DigiTax, a company from Kenya that helps businesses follow tax rules with its eTims tax system, is now starting its work in Zambia. This is happening because Zambia recently decided to use electronic invoicing for taxes.
On Thursday, September 12, Gilbert Lungu was announced as the new country manager for DigiTax in Zambia. Lungu has a lot of experience in this area, having worked in various roles like Sales and Marketing Manager at MTN Business Zambia, National Enterprise Sales Manager at MTN, Head of Enterprise Sales at Airtel Zambia, Country Manager at Cellulant Zambia, and Commercial Consultant for Hobbiton Technologies Limited, a local tech company.
DigiTax’s goal is to help businesses in Zambia follow new rules about Smart Invoices. These rules, part of the Value Added Tax (Amendment) Act No. 27 of 2023, will start on Monday, July 1, 2024. They require companies to use Smart Invoices to make tax reporting easier and reduce fraud.
The Zambian government introduced these rules to make it simpler for businesses to comply with tax regulations and to help the government collect more revenue. The new system will manage invoices and inventory data electronically, sending information straight to the Zambia Revenue Authority (ZRA).
Before this, businesses in Zambia used Electronic Fiscal Devices (EFDs) to record transactions and send details to tax authorities. EFDs were only used for VAT and Insurance Premium Levy (IPL), but Smart Invoices will cover more taxes and fees, including VAT, Sales Tax, Rental Income, IPL, Tourist Tax, and Local Electricity Consumption Tax.
Caine Wanjau, CEO of Namiri Technology Limited, said on Friday, September 6, that DigiTax’s expansion is a big step forward. He is excited about helping Zambian businesses follow the new e-invoicing rules and tax regulations.
DigiTax provides a complete solution with a user-friendly Dashboard, easy system-to-system integration with existing business tools, and full compliance with ZRA rules. The company will be competing with other ZRA-approved software vendors for Smart Invoice integration, including Zamcube ERP Solution, ISHYGA, and EBIZFRAME.
This new development is a key part of Zambia’s digital transformation and brings it in line with other African countries that have adopted electronic invoicing, like Burundi, Cape Verde, Egypt, Ghana, Kenya, and Mauritius.
