Who registers and why: If your business makes taxable supplies and your annual turnover reaches K800,000 or more, you must register for VAT with the Zambia Revenue Authority (ZRA). Once registered, you will charge VAT (at the standard rate of 16%) on your sales, reclaim VAT you have paid on business purchases, and send the difference to ZRA each month. Note: even if you are on Turnover Tax, you may still need to register for VAT if your taxable supplies meet the threshold, so check with ZRA if you are unsure.
What you need to bring: Gather your active Tax Payer Identification Number (TPIN), your PACRA business registration certificate, your bank details, and a record of your expected annual turnover. You will apply through the ZRA online portal.
The registration process: Log in to the ZRA portal and select VAT as your tax type. Once approved, you must issue all invoices through ZRA's Smart Invoice electronic system. You will file a monthly VAT return; confirm the filing deadline (commonly the 18th of the following month) directly with ZRA when you register. You can also register voluntarily if you are below the K800,000 threshold.
Before you start: Confirm the current VAT rate, the registration threshold, and all filing deadlines on the official ZRA portal, as these may change with each budget. The legal basis for VAT registration is the [Value Added Tax Act, Cap. 331].