Corporate Income Tax in Zambia (2026)

1. Corporate Income Tax: Purpose and Legislative Framework

Corporate income tax in Zambia is imposed on income liable to tax under the Income Tax Act, Chapter 323 of the Laws of Zambia . The Act charges tax on income received or accrued in Zambia, income deemed to arise in Zambia, and other income brought within the charge by statute. The applicable treatment depends on the taxpayer's legal status, residence, source of income, business activity, sector, and the relevant Charging Schedule provision .

Because the tax charge is determined by reference to the charge year in which income arises, the applicable statutory provisions, rates, exemptions, and filing obligations must be considered for each specific charge year. The Zambia Revenue Authority administers the registration, filing, payment, assessment, and collection of corporate income tax.

2. Taxpayers Within the Corporate Income Tax Regime

Corporate income tax is generally applied to companies and other persons who are not individuals. Applicability is further determined through the combined analysis of residence, source and activity.

Source and residence are separate questions. A non-resident company may be subject to Zambian income tax without becoming resident in Zambia. Tax exposure may arise where income is derived from a Zambian source, is deemed to arise in Zambia or is attributable to a Zambian permanent establishment. A resident company may have foreign-source income requiring analysis under the foreign-income, treaty and foreign-tax-credit provisions.

3. Corporate Income Tax Rates and Special Rate Treatments

The ordinary corporate income-tax rate for a person other than an individual is 30%. The rate was reduced from 35% to 30% by Act No. 43 of 2021 with effect from 1 January 2022.

Classification	Rate	Notes
Ordinary company	30%	Standard rate for companies other than electronic communications licensees
Electronic communications network or service licensee	35%	Qualifying electronic communications network or service licensee
Public benefit organisation — business income	15%	Profit of a business carried on by a public benefit organisation; not exempt under Second Schedule
Trust / deceased's estate / bankrupt's estate	30%	Standard rate for these entity types
Rural enterprise	Reduced by 1/5 for first 5 charge years	Effective rate of 24% for first 5 charge years (20% reduction from standard rate)
Farming and agro-processing	10%	Qualifying farming income or agro-processing income
Non-traditional exports — general	20%	Commissioner-General determination; excludes minerals, electricity, services, unpermitted cotton lint
Non-traditional exports from farming or agro-processing	10% maximum	Commissioner-General determination; qualifying source, product and export conditions
Fertiliser manufacturing	15% maximum	Production of organic fertiliser and chemical manufacture of fertilizer
Letting of property — turnover up to K30,000	0%	Maximum rate for turnover not exceeding thirty thousand Kwacha
Letting of property — turnover K30,001–K800,000	4%	Maximum rate for turnover between thirty thousand and eight hundred thousand Kwacha
Letting of property — turnover above K800,000	16%	Maximum rate for turnover exceeding eight hundred thousand Kwacha
Manufacture of products from copper cathodes	20%	Company income from manufacturing products made out of copper cathodes
Accommodation and food services	15% maximum	Charge years 2021–2022 only; time-limited treatment
Ceramic products manufacturing	0% maximum	Charge years 2022–2023 only; time-limited treatment
ZDA-approved exports from MFEZ/industrial park — years 1–10	0%	Business enterprise approved by ZDA carrying on manufacturing activities in MFEZ or industrial park
ZDA-approved exports from MFEZ/industrial park — years 11–13	50% of standard rate	Same as above; profits earned in years eleven to thirteen
ZDA-approved exports from MFEZ/industrial park — years 14–15	75% of standard rate	Same as above; profits earned in years fourteen and fifteen
ZDA-approved agro-processing corn starch in MFEZ/industrial park — years 2023–2032	0%	Agro-processing business approved by ZDA manufacturing/processing corn starch
ZDA-approved agro-processing corn starch in MFEZ/industrial park — years 2033–2035	50% of standard rate	Same as above
ZDA-approved agro-processing corn starch in MFEZ/industrial park — years 2036–2037	75% of standard rate	Same as above
Value addition to gemstones	25% maximum	Value addition through lapidary and jewellery facilities
Special purpose vehicle — general PPP	15%	SPV undertaking PPP project under Public-Private Partnership Act, 2023; first 5 profit years
Special purpose vehicle — railway PPP	0% / 10% / 12% / min(30%, standard rate)	Years 1–5: 0%; years 6–15: 10%; years 16–25: 12%; years 26–28: lower of 30% or standard rate
Cotton seed production or ginning	0% for first 5 charge years	Producer of cotton seed or from ginning of cotton
Spinning cotton / weaving thread	0% for first 10 charge years	Income earned from spinning of cotton and weaving of thread
Non-resident company	Same as resident company rates	Not separately stated in Charging Schedule; taxed on Zambian source income including deemed Zambian income and permanent establishment profits
Company listed on the Lusaka Securities Exchange	2% below standard company rate	First-year listing; additional 5% reduction if one-third of shares offered to indigenous Zambians in the year of listing
Minimum alternative tax (MAT)	1% of total turnover	Applies to person or partnership in addition to maximum rate of tax on income; credit against income tax liability; 5-year carry-forward; exclusions: presumptive/turnover taxpayers and railway SPVs for first 12 years

