CABINET APPROVES NEW TAX MEASURES

CABINET APPROVES NEW TAX MEASURES

Cabinet has approved the zero rating of Value Added Tax on the importation of selected equipment and machinery used in the development and establishment of electricity generation, transmission and distribution projects for the period 1st July 2024 to 31st December 2033.

Cabinet has also suspended customs duty and zero rated VAT on the supply of generators, and components and auxiliary items for solar power equipment for the period 1st July, 2024 to 31st December, 2027.

Cabinet has also exempted the importation of equipment and machinery for the manufacturing of fertilizer for VAT purposes.

According to the 15th Cabinet Meeting resolutions, the cabinet has also suspended customs duty on the importation of irrigation equipment accessories for the period 1st July, 2024 to 31st December, 2027.

Information and Media Minister CORNELIUS MWEETWA says the tax measures will cushion the impact of the drought and catalyse investments and stimulate economic activities in the energy and agriculture sub-sectors.

He says this is meant to strengthen the macroeconomic environment, create jobs and consequently alleviate poverty among citizens.

Mr MWEETWA has also disclosed that Cabinet approved the Revised National Sports Policy and its Implementation Plan, to reaffirm Government’s recognition of the importance of sports in contributing to the social, economic and political development in the country.

And Mr MWEETWA says Cabinet has also approved an eleven member Food Reserve Agency Board following the dissolution of the Board in October, 2023.

He says Cabinet also approved various legislative matters to facilitate implementation of government policies when the Bills are finally enacted into law.

Among the bills approved, is the agriculture marketing bill 2024, the agricultural credits amendment bill 2024 and the Food Reserve Agency amendment bill 2024.

Other bills that have been approved by cabinet are the Examinations Council of Zambia Amendment Bill of 2024, the Sports Council of Zambia Repeal Bill of 2024, the Energy Regulation (Energy Fund) Regulations 2024 and the Higher Education General Regulation
of 2024.

Mr MWEETWA also says Cabinet deliberated on the importance of the National Strategy on the production of the three million metric tonnes of Copper by 2030, Zambia being a mining country.