High Court Orders Pingani Auto Services To Pay Zra K79 Million In Tax Evasion Case

The High Court, sitting under the Economic and Financial Crimes Division, has upheld a conviction against Pingani Auto Services Limited and ordered the company to pay the Zambia Revenue Authority (ZRA) K79 million by 30th June 2025 for fraudulent tax evasion.

The ruling follows an appeal by the taxpayer against a 2023 Subordinate Court judgment which fined the company K89 million after it pleaded guilty to 22 counts related to Value Added Tax (VAT) fraud.

Pingani Auto Services Limited had sought a more lenient sentence, citing its status as a first offender and its guilty plea. The High Court, while upholding the conviction, recalculated the total payable amount by removing interest, resulting in a final payment order of K79 million.

Between January 2016 and September 2022, the company submitted false tax invoice numbers, claiming it had received taxable supplies from Copperbelt-based companies. This act was deemed a deliberate attempt to evade paying VAT.

The Zambia Revenue Authority has since reiterated its call for all taxpayers to submit accurate returns and make timely payments as required by law.