What Is Fiscalisation?

Fiscalisation is the capturing of tax data or information on sales using fiscal gadgets. As businesses record their tax data and sales, the information is concurrently transmitted into the ZIMRA server. The data captured cannot be altered.

Who is required to fiscalise?

All VAT registered operators are required to fiscalise their operations and ensure the devices are interfaced with ZIMRA systems.

What are fiscal devices?

Fiscal devices are electronic devices, which contain a “fiscal memory”. A “fiscal memory” is a special read only memory which is permanently built into a fiscalised device to store tax information at the time of the sale. There are therefore three, categories of fiscal devices, from which clients can choose from depending on their nature of business:

  1. 1. Fiscalised electronic registers/ electronic tax registers (ETRs)
  • These are manual stand-alone devices similar to cash registers, the difference being that they have a fiscal memory.
  • These devices have a 3G sim card that transmits data to the ZIMRA server as sales are being receipted.
  • The device is suitable for small to medium retail businesses that issue out receipts to their customers for example small grocery shops, hair salons, clothing boutiques, restaurants, bars, hardware and tuck shops.
  • A product list is uploaded on to the device and each product is coded for ease of reference when transacting.
  1. Fiscalised printers
  • These are small printers attached to point of sale or computer systems.
  • Fiscal printers work with point of sale/computer systems that use retail software. They also have a fiscal memory for recording sales at the time of printing and also a 3G sim-card that transmits data to the ZIMRA server.
  • Fiscal printers are suitable for small, medium and large clients in retail business that have computerised systems and issue out receipts for example supermarkets, hardware, furniture retailers, restaurants and other retail shops.
  1. 3. Electronic signature devices
  • These devices affix digital signatures to transactions and are not suitable for clients who issue manual invoices.
  • These devices are connected to an already existing computer invoicing system.
  • Data is sent to the ZIMRA server as the client issues the invoice via a data sim card that is in the device.
  • These devices are suitable for registered operators who issue tax invoices to their clients.

Fiscal Device Interface

All registered devices should be interfaced to the ZIMRA Server. Therefore, Registered Operators should approach their Approved Suppliers of the fiscal gadgets and get assistance on interface. This is in line with SI 153 of 2016 which required all registered fiscal devices to be interfaced by 31 December 2017.

Fiscalisation in the Multi-Currently Era

With the use of multi-currency in our economy, we have witnessed different operators using multiple currencies. clients are under obligation to record the sales using the appropriate device. In this regard clients are advised to visit their respective electronic device suppliers in order to get the correct configuration that allows for the right invoicing in multiple currencies.

Obligations of Value Added Tax Registered Operators

  • To acquire appropriate devices from approved suppliers
  • To integrate their systems to the device (including interfaces)
  • To register the devices with ZIMRA by completing and submitting to ZIMRA Form FRT1.

N.B. Form FRT1 can be obtained from ZIMRA offices, from the approved suppliers or the ZIMRA website (www.zimra.co.zw).

  • To ensure there is back up power supply capable of lasting at least eight hours from the time the power supply ceased.
  • To liaise with the supplier on the following issues:
  1. i)       On installation and configuration of the devices onto the client`s system.
  2. ii)      Programming the gadget into fiscal mode.

iii)    Print test Z-Report indicating that the device is now in fiscal mode

  • To liaise with the ZIMRA on the following issues:
  1. i)        Confirmation that the device is working and ready to record tax information.
  2. ii)      To seal the device.

N.B. This indicates that the device is ready for use.

What are the consequences of not fiscalising on time?

According to Section 10 (1) of SI 104 of 2010 penalties for failure to fiscalise are pegged at $25 per day up to a maximum of 181 days. To avoid these penalties clients, need to fiscalise and also notify ZIMRA when they start the process of fiscalising. Failure to interface with the ZIMRA Server will attract penalties for each point of sale that remains not interfaced and prosecution procedures maybe instituted if one continues to be in default.

 

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Disclaimer

This article was compiled by the Zimbabwe Revenue Authority for information purposes only. ZIMRA shall not accept responsibility for loss or damage arising from use of material in this article and no liability will attach to the Zimbabwe Revenue Authority.