Maravi

(STICKY) Letter - Mining companies, taxes

Mining companies, taxes
By Malama Katulwende, Columnist for UKZambians
Thu 01 July 2010, 10:10 CAT

Editor,

I was saddened to learn that some mining companies in Zambia are claiming VAT from the Zambia Revenue Authority when, in fact, they don't even remit any tax to the treasury.

This came to light during the Centre for Trade Policy and Development (CTDP) discussion at which a senior mining economics and engineering lecturer Dr Mpande made a presentation (The Post June 29, 2010).

The mines have for a long time contributed very little to the economy of this country but have continued to reap billions.

Recently, a friend of mine, who works in a credit and lease finance department of a bank in Zambia and does business with some mines in North Western Province, called me and angrily said : Malama, it is shocking to see how much these mines are taking out of this country.

Between 2005 and now, the mines have externalised billions worth of copper and paid us nothing. Go to Lumwana and see how extravagantly expatriates live!

It's a different world, but for how long should we allow this robbery to continue? As far as I am concerned, Zambians are to blame for their own underdevelopment because of the choices we make.

If we choose docility, inaction and indifference when others are making a lot of money from our resources, then we'll always remain poor.

It is criminal that Zambians have collectively allowed foreigners to strip our resources and even extract the little that the poor pay in taxes from the government treasury.

The only solution, however, lies in regime change so that we get some dignity back as a people and nation.

Zambians don't deserve to live in poverty because our country has everything to become a great country - except, of course, we lack the courage to choose a good life over mediocrity.

Labels: MINING, TAXATION, WINDFALL TAX

posted by MrK @ 2:23 PM