Zambia Act or statute

Zambia legislation

Income Tax (Amendment) Act, 1998

This provision changes the rules for tax credits and when an individual may use them. This section amends section 18 of the principal Act and restates who subsection (3) applies to. This provision…

administrative remissioncompany registrationcontractor paymentscross-border paymentsdeductionsdeductions/feesdividend taxhousingincome classificationincome taxincome thresholdinterest taxlate paymentlegislation updateloss carryforwardpenaltiesprovisional taxschedule amendmentstatutory amendmentstatutory interpretationTax lawtax administrationtax collection and recoverytax creditstax payment penaltiestax ratesTax lawwithholding tax

Jurisdiction: Zambia
Structure: 25 provisions
Citation: Act 9 of 1998
Dates: Undated source snapshot

More statute details

Dates: Undated source snapshot

Publicly available, excluded from search-engine indexing

This page remains available for direct research for the following reasons:

The record does not meet this release's canonical indexing criteria. (market-indexing-disabled)
The record does not meet this release's canonical indexing criteria. (emergency-noindex)

On this page

Professional statute overview

Enactment structure, operative effect and source provenance

Official source

Purpose and legislative effect

“This provision changes the rules for tax credits and when an individual may use them.”

This provision changes the rules for tax credits and when an individual may use them. This section amends section 18 of the principal Act and restates who subsection (3) applies to. This provision amends section 19 of the principal Act by deleting the words “subject to the provisions of subsection (I)”. The proviso in subsection (1) of section 23 is deleted. The amendment limits how long certain losses can be carried forward and treats losses brought forward as at 31 March 1997 as incurred in the year ending that date.

How the instrument operates

01
Start with the recorded version

Undated source snapshot. The date shown identifies this source expression and should not be treated as proof that no later change exists.
02
Locate the controlling provision

Use the provision map, part headings and full-text filter to move from the broad subject to the exact legal language.
03
Read conditions and exceptions together

Keep subsections, definitions, provisos and cross-references in context before drawing a legal conclusion.
04
Verify currency and official wording

Confirm later legislation, commencement notices and corrections with the official publisher before advice, filing or reliance.

Research entry points

Selected provisions across the instrument. Open any row to continue with the exact stored text.

Section fourteen of the principal Act is amended

This provision changes the rules for tax credits and when an individual may use them.

Section 3

Section forty-jive B of the principal Act is amended in

This provision amends a section of the principal Act by adding references to the Registrar of Companies and Business Names and to registration of companies and business names.

Section 9

Section seventy-eight A of the principal Act is amended

This section amends section 78A of the principal Act and says interest imposed under that section is treated as tax for collection and recovery purposes.

Section 15

Section eighty-seven of the principal Act is amended in

This provision amends section 87 of the principal Act by changing a reference in subsection (1)(c) from “seventy-eight” to “seventy-six”.

Section 20

The Annexures to the principal Act are amended

This section amends several tax annexure tables and updates rates and amounts from 1 April 1998.

Section 26

Source and current-law status

Source record view

Source record from zambialii.org · Undated source snapshot

Verify current force

The source record does not state a definitive current-law status. Check the official publisher and later amendments before relying on this text.

For advice, pleadings, or compliance decisions, retain the official source and confirm the current consolidated provision.

Official record

Source-indexed provision map

Sections and provisions

Search by section, heading, part or exact legal wording. Every result remains linked to the stored source record.

Search within this statute

Search all stored provisions in this version.

Showing 25 of 25 provisions

Amendment 10Substitution 9Repeal 6

§ 3Section fourteen of the principal Act is amendedSubstitution

This provision changes the rules for tax credits and when an individual may use them.

