Zambian Finance and National Planning Minister Ng'andu Magande said on Thursday that his ministry has not included the International Monetary Fund (IMF) tax proposals in the 2007 national budget.
"What is contained in the IMF report is not what will come out of the budget," Magande was quoted by Zambia News and Information Services (ZANIS) as saying.
The IMF has recommended the reintroduction of 17.5 percent value added tax (VAT) on food and other agricultural products, domestic transportation, mosquito nets, books and newspapers for the 2007 budget, according to the ZANIS.
The proposals however received strong opposition from various stakeholders.
The Zambia National Farmers Union said on Monday the proposed tax measures by the IMF would increase the cost of production and food price and consequently hinder the country's agricultural development.
Magande said his ministry was gathering information from various stakeholders that would be useful in designing the new tax system and the proposals would be scrutinized conclusively.
He said, however, the IMF report has given the ministry good ideas on how to move on with the tax policy review.