4. Registration and Administration

A taxpayer identification number (TPIN) is required for persons liable to tax and for specified transactions under the Act.

Registration is required for income tax when the taxpayer becomes liable. Changes in business activity, residence, branch structure, ownership or tax status are required to be reported where required by the Act or the ZRA registration process.

A company’s corporate income-tax records are required to be maintained in the form and for the period prescribed by the Act. Additional records may be required for transfer pricing, electronic transactions, electronic fiscal devices and sector-specific obligations.

Accounting profit is not identical to taxable income. Accounting records are used as the basis for preparing the tax return, but the statutory treatment of income, expenditure, allowances, exemptions and losses is applied separately.

5. Provisional Tax, Returns and Payment Deadlines

Provisional income tax

A company’s provisional-tax position is based on an estimate of income liable to tax and the corresponding provisional tax for the charge year. A revised provisional position is required where the original estimate becomes substantially incorrect because of changed circumstances.

Provisional income-tax return filing deadlines

The provisional income-tax return is required to be filed by the applicable electronic or manual deadline. These filing deadlines are separate from the provisional-tax payment dates.

Filing method	Provisional income-tax return deadline
Electronic	31 March of the charge year to which the return relates
Manual	5 March of the charge year to which the return relates

A person who registers for income tax after the applicable provisional-return filing deadline is required to submit the provisional return within 90 days of registration.

Provisional-tax instalments and payment deadlines

Provisional tax is paid in four equal instalments on the statutory instalment dates. ZRA’s payment-due-date guidance states that each instalment is payable on or before the tenth day following the end of the relevant quarter.

Instalment	Due date	Payment Deadline
First quarter	31 March	10 April
Second quarter	30 June	10 July
Third quarter	30 September	10 October
Fourth quarter	31 December	10 January of the following year

Each instalment is one quarter of the provisional tax shown in the return. For a person registering after 31 March of a charge year, payment of the provisional tax is due within 90 days from the date of registration.

Annual income-tax return

The annual income-tax return is required to be filed by the applicable electronic or manual deadline:

Filing method	Annual income-tax return deadline
Electronic	21 June following the end of the charge year
Manual	5 June following the end of the charge year

Tax payable for the charge year is due and payable on 21 June immediately following the end of the charge year. Provisional-tax payments made for that charge year may be deducted from the amount due.

The annual return is submitted together with the computation, supporting schedules and other information required by the Act and the ZRA filing process.

References

1. **Income Tax Act, Chapter 323 of the Laws of Zambia.** Republic of Zambia; consolidated text reviewed through ATLA. ATLA consolidated Chapter 323 · Official Parliament PDF

2. **Act No. 43 of 2021 — Income Tax (Amendment) Act, 2021.** Republic of Zambia. Official Parliament PDF

3. **Act No. 22 of 2024 — Income Tax (Amendment) Act, 2024.** Republic of Zambia; commenced 1 January 2025. Official Parliament PDF

4. **Act No. 10 of 2025 — Income Tax (Amendment) Act, 2025.** Republic of Zambia. Official Parliament PDF

5. **Act No. 17 of 2025 — Income Tax (Amendment) (No. 2) Act, 2025.** Republic of Zambia; commenced 1 January 2026. Official Parliament PDF

6. **Income Tax — Zambia Revenue Authority.** ZRA tax information

9. **Act No. 10 of 2012 — Income Tax (Amendment) Act, 2012.** Official source linked on the parent reference page. Official amendment source

10. **Act No. 24 of 2022 — Income Tax (Amendment) Act, 2022.** Official source linked on the parent reference page. Official amendment source

11. **Act No. 19 of 2015 — Income Tax (Amendment) Act, 2015.** Official source linked on the parent reference page. Official amendment source

12. **Zambia Revenue Authority — Payment Due Dates.** Official ZRA payment due dates