CHAPTER 340
PROPERTY TRANSFER TAX ACT

Arrangement of Sections

   Section

   1.   Short title

   2.   lnterpretation

   3.   Functions and powers of Commissioner

   4.   Property transfer tax

   5.   Realised value

   6.   Exemptions

   7.   Liquidators, receivers, trustees in bankruptcy etc.

   8.   Transfer by agents, mortgages etc.

   9.   Returns, notices, etc.

   9A.   Penalties under the lncome Tax Act to apply

   9B.   Transactions designed to avoid tax liability.

   10.   Objections and appeals

   11.   Payment of tax and penalty for late payment

   12.   Recovery of tax

   12A.   Tax information exchange agreements and mutual assistance in tax matters

   13.   Regulations

AN ACT

to provide for the charging and collection of a tax based on the value realised from the transfer of certain property in the Republic; and to provide for matters connected with or incidental to the foregoing.

[30th March, 1984]

Act 12 of 1984,

Act 4 of 1986,

Act 11 of 1987,

Act 28 of 1990,

Act 4 of 1994,

Act 4 of 2002,

Act 4 of 2003.

Act 3 of 2005,

Act 4 of 2009,

Act 50 of 2010,

Act 13 of 2012,

Act 14 of 2013,

Act 9 of 2014.

1.   Short title

This Act may be cited as the Property Transfer Tax Act.

2.   lnterpretation

   (1) ln this Act, unless the context otherwise requires—

[“Commissioner” rep by s 2(a) of Act 4 of 2002.]

“Commissioner-General” means the Commissioner-General appointed under section 19 of the Zambia Revenue Authority Act;

[Ins by s 2(b) of Act 4 of 2002.]

"group of companies" means a holding company together with all its subsidiaries;

[Ins by s 2(a) of Act 13 of 2012.]

"holding company" means a company that—

      (a)   holds the majority of the voting rights in another company;

      (b)   is a member of another company and controls a majority of the voting rights on its own or pursuant to an agreement entered into with the other members; or

      (c)   is a member of another company and controls, and has the right to appoint or remove a majority of, the board of directors in that other company;

[Ins by s 2(a) of Act 13 of 2012.]

“immediate family” means a spouse, child, duly adopted child or step-child;

“land” includes any building, structure or other improvement thereon;

"mining right" has the meaning assigned to it in the Mines and Minerals Development Act, 2008;

[Ins by s 2(a) of Act 13 of 2012.]

“person” includes a partnership;

“property” means—

      (a)   any land in the Republic;

      (b)   any share issued by a company incorporated in the Republic; or

      (c)   a mining right issued under the Mines and Minerals Development Act, 2008, or an interest therein.

[Subs by s 2(b) of Act 13 of 2012.]

“realised value” means the value, as calculated in accordance with the provisions of section five, of any property liable to tax;

“Registrar” means—

      (a)   the person appointed as Registrar under section 366 of the Companies Act; and

      (b)   the person appointed as Registrar under section three of the Lands and Deeds Registry Act and includes an Assistant Registrar and any person appointed to act in any of such capacities;

[Subs by s 2 of Act 3 of 2005.]

“share” includes any stock or any certificate or warrant relating to any share or stock; “tax” means the property transfer tax charged under this Act;

“transfer”

      (a)   in relation to land, excludes—

      (i)   letting or sub-letting;

      (ii)   leasing, under-leasing or sub-leasing, for a period of less than five years;

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