(3 minutes read)
· The Zambian Government has continued with the policy of waiving tax on imported fuel and foregoing millions in tax revenues into the 2022 budget cycle
· This policy was followed by the earlier regime, which analysts opine was a part of its election strategy to hold the price line.
The Zambian Government has continued with the policy of waiving tax on imported fuel and foregoing millions in tax revenues into the 2022 budget cycle. This policy was followed by the earlier regime, which analysts opine was a part of its election strategy to hold the price line.
The price hike was averted. But that led to revenue loss. The present policy is set to continue to at least mid- 2022. The Zambian government seems to have continued with the policy of waiving these taxes and have extended the suspension of customs and excise duty on the importation of petroleum products. The products covered include petrol, diesel, kerosene and liquefied petroleum gas, effective 16 January 2022 for another six (6) months.
Finance Minister Dr. Situmbeko Musokotwane has authorized for the customs duty for petrol, diesel, kerosene and liquefied petroleum imported into Zambia to remain suspended until 30 June 2022, the statement said.
Effective customs duty rate for petrol, diesel, kerosene and liquefied petroleum gas has been kept at zero rates. The total quantities of the petroleum products suspended include 734,860 m3 for diesel, 329, 420 m3 for petrol, 5,000 m3 for kerosene and 5, 000kg for liquefied petroleum gas.