3. Section fourteen of the principal Act is amended- ( a) by .-the deletion of paragraph (b) and the substitution therefor of the following: �b) by any individual who is ordinarily resident in the Republic, or by every person, not beirig an individual, who is resident in the Republic, by way of interest and dividends from a source outside the Republic; (b) by the deletion of subsections (2) and (3) and the substitu tion therefor of the following: (2) Subject to the other provisions of the Act, in the case of an individual, the amount of tax which, apart from this subsection, would be charged in respect of any income received by that person in that charge year other than income which the Commissioner-General is pro hibited from including in any assessment under the proviso to subsection ( 1) of section sixty-three shall be reduced by the amount of the tax credit appropriate to such person for that charge year as specified in the Charging Schedule and that person shall be liable to pay tax for th]t charge year an amount equal to that reduced amount: Provided that any assessment of that income shall ( a) he for the whole amount of tax due before any tax credit; and (b) show the amount due and payable after the reduction by the amount of any tax credit due. (3) Any amount of tax payable before the appli cation of a tax credit shall not be reduced below zero by the tax credit and the tax credit shall not give rise to a repayment of tax. (4) The amount of a tax credit to which a person is entitled for any charge year shall not be allowed more than once against that person's income for that year. (5) An individual shall not be entitled to a tax credit except- ( a) against income provided for under section seventy-one and if the tax credit is allowed in accordance with Regulations made under that section; or (b) against income declared in a return under section forty-six; Income Tax (Amendment) [No.9 of1998 49 (c) by the re-numbering of subsection (4) as subsection (6).

Section 3Verify source

§ 4Section eighteen of the principal Act is amendedSubstitution

This section amends section 18 of the principal Act and restates who subsection (3) applies to.

4. Section eighteen of the principal Act is amended- ( a) in subsection (3) by the deletion of the words" ordinarily resident in the Republic or where a person ordinarily resident in the Republic" and the substitution therefor of " to whom this subsection applies "; (b) by the insertion after subsection (3) of the following: Amendment of section 18 (4) Subsection (3) shall apply to- ( a) any individual who is ordinarily resident in the Republic; and (b) to any person, not being an individual, who is resident in the Republic; and (c) by the re-numbering of subsection (4) as subsection (5).

Section 4Verify source

§ 5Section nineteen of the principal Act is amended in subsecAmendment

This provision amends section 19 of the principal Act by deleting the words “subject to the provisions of subsection (I)”.

5. Section nineteen of the principal Act is amended in subsec tion (I) by the deletion of the words " subject to the provisions of subsection (I) ". Amendment of section 19

Section 5Verify source

§ 6Section twenty-three of the principal Act is amended inAmendment

The proviso in subsection (1) of section 23 is deleted.

6. Section twenty-three of the principal Act is amended in subsection (1) by the deletion of the proviso.

Section 6Verify source

§ 7Section thirty of the principal Act is amened in subsectionSubstitution

The amendment limits how long certain losses can be carried forward and treats losses brought forward as at 31 March 1997 as incurred in the year ending that date.

7. Section thirty of the principal Act is amened in subsection (2) by the deletion of the proviso and the substitution thereforof the following: Amendment of section 23 Amendment of section 30 Provided that: (i) in the case of any loss incurred by any former Zambia Consolidated Copper Mining Company, the loss shall not be carried forward beyond ten subsequent years after the charge year in which the loss was incurred; (ii) in any other case, the Joss shall not be carried forward beyond five subsequent years after the charge year in which the Joss was incurred; and (iii) losses brought forward as at 31st March, 1997, shall be deemed to have been incurred in the charge year ending 31st March, 1997.

Section 7Verify source

§ 8Section forty-four. of the principal Act is amendedSubstitution

Section 44 of the principal Act is amended: paragraph (f) is deleted, the amount in paragraph (h)(iii) is changed from K20.00 to K25,000, and paragraph (I) is updated by adding "or" after "benefit".

8. Section forty-four. of the principal Act is amended- � ( a) by the deletion of paragraph (f); Amendment of section 44 50 No. 9 of 1998] Income Tax (Amendment) (b) in paragraph (h) by the deletion in sub-paragraph (iii) of the proviso of" K20.00" and by the substitution therefor of " K25,000 "; and ( c) in paragraph (I) by the addition after " benefit " of " or ". Amendment of section 45B

Section 8Verify source

§ 9Section forty-jive B of the principal Act is amended inAmendment

This provision amends a section of the principal Act by adding references to the Registrar of Companies and Business Names and to registration of companies and business names.

9. Section forty-jive B of the principal Act is amended in subsection (I) by the insertion- Amendment of section 46 ( a) in Column 1 immediately below the words " Zambia Electricity Supply Corporation Limited ", of the words "Registrar of Companie-s-·and Business Names"; and (b) in Column 2 immediately helow the words "payment of deposit for power connection ", of the words "registra tion of companies and business names ".

