National Pension Scheme (Penalty Waiver) Regulations, 2024

1. These Regulations may be cited as the National Pension Title Scheme (Penalty Waiver) Regulations, 2024.

2. In these Regulations, unless the context otherwise Interpretation requires— “application period” means the period for which the application for a penalty waiver is made; “Authority” means the National Pension Scheme Authority established under section 3 of the Act; “covid pandemic period” means the period between 14th March, 2020 and 8th September, 2022; and “time to pay agreement” means an agreement, in writing, for the payment to the Authority of a contribution arrear and penalty within an agreed period of time.

3. (1) A contributing employer who intends to seek for a penalty waiver shall apply to the Authority in Form I set out in the Schedule. Application for penalty waiver (2) The Authority shall within, fourteen days of receipt of an application under subregulation (1), grant or reject the application. (3) The Authority shall, where the applicant meets the requirements under regulation 4 and 6 grant the waiver and inform the applicant in Form II set out in the Schedule. Copies of this Statutory Instrument can be obtained from the Government Printer, P.O. Box 30136, 10101, Lusaka, Price K20.00 each 26 Statutory Instruments 9th January, 2024 (4) The Authority shall, where the Authority rejects an application under subregulation (1), inform the applicant in Form III set out in the Schedule. (5) Despite subregulation (1), a contributing employer who intends to seek for a penalty waiver under these Regulations shall, before making an application for a penalty waiver, file outstanding monthly returns on the contributing employer’s account. Conditions for waiver of penalties

4. (1) The Authority shall grant a waiver of a penalty incurred in accordance with section 15 of the Act where a contributing employer— Act No. 9 of 2017 Act No. 9 of 2017 Act No. 9 of 2017 Cap. 82 (a) (b) (c) (d) (e) is undergoing liquidation in accordance with the Corporate Insolvency Act, 2017; is undergoing business rescue proceedings in accordance with the Corporate Insolvency Act, 2017; is in receivership in accordance with the Corporate Insolvency Act, 2017; fails to pay a contribution due to a verifiable failure of the Authority’s administrative and payment system; is undergoing bankruptcy proceedings in accordance with the Bankruptcy Act; (f) incurs a penalty due to— (i) natural disaster; (ii) state of war; and (iii) public emergency. (2) Despite subregulation (1), a contributing employer shall, before making an application for a penalty waiver settle outstanding principal contributions for the application period. (3) The Authority shall not grant a penalty waiver exceeding seventy percent except for conditions set out in subregulation (1) (d) and (f). Revocation of waiver

5. (1) The Authority shall revoke a penalty waiver granted under regulation 3 where that waiver was obtained by fraud or submission of any false information or document. 9th January, 2024 Statutory Instruments 27 (2) The Authority shall, before revoking a penalty waiver in accordance with subregulation (1), notify the contributing employer of its intention to revoke the penalty waiver in Form IV set out in the Schedule and shall— (a) (b) give reasons for the intended revocation; and require the contributing employer to show cause within a period of thirty days, why the penalty waver should not be revoked. (3) The Authority shall not revoke a penalty waiver if the contributing employer takes remedial measures to the satisfaction of the Authority, within the period specified in the notice issued under subregulation (2). (4) The Authority shall, in making a final determination on the revocation of the penalty waiver, consider the submissions made by the contributing employer under subregulation (2). (5) The Authority shall, where the Authority revokes the waiver, inform the contributing employer in Form V set out in the Schedule.

6. (1) A contributing employer who immediately before the commencement of these Regulations incurred a penalty during the covid 19 pandemic period shall be entitled to a— (a) one hundred percent waiver of the penalty where that contributing employer— (i) has no outstanding principal contributions; or (ii) pays the outstanding principal contributions for the application period within twelve months of commencement oftheseRegulations; or (b) seventy-five percent waiver of the penalty where that contributing employer pays the outstanding principal contributions for the application period after twelve months but not exceeding two years of commencement of these Regulations. Penalty incurred during and outside covid pandemic period 28 Statutory Instruments 9th January, 2024 (2) A contributing employer who, immediately before commencement of these Regulations and for the period before 6th December, 2022, incurred a penalty for any other reason other than that specified under subregulation (1) shall be entitled to - (a) seventy-five percent waiver of the penalty where that contributing employer— (i) has no outstanding principal contributions; or (ii) pays the outstanding principal contributions for the application period within twelve months of commencement of these Regulations; or (b) sixty percent waiver of the penalty where the contributing employer pays the outstanding contributions for the application period after twelve months but not exceeding two years of commencement of these Regulations. Time to pay agreement

7. (1) A contributing employer who has entered into a time to pay agreement with the Authority relating to the penalty incurred may apply for a waiver of a penalty in accordance with these Regulations. (2) The applicant may, where the Authority grants a waiver under subregulation (1) rescind the time to pay agreement. Payment made before commence- ment of Regulation

8. A contributing employer who paid a penalty before the commencement of these Regulations, shall not be entitled to a refund of the penalty paid. 9th January, 2024 Statutory Instruments 29 SCHEDULE (Regulation 3) FORM I (Regulation 3(1)) THE NATIONAL PENSION SCHEME AUTHORITY The National Pension Scheme Act (Laws, Volume 15, Cap. 256) The National Pension Scheme (Penalty Waiver) Regulations, 2024 APPLICATION FOR PENALTY WAIVER PART A BUSINESS/PERSONAL DETAILS NAPSA Account Number:

