Sun, 18 Feb 2018 11:53:54 +0000
… Avoiding Tax is tantamount to terrorism.
By AARON CHIYANZO
A TAX system where very few people contribute to national coffers amid high poverty levels is tantamount to practicing terrorism, 3rd Liberation Movement (3rd LM) president Enock Tonga has charged.
Mr Tonga reiterated that the role of government in the distribution of income was relegated to the collection of taxes using a good tax system.
He said a tax system that always overburdens the few responsible business houses had dented the image of the country and negatively impacted the investment climate.
The opposition party leader was reacting to sentiments in some quarters that it was unfair for government to penalise some business houses because of tax evasion or avoidance.
He pointed out that a tax regime which only captured few people was very discouraging to tax payers, discriminatory and punitive.
Mr Tonga said such a tax system was also full of loopholes and disadvantaged the poor populous.
“Many have successfully avoided and evaded tax remittances thereby depriving our country of much needed revenues.
“Lower revenue collection that emanates from implementing a bad tax system has severely resulted into the government failing to provide quality public goods and services and transfer of payment, business as usual budget planning which at all times resulted into budget deficit,” he said.
Mr Tonga said that tax evaders should not be tolerated and that there was need for the country to have a good tax policy roadmap.
He commended government for taking punitive action against all erring business houses, adding that they would serve as an example to others.
