News / Local
'Pirate taxis 'stealing' our business'
08 Dec 2014 at 08:49hrs | Views
KOMBI operators have urged the government to put in place stiffer penalties for pirate taxi owners amid revelations that they are pushing them out of business.
This has made it difficult for licensed operators to remit the $150 presumptive tax to the Zimbabwe Revenue Authority. Bulawayo Public Transport Association (Bupta), secretary general Albert Ncube told The Chronicle yesterday that current sentences weren't deterrent enough to pirate taxi owners who illegally pick up passengers.
"We're urging the government to come up with deterrent sentences, such as custodial sentences of six months to pirate taxi owners.
"They're cheating government as they're making money without paying any cent as tax. Most of these kombis haven't paid tax because of poor business caused by pirate taxis," Ncube said.
He said pirate taxi owners were making more money than them as they have a profit of about $40 per day after fuel expenses while kombis were making $15.
"These pirate taxis make close to $40. They don't pay anything to government but kombi operators which make $15 to $20 per day are required to pay tax," Ncube said.
He said though the police from time to time arrest the pirate taxi drivers, it wasn't useful as they only paid admission of guilt fines which range from $20 to $30 and continue taking away business from them.
"For one to register a kombi, you must pay $75 for a route permit, route approval to the city council is $89, an operator's licence costs $140, certificate of fitness which may require one to part with $300, and $20 for the vehicle licence disc.
"The pirate taxi owners don't meet these expenses," Ncube said adding that government needed to reward kombi operators who observe the laws.
This has made it difficult for licensed operators to remit the $150 presumptive tax to the Zimbabwe Revenue Authority. Bulawayo Public Transport Association (Bupta), secretary general Albert Ncube told The Chronicle yesterday that current sentences weren't deterrent enough to pirate taxi owners who illegally pick up passengers.
"We're urging the government to come up with deterrent sentences, such as custodial sentences of six months to pirate taxi owners.
"They're cheating government as they're making money without paying any cent as tax. Most of these kombis haven't paid tax because of poor business caused by pirate taxis," Ncube said.
"These pirate taxis make close to $40. They don't pay anything to government but kombi operators which make $15 to $20 per day are required to pay tax," Ncube said.
He said though the police from time to time arrest the pirate taxi drivers, it wasn't useful as they only paid admission of guilt fines which range from $20 to $30 and continue taking away business from them.
"For one to register a kombi, you must pay $75 for a route permit, route approval to the city council is $89, an operator's licence costs $140, certificate of fitness which may require one to part with $300, and $20 for the vehicle licence disc.
"The pirate taxi owners don't meet these expenses," Ncube said adding that government needed to reward kombi operators who observe the laws.
Source - Chronicle
