Zupco appeals to Zimra

Daniel Nemukuyu Senior Reporter
THE Zimbabwe United Passenger Company (ZUPCO), whose 50 brand-new buses are bonded over non-payment of import duty, has appealed to the taxman to release some of the buses to allow the firm to quickly raise funds to settle the debt.

Zupco was charged $50 000 duty for each of the buses imported from China, but since February this year, the buses have been gathering dust in a bonded warehouse due to the company’s failure to raise the required $2,5 million.

The company’s chief executive, Mr Clifford Muwoni, said they have since written to the Zimbabwe Revenue Authority (ZIMRA) seeking the release of the buses in batches of 10 upon payment of duty in respect of the same number of buses.

Mr Muwoni said business was low because the buses that should be raising money to clear the debt and to fund the company’s operations have been parked for close to six months.

“We have written to Zimra seeking the release of the buses in batches of 10 at a time, upon payment of duty, but we are still waiting for their response.

“When we wrote the letter, Zimra promised us to respond within a week but they did not do so.

“It is only today (yesterday) when we received something from them simply acknowledging receipt of our request.

“Zimra, in today’s letter, said it will respond to our request in due course,” he said.

“The release of the buses is the only way we can clear the Zimra debt in time and to ensure the growth of the company. We hope Zimra will grant our request,” said Mr Muwoni.

When Zupco failed to raise the $2,5 million, it negotiated with Zimra until the taxman allowed the bus firm to keep the 64-seater FAW buses in its Belvedere yard until duty was cleared.

The development comes at a time when Zupco’s old coaches were parked for various faults with only a few operating.

Since March this year, Zupco has been paying $50 000 per month and at that rate, the buses will be registered and start operating after four years.

Zimra spokesperson Mr Taungana Ndoro could not be reached for a comment yesterday.