1. Employer Name As indicated on Certificate of Registration/ Incorporation or National Registration Card for natural persons Entity Type (Domestic, Business, Limited, Registrar of Societies, Statutory) Entity Number/NRC Number Employer NAPSA Account Number

9. Entity physical address Entity postal address

10. Phone No. for CEO/Executive Director/ Proprietor

11. Email CEO/Executive Director/ Proprietor

14. Primary contact person Email PART B STATUS OF PRINCIPAL CONTRIBUTIONS AND RETURNS (Tick where applicable) YES NO (a) Have you uploaded all returns (b) Have you settled all outstanding principal contributions PART C 30 Statutory Instruments 9th January, 2024 PART C REASONS FOR PENALTY WAIVER (Tick where applicable) (Employer will be required to attach such documents in support of the application as may be required by NAPSA from time to time)

1. Waiver of penalties incurred before commencement of these Regulations Liquidation

4. Failure of NAPSA’s administrative payment systems

8. Public emergency PART D DECLARATIONS DECLARATION BY APPLICANT I hereby declare that the information contained in this application form, including any returns or other supporting documents are to the best of my knowledge true, correct and complete. I further acknowledge that the Authority has the right as provided in the law to re-instate the penalties in the event that it is established that a false declaration was made. Full Name: …………………………………………………………………………….……………………… Designation: ………………………………………………………………………………………….……… Signature:…………………………………………………………………………………………….………. Date:…………………………………………………………………………………………………….…… … FOR OFFICIAL USE ONLY Recommended for waiver of penalties Not recommended for waiver of penalties Name: ………………………………………………….………………….………….. Position: ……………………………………………………………………..……… Signature:……………………………………………………………………………. Date:……………………………………………………………….…….................. OFFICIAL STAMP 9th January, 2024 Statutory Instruments 31 FORM II (Regulation 3(3)) THE NATIONAL PENSION SCHEME AUTHORITY The National Pension Scheme Act (Laws, Volume 15, Cap. 256) The National Pension Scheme (Penalty Waiver) Regulations, 2024 NOTICE OF APPROVAL FOR PENALTY WAIVER TO: ………………………………………………………………………………….… You are hereby notified that your application for penalty waiver with reference no. …………………. dated ……….. of ……………………., 20……... has been approved by the Authority. In view of the above and following the waiver of penalties for periods in relation to your application, the outstanding penalties on your account are now K………………. We request you to settle the outstanding penalties or make an application for a Time to Pay Agreement through the Inspectorate Unit of the Authority. Dated this ……………… day of ……………………………, 20………… ………………………………………… Director-General OFFICIAL OFFICIAL STAMP STAMP 32 Statutory Instruments 9th January, 2024 FORM III (Regulation 3(4)) THE NATIONAL PENSION SCHEME AUTHORITY The National Pension Scheme Act (Laws, Volume 15, Cap. 256) The National Pension Scheme (Penalty Waiver) Regulations, 2024 NOTICE OF REJECTION OF APPLICATION (1) Here insert name and address of the applicant (2) Here insert the employer account number (3) Here insert the reference No. of the application (4) Here insert type of application TO (1) ...................................................................................................... 2) ….......................................................................................................... 3) ............................................. you are notified that your application for(4) ………………………………………………………………… has been rejected by the Authority on the following grounds: (a) ................................................................................................. (b) (c) ................................................................................................. .................................................................................................. (d) ...................................................................................................... Dated this …………. day of …………………………, 20…………… ............................................... Director-General OFFICIAL OFFICIAL STAMP STAMP OFFICIAL STAMP 9th January, 2024 Statutory Instruments 33 FORM IV (Regulation 5(2)) THE NATIONAL PENSION SCHEME AUTHORITY The National Pension Scheme Act (Laws, Volume 15, Cap. 256) The National Pension Scheme (Penalty Waiver) Regulations, 2024 NOTICE OF INTENTION TO REVOKE PENALTY WAIVER (1) Here insert name and address of the applicant (2) Here insert the employer account number (3) Here insert the reference No. of the penalty waiver application TO(1): ........................................................................................................ (2) ......................................................................................................... (3): ……………………………………………………………………. You are hereby notified that the NAPSA intends to revoke your penalty waiver on the following grounds: (a) (b) (c) (d) ............................................................................................. ............................................................................................. ............................................................................................. ............................................................................................. Accordingly, you are requested to show cause why your penalty waiver should not be revoked for the breaches set out in above paragraphs within ................ days of receiving this notice. Dated this .......... day of ......................................, 20............... ............................................... Director-General OFFICIAL OFFICIAL STAMP STAMP 34 Statutory Instruments 9th January, 2024 FORM V (Regulation 5(3)) THE NATIONAL PENSION SCHEME AUTHORITY The National Pension Scheme Act (Laws, Volume 15, Cap. 256) The National Pension Scheme (Penalty Waiver) Regulations, 2024 NOTICE OF REVOCATION OF PENALTY WAIVER (1) Here insert name and address of the applicant (2) Here insert the reference No. of the penalty waiver application TO(1): ........................................................................................................... ..................................................................................................................... (2): …………………………..……………………………………………. You are hereby notified that your penalty waiver has been revoked on the following grounds: (a) (b) (c) (d) ......................................................................................................... ......................................................................................................... ......................................................................................................... ......................................................................................................... Dated this ............................ day of ....................................., 20............... ............................................... Director-General OFFICIAL OFFICIAL STAMP STAMP B. M. TAMBATAMBA, Minister of Labour and Social Security LUSAKA 8th January, 2024 [MLSS./64/9/9]