Seven taxpayers are set to be taken to court for failing to use the mandatory Smart Invoice system, as the Zambia Revenue Authority (ZRA) steps up enforcement against non-compliance.
ZRA Corporate Communications Manager Oliver Nzala says the action is part of intensified efforts to ensure all registered businesses fully adopt and use the electronic invoicing system.
Mr Nzala says although more than 44,000 businesses have registered for Smart Invoicing, some are not using it correctly or are still issuing non-compliant invoices, which is against the law.
He says failure to issue Smart-compliant invoices is a serious offence under the VAT Act and attracts penalties, including fines of up to K120,000 or imprisonment of up to three years.
According to Mr Nzala, ZRA has increased field inspections to check compliance and identify businesses with irregular or incomplete transaction reporting.
He has urged businesses to comply fully, saying Smart Invoicing is now a key requirement for doing business in Zambia and helps improve transparency and tax collection.
By Best Jere
