The Zambia Revenue Authority (ZRA) says it will recover more than K10.7 million in evaded Value Added Tax after the Economic and Financial Crimes Court convicted United Chemicals Zambia Limited of tax evasion.
ZRA Corporate Communications Manager Oliver Nzala says the company was ordered by the court to pay the tax amount after admitting guilt to multiple charges related to the submission of false tax returns.
Appearing before the Economic and Financial Crimes Court in Ndola on January 19, 2026, before Honourable Tamara Kakusa, United Chemicals Zambia Limited pleaded guilty to eight counts of furnishing false returns and statements. The court convicted the company and fined it K40,000, payable within 14 days, with a warrant of distress to be issued in default.
In addition to the fine, the court ordered the company to pay the full K10.7 million in evaded Value Added Tax and to compensate the State with K400,000 for prosecution costs, which has since been paid.
Mr. Nzala further added that between July 1, 2022, and March 31, 2023, in Ndola, the company, in collusion with persons unknown, submitted false declarations to the Authority, falsely claiming that several containers of cooking oil had been exported to Choice Services (Sarl) in the Democratic Republic of Congo.
The Authority also explained that the company submitted falsified returns that included zero-rated sales amounting to over K19.1 million, resulting in a loss of government revenue in the form of Value Added Tax exceeding K10.7 million, contrary to the provisions of the Customs and Excise Act.
By Rachel Mumba
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