are that, the Authority completed the construction of a 4 x 2 semi-detached staff houses at Kazungula Border Post in Southern Province, three semi-detached staff houses at Chinsali Station in Muchinga Province, and three semi-detached staff houses at the Choma office in Southern Province.
There were another four semi-detached staff houses at Mwami Border Post in Eastern Province which the Authority built.
Rehabilitation of the Authority’s offices at TAZARA in Kapiri Mposhi was successfully completed.
ZRA is currently constructing a new border facility at Chanida, on the border with Mozambique, alongside ongoing construction of a 20-roomed hostel as well as an auditorium at the ZRA Training Centre in Chelstone, within Lusaka.
In 2015, ZRA provided connectivity to Luangwa border post, Chembe border post, and Kashiba border post in order to automate the manual stations.
Senior management visited major stations to enlighten staff on key developments in the Authority during the year.
CONDUCT
Mr Msiska also warned employees against unethical conduct.
“If you recall, His Excellency Mr Edgar Chagwa Lungu, President of the Republic of Zambia, highlighted this issue during his first Press conference which I believe you all heard.
“In fact he went further and said that such people should not only be separated but even prosecuted,” he said.
He said the money ZRA collects serves a lot of people in the country and that management would not tolerate any workers’ irresponsibility compromising the integrity of the institution.
“This time around, we are not just disciplining and firing anybody found wanting, we will go further and prosecute because such conduct was depriving the Zambian people of the much needed Government revenue,” Mr Msiska said.- Feature courtesy of SUMA SYSTEMS.