Things are falling apart in the self styled prophet Walter Magaya’s empire as his companies are being dragged to court one by one for contravening the Value Added Tax (VAT) Act.
One of his many companies, YADAH Connect Private Limited is in hot soup for tax evasion barely a month after the church PHD Ministries was also dragged to court for a similar offence.
These arrests come shortly after Magaya’s other company, Aretha Medicines was convicted and fined for advertising medicines which he claimed was the new HIV cure without following the proper procedures.
The man of the cloth recently completed the construction of a $90 Million flamboyant hotel. Apart from the convicted Aretha Medicines and PHD Ministries, Yadah Connect Private Limited is being charged for failing to pay tax to the Zimbabwe Revenue Authority (Zimra).
However, Yadah Connect Private Limited is being represented by Tawanda Aegidio Taruvinga the company’s financial manager who is being accused of failing to submit income tax return after realizing revenue of US$1 95529.60 for the period extending from 1 January 2017 to 31 December 2017 on count one.
On another count, the company has allegedly failed to apply for registration for Value Added Tax, (VAT) with Zimra without any reasonable cause.
Tinshe Madakadze, Zimra chief investigations officer said that the investigations further reviewed that the accused Had No Record Of All Goods And Services From Suppliers or supplied to customers as provided for in Section 62 (2a) of the Value Added Tax Act.
According to the state papers, the matter came to light in October 2018 after Madakadze had done investigations and discovered that the accused had realized revenue and the evidence was with the Grain Marketing Board receipts vouchers, but the accused never submitted tax.
The state is also alleging that due to this cause, the state has suffered a prejudice of US$307 848.82