Section 9Verify source

§ 10Section forty-six of the principal Act is amendedSubstitution

This section amends section 46 and lets the Commissioner-General remit all or part of a penalty at his discretion.

10. Section forty-six of the principal Act is amended ( a) in subsection (2)- (i) in paragraph ( a), by the insertion at the end of the paragraph of the words " but excluding any income which cannot be assessed by virtue of the proviso to subsection ( 1) of section sixty three; (ii) in paragraph (b ), by the deletion of the words "such personal allowances ", and by the substitution therefor of" any "; and (b) by the deletion in subsection (4) of the proviso and the substitution therefor of the following: Provided that the Commissioner-General may in his discretion remit the whole or part of any such penalty. Amendment of section 46A

Section 10Verify source

§ 11Section forty-six A of the principal Act is amendedSubstitution

This provision amends section 46A by adding “and tax,” replacing “other than” with “including,” and raising the amount from 600,000 Kwacha to 840,000 Kwacha.

11. Section forty-six A of the principal Act is amended ( a) in subsection (1)-- (i) by the addition of the words " and tax " after " Provisional income "; (ii) by the deletion of the words "other than " and the substitution therefor of the word " including "; and (b) in the proviso to subsection (1) by the deletion of the words " six hundred thousand Kwacha " and the substitution therefor of the words" eight hundred and forty thousand Kwacha ". Amendment of section 63

Section 11Verify source

§ 12Section sixty-three of the principal Act is amended inSubstitution

The provision amends subsection (I) of section sixty-three by replacing the words “interest or royalties” with “interest, royalties or any management or consultancy fee.”

12. Section sixty-three of the principal Act is amended in subsection (I), by the deletion in paragraph (iv) of the words " interest or royalties " and the substitution therefor of " interest, royalties or any management or consultancy fee ". Income Tax (Amendment) [No.9 of1998 51

Section 12Verify source

§ 13Section seventy-one of the principal Act is amendedAmendment

This section amends section 71 of the principal Act by deleting subsection (4) and removing the words “personal allowances” from subsection (8).

13. Section seventy-one of the principal Act is amended ( a) by the deletion of subsection (4); and Amendment of section 71 (b) by the deletion in subsection (8) of the words " personal allowances ".

Section 13Verify source

§ 14Section seventy-eight of the principal Act is amendedSubstitution

Late payment of tax or provisional tax can trigger a monthly penalty of 5% on the unpaid amount.

14. Section seventy-eight of the principal Act is amended ( a) by the deletion of subsections (1), (lA), lB and(2) and by the substitution therefor of the following: Amendment of section 78 ( 1) Any person who fails to pay any amount of tax within one month of the date on which, under section seventy-seven that payment is due, shall be liable to the penalty specified in subsection (3). (2) Any person who fails to pay any amount of provisional tax within fourteen days of the date on which under section seventy-seven, that payment is due, shall be liable to the penalty specified in subsec tion (3). (3) Any person who fails to pay any amount of tax or provisional tax under subsections ( 1) and (2) shall be liable to pay in respect cif each month during which that amount or any part of it remains unpaid · an amount equal to five per cent of that amount or so much of it as remains unpaid during the month in question. ( 4) Wliere any person contravenes more than one provision of this Act in respect of tax or provisional tax on the same income in respect of the same period of time, that person shall be liable to pay only one penalty under this section in respect of those contra ventions; (b) by the deletion in subsection (4) of the words " and subsection (2) " and ( c) by the renumbering of subsections (3), (4), (5), (6), (7) and (8) as subsections (5), (6), (7), (8), (9) and (10) respec tively;

Section 14Verify source

§ 15Section seventy-eight A of the principal Act is amendedRepeal

This section amends section 78A of the principal Act and says interest imposed under that section is treated as tax for collection and recovery purposes.

15. Section seventy-eight A of the principal Act is amended- ( a) in subsection (1) by the addition after" overdue" of" as specified in regulations made under sections seventy o�e and"; (b) by the insertion immediately after subsection (3) pf the following new subsection: ( 4) Any interest imposed under this section shall, for the purposes of this Act relating to collection and recovery, be deemed to be tax. Amendment of section 78A 52 No. 9 of 1998] Income Tax (Amendment) Repeal of section 80 Amendment of section 81

Section 15Verify source

§ 16The principal Act is amended by the repeal of sectionRepeal

This provision repeals section eighty of the principal Act.

