Sales Tax Forum
As you may be aware, earlier this month the Sales tax bill passed first reading in parliament. Cabinet approved the publication and introduction of the Sales Tax Bill and the Income Tax Amendment Bill of 2019, to parliament. This bill has a number of objectives such as providing for the registration and de-registration of taxable suppliers; provide for the use of electronic devices, equipment or any other devices; provide for the collection of sales tax; repeal and replace the Value Added Tax Act, 1995; and provide for matters connected with, or incidental to, the foregoing.
The Second reading of the Sales tax bill is anticipated to be sometime in June. Currently, the Sales Tax Bill has been referred to the Joint committee comprising the Budget Committee and the Committee on National, Economy, Trade and Labour Matters for scrutiny. As Part of the Consultative Process, the Committee resolved to request ZACCI to appear before the committee on 15th May, 2019.
The Government now intends to implement Sales tax on the 1st July 2019. With many concerns still looming over the implementation and ramifications of the Sales tax, ZACCI is proactively playing its role of advocacy to ease private sector fears, remedy possible flaws in the legislation and constructively provide perspective for public officials to consider in its implementation.
ZACCI is in the process of actively engaging both the private sector and Government in this matter and will thus hold a Sales Tax consultative meeting from 9hrs to 11hrs, on Thursday 2nd May at Protea Hotel.