ZRA TO RECOVER OVER K10.7 MILLION FROM UCZ.

ZRA TO RECOVER OVER K10.7 MILLION FROM UCZ.

The Zambia Revenue Authority (ZRA) is set to recover over K10.7 million in evaded Value Added Tax from United Chemicals Zambia Limited following a conviction by the Economic and Financial Crimes Court in Ndola. The recovery follows findings that the company submitted falsified tax returns and statements covering the period between July 1, 2022 and March 31, 2023, resulting in significant loss of government revenue.

The court established that United Chemicals Zambia Limited, in collusion with others unknown, falsely declared that several containers of cooking oil had been exported to Choice Services (Sarl) in the Democratic Republic of Congo, contrary to the Customs and Excise Act. The falsified declarations included zero-rated sales amounting to over K19.1 million, which led to the evasion of VAT exceeding K10.7 million.

On January 19, 2026, the company pleaded guilty before Honourable Tamara Kakusa to eight counts of furnishing false returns and statements. The court fined the company K40,000 payable within 14 days, ordered payment of the full evaded VAT, and directed the company to compensate the State K400,000 for prosecution costs, which have since been paid. The statement was issued by Oliver Nzala, ZRA Manager for Corporate Communications.