16. The principal Act is amended by the repeal of section eighty.

Section 16Verify source

§ 17Section eighty-one of the principal Act is amendedAmendment

This section amends section 81 of the principal Act by deleting specified words and subsection (7), and notes insertion of a new section 81A on deduction of tax from payment made to a non-resident contractor.

17. Section eighty-one of the principal Act is amended- (a) in subsection (I) by the deletion of the words " pioneer industry dividend " and of the words " paragraph ( a) of"; and (b) by the deletion of subsection (7). In sertion of new section SIA Deduction of tax from pay ment made to non-resident contractor

Section 17Verify source

§ 18The principal Act is amended by the insertion immediatelyAmendment

This section amends the principal Act by inserting a new section after section 81.

18. The principal Act is amended by the insertion immediately after section eighty-one of the following new section: '

Section 18Verify source

§ 81A(!) Every person or partnership on making anyAmendment

Anyone or any partnership paying a non-resident contractor for construction or haulage work must deduct tax before any other deductions and then account for it.

81A. (!) Every person or partnership on making any payment on or after !st April, 1998, to or on behalf of a non resident contractor in respect of .construction or haulage operations, irrespective of whether such payment is made outside the Republic or not, shall, before making any other deductions whatsoever, deduct tax from such payment at the rate specified in Annexure L of Part III of the Charging Schedule and that person or partnership shall account for such tax as if it were a payment subject to Part VI of the Act. (2) For the purposes of this section- ( a) " non-resident contractor" means- (i) an individual, who is neither resident nor ordinarily resident in the Republic; or (ii) any other person or partnership who is not resident in the Republic and who does not have a permanent establishment in the Republic; (b) a partnership shall be resident in the Republic (i) if the partners are resident or ordinarily resident in the Republic; or (ii) if they are not all resident or ordinarily resident in the Republic, where the majority of the partners are resident or ordinarily resident in the Republic; ( c) " construction operations " include- (i) the erection, alteration, maintenance, repair, extension or demolition of any building or structure, whether permanent or not; Income Tax (Amendment) [No,9 of1998 53 (ii) the installation in any building or structure of heating, elevators, air conditioning, ventilation, power, drainage, sanitation, water or fire protection, or like supplies or services; (iii) the painting or decorating of the internal or external surfaces of any building or struc nne; (iv) any operations which are an integral part of, or prior to, or which render complete, the operations described in paragraphs (i) to (iii) of this subsection; and ( d) " haulage operations " includes transportation by land, water or airof persons, livestock or any goods whatsoever including farm produce, or produce of a like nature, or ores and minerals, food stuffs and merchandise.

Section 81AVerify source

Part

Schedule and that person or partnership shall account for such

§ 19The principal Act is amended by the repeal of sectionRepeal

This section amends the principal Act by repealing section 81C.

19. The principal Act is amended by the repeal of section eighty-one C.

Section 19Verify source

§ 20Section eighty-seven of the principal Act is amended inRepeal

This provision amends section 87 of the principal Act by changing a reference in subsection (1)(c) from “seventy-eight” to “seventy-six”.

20. Section eighty-seven of the principal Act is amended in subsection (1) ( c) by the deletion of the word" seventy-eight" and the substitution therefor of the word " seventy-six ". Repeal of section SIC Amendment of section 87

Section 20Verify source

§ 21Section one hundred and two of the principal Act isAmendment

This section amends section 102 of the principal Act to treat references to income or tax as including provisional income and provisional tax.

21. Section one hundred and two of the principal Act is amended by the insertion immediately after subsection (2) of the following new subsection- Amendment of section 102 (3) Any reference in this section .to income or tax includes a reference to provisional income and provisional tax;respectively.

Section 21Verify source

§ 22The principal Act is amended by the repeal of section oneRepeal

Section 22 repeals section 115 of the principal Act.

22. The principal Act is amended by the repeal of section one hundred and fifteen.

Section 22Verify source

§ 23The Second Schedule to the principal Act is amended byAmendment

This provision amends the Second Schedule to the principal Act by deleting sub-paragraphs (i) and (o) in paragraph 7.

