Wednesday July 4, 2018

Reforming mobile sector taxation in Zambia 2018

Person looking at mobile phone smiling, light is reflecting on face in dark room

Mobile telephone services are playing an increasingly important role in supporting economic growth and social inclusion across the world. Mobile penetration, and specifically 3G and 4G penetration, enhance digital connectivity by expanding internet and broadband access, which in turn facilitates the reduction of barriers for trade, commerce, communication, service delivery, and human development.

Examples of these benefits are seen in the form of financial inclusion via mobile payment platforms, digitally-enabled local entrepreneurship, innovative health and education delivery systems, and growing numbers of e-government initiatives.

This report analyses recent developments and the tax structure in the mobile market of Zambia sets out potential options for tax policy reform and estimates the impacts of these policy options on: the mobile sector, the wider economy, and the Government’s fiscal position.

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