Senators have successfully passed the Income Tax Amendment Bill of 2007 tabled before the house on Tuesday, 29 May, 2007.

When moving the Bill, the Minister of Finance and Development Planning Dr.Timothy Thahane, said the Bill is aimed at enabling the business community to contribute in the improvement of sports in the country.

He said the Bill provides for deduction of income tax equal to the value of the donation to sports activities by a business owner. He stated that the deduction of tax to the business community that contributes to sports serves as a token of appreciation to business people who participate in the improvement of sports in the country.

Dr. Thahane said the implementation of the amendment would encourage most businesspeople to support sports. He said the money would be directed to the Lesotho Sports and Recreational Commission for proper allocation.

In support of the Bill the Principal Chief of Thaba-Bosiu, Chief Khoabane Theko applauded the government for investing in sports as he said sports is a factor towards unity of the nation.

Meanwhile, Senator, Professor Zacharia Mats'ela said traditional sport activities should also be taken into consideration, citing an example of 'Morabaraba', which can be translated as Basotho Chess and horse racing.

Most of the Senators raised concern over lack of sport facilities that include playing grounds. They further urged the government to take quick action in putting Setsoto Stadium into the international level for 2010 soccer world Cup to be held in South Africa.

The Income Tax Amendment Bill of 2007 intends to amend the Income Tax Act of  1993 by making provision to allow income tax deductions in respect of donations, and other sponsorships made for promotion of sports.

Source: LENA