23. The Second Schedule to the principal Act is amended by the deletiop in paragraph 7 of sub-paragraphs (i) and (o).

Section 23Verify source

§ 24The Fifth Schedule to the principal Act is amendedRepeal

This section amends the Fifth Schedule and changes the rules for certain housing-related tax treatment.

24. The Fifth Schedule to the principal Act is amended- ( a) by the deletion in paragraph 1 of sub-paragraph (4) and the substitution therefor of the following: (4) Any building constructed or acquired by a person to provide housing for the purposes of that person's business is an industrial building for the purposes of this Part: Repeal of section 115 Amendment of Second Schedule Amendment of Fifth Schedule . ' . 54 No. 9 or 1998] Income Tax (Amendment) Provided that- (i) the cost for each housing unit does not exceed K2,000,000 (in this paragraph referred to as low cost housing); (ii) this sub-paragraph shall have effect in rela tion to expenditure incurred on or after 1st April, 1 9 9 7; (b) in paragraph 2 3 by the deletion of the proviso and the substitution therefor of the following: Provided .that- (i) the amount of tax which would otherwise be payable by such person in that charge year is not reduced by more than twenty per centum as a result of this deduction; and (ii) item (i) shall not apply to any former Zambia Consolidated Copper Mining Company.

Section 24Verify source

Part

Schedule

§ 25The Charging Schedule to the principal Act is amendedAmendment

This section amends the Charging Schedule so that income determined by the Commissioner-General to come from chemical manufacture of fertilizer is taxed at a maximum rate of 15%.

25. The Charging Schedule to the principal Act is amended ( a) in sub-paragraph (b) of paragraph 10 by the insertion after item (v) of the proviso of the following new item: (vi) the maximum rare of tax on that portion of income which is determined by the Commissioner General as originating from the chemical manufacture of fertilizer shall be fifteen per cent; and Amendment of Charging Schedule (b) in paragraph 1 1 by the insertion after item (iv) of the proviso of the following new item:. ( v) the maximum rate of tax on that portion of income which is determined by the Commissioner General as originating from the chemical · manufacture of fertilizer shall be fifteen per cent. Amendment of Annexurcs

Section 25Verify source

§ 26The Annexures to the principal Act are amendedSubstitution

This section amends several tax annexure tables and updates rates and amounts from 1 April 1998.

26. The Annexures to the principal Act are amended- ( a) in Annexure A in Part II by the deletion of Table 3 and the substitution therefor of the following: TABLE 4 With effect from 1st April, 1998 Individual tax credit under sub-paragraph 9 (1) ................. . . . . . . . . . . . . . . . . K 8 4,000 (b) in Annexure H by the deletion of Table 8 and the substi- tution therefor of the following: ' ; ' • Income Tax (Amendment) [No. 9 of 1998 55 TABLE 9 With effect from ]st April, 1998 Any dividend paid by any former Zambia Consolidated Copper Mining Company; and Any other dividend Rate per centum 10% 15% ( c) in Annexure G by the deletion of Table 8 and ,the substitution therefor of the following: TABLE 9 With effect from ]st April, 1998 Any interest paid by any former Zambia Consolidated Copper Mining Company; and Any other interest Rate per centum 10% 15% (d) by the insertion after Annexure K of the following: ANNEXURE L TABLE 1 With effect from 1st April, 1998 Withholding tax rate on payments made to a non-resident contractor under section eighty-one A. Rate per centum 15% 56 ' '

Section 26Verify source

Legislative relationships

6 referenced instruments

Names are derived from the stored provision headings and citation-enrichment layer. Treat this as a research index and verify each relationship against the source text.

A–F

1 instrument

a section of the principal Act
Section 9

N–S

5 instruments

of section one Section 22 repeals section 115 of the principal Act
Section 22
of section This provision repeals section eighty of the principal Act
Section 16
of section This section amends the principal Act
Section 19
principal Act
Sections 4, 5, 13, 15, 17, 18, 20, 21
Second Schedule to the principal Act
Section 23

Recorded versions and source checkpoint

1 version available in this collection

Current-law checkpoint

Undated version · currentEnglish

This relationship view does not by itself establish whether another instrument remains in force.

Check official source

Source-linked research

Ask AI about this statute

The overview, provisions, and source records above are public. Continue in a separate conversation with this statute’s jurisdiction and source version attached.

Explore more