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Accounting and accounting rules in Zambia

Accounting Rules

Tax Year
The tax year is the calendar year.
Accounting Standards
The Zambia Institute of Chartered Accountants (ZICA) has adopted different reporting and auditing requirements according to the type of company, divided as follows:
- listed companies, public interest entities and government-owned enterprises must use full IFRSs and must be audited.
- “economically significant companies” that are not in the first tier and have annual turnover equal to or exceeding ZMK 20 billion (approximately USD 4 million) can choose between using the IFRS for SMEs or full IFRS, and they must be audited.
- micro and small enterprises with annual turnover below ZMK 20 billion (approximately USD 4 million) will use the Zambian Financial Reporting Standard for Micro and Small Entities, and auditing is not mandatory.
Accounting Regulation Bodies
Zambia Institute of Chartered Accountants (ZICA)
Zambia Ministry of Finance
Accounting Reports
Financial statements must include:
Statement of financial position
Statement of profit and loss and other comprehensive income
Statement of changes in equity
Statement of cash flows
Notes to financial statements

If a company has one or more subsidiaries, it shall prepare consolidated financial statements within six months after the end of its financial year.
Publication Requirements
All companies are required to submit annual returns to the Registrar of Companies within three months after the end of the financial year or one month after the Annual General Meeting if it is held within three months after the financial year.
Public interest entities (PIEs), listed companies and government-owned companies are required to prepare financial statements in accordance with the Companies Act 2017.
Professional Accountancy Bodies
Zambia Institute of Chartered Accountants (ZICA)
Certification and Auditing
Financial statements, except those of private limited companies meeting certain thresholds (i.e. micro and small enterprises with annual turnover below ZMK 20 billion), are required to be audited annually.
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Latest Update: September 2022

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