ZRA DIGITALISES PAYMENT PROCESSES

By Daily News Reporter

Zambia Revenue Authority (ZRA) Corporate Communications Manager Mr. Oliver Nzala has disclosed that the Zambia Revenue Authority (ZRA) has digitalised its payment processes, with 99% of payments currently being performed electronically.

Mr. Nzala added that the milestone reflects the authority’s commitment to innovation, efficiency, transparency, and modernization in the tax payment system. The strategic shift towards electronic transactions is expected to create a streamlined, secure, and technologically advanced system for revenue collection.

He shared this through a statement were he noted that ZRA’s digitalization of payments serves a comprehensive purpose, including reducing collection costs, enhancing the taxpayer experience, mitigating fraud risks, minimizing queues, improving efficiency and accountability, and expanding payment options.

"Electronic payments (e-payments) in the Authority were introduced between 2012 and 2013 after the replacement of the Real-Time Gross Settlement (RTGS) for large payments which had marked the first step towards incorporating electronic systems into the payment framework," he stated.

Mr. Nzala narrated that the introduction of e-payments saw a modest uptick in electronic transactions, although 90% of taxpayers continued to rely on manual payment methods.

He said that by the year 2020, ZRA had successfully collaborated with all banks in the country, three major mobile network providers, and a payment integrator. This partnership marked a substantial shift towards digitalization in revenue collection as it significantly boosted the adoption of electronic payment transactions to an impressive 80% mark.

Mr. Nzala reminded that in December 2023, the Authority implemented the Integrated Payment System (IPS), leading to the introduction of customs payments on mobile platforms. This development was a significant move towards embracing digital solutions, as ZRA leveraged IPS along with platforms like TaxOnApp, TaxOnPhone, Customs Portal, TaxOnline Portal, and WhatsApp Payment.

He added that the introduction of the Integrated Payment System (IPS) has played a pivotal role in making customs payments more accessible and convenient for taxpayers through various mobile platforms.

Mr. Nzala stated that the IPS is aimed at simplifying the payment and collection of taxes by offering greater convenience to taxpayers.

The Authority is keen on process improvements that stimulate compliance by leveraging the appropriate technology to reduce the time and cost of doing business.

He said that ZRA recognizes the benefits of digitalised payment processes both to the Authority and the taxpayer. The Authority will, therefore, ensure that taxpayers are provided with improved, secure, and efficient digitalised payment processes.

Mr. Nzala revealed that digitalization has led to the closure of most cash offices receiving Domestic Taxes (DOMT) payments and re-assigning staff to other areas. The goal is to have all cash offices receiving DOMT and Customs payments go 100% and 50% electronic, respectively, by June 2024.