Fiscalisation refers to the use of approved fiscal devices to record taxable sales transactions and other tax information on the read-only fiscal memory at the time of sale for use by the Zimbabwe Revenue Authority (ZIMRA) in Value Added Tax (VAT) administration. The fiscalised gadget records information on read only memory, meaning that once recorded, it cannot be altered. Registered operators who fiscalise must also ensure that the fiscal devices are interfaced with ZIMRA servers for the purposes of transmitting information to ZIMRA.

 

Who is supposed to Fiscalise?

All Value Added Tax (VAT) registered operators in categories A, B, C and D are required to fiscalise and interface the fiscal devices as outlined in SI 104 of 2010 as read with SI 148 of 2016 and SI 153 of 2016.

How do I know the correct type of fiscal device to use?

There are three (3) categories of Fiscal Devices and their suitability varies as follows:

Item

Type of Fiscal Device

Suitability of Device

1

Cash Registers

Stand Alone Fiscal devices, not connected to any computer system or other devices – except ZIMRA servers
  • Mobile Business Set-up such as:
  • Delivery Trucks and Buses e.g. Delta, Bakers Inn Delivery Trucks
  • Hotels Billing and Payments on sit-ins clients, salesmen such as ice-cream men, or other vendors
  • Parking services like City Parks in Harare

2

Fiscal Printers

Works when  connected to a computer system of a taxpayer
  • Where there is high volume of sales transactions, for example supermarkets till points
  • Where the buyers are final consumers not businesses – since most printers cannot issue Fiscal Tax Invoices due to the size of the output (till slip)
  • Fast Moving Consumer Goods (FMCG) Business Set-up with Till Points such as

a)   Supermarkets – OK, TM, Pharmacies

b)   Hardware Shops

3

Electronic Signature Devices
  • Suitable for Business to Business transactions where buyers may want to claim input tax – since it can issue Fiscal Tax Invoices due to the size of its output

 

What are the obligations of a registered operator?

  • To acquire appropriate devices from approved suppliers
  • To submit the Fiscal device registration form (Form FRT1) to the suppliers of the fiscal device for registration. The form can be obtained or accessed from any ZIMRA office or from the approved suppliers, or the ZIMRA website (www.ZIMRA.co.zw).
  • To integrate systems to the fiscal device
  • To ensure there is back-up power supply capable of lasting at least eight hours from the time the power supply ceases
  • To liaise with the supplier on installation and configuration of the devices onto the system and interfacing with the ZIMRA server
  • To ensure tax rates configured into the system are correct
  • To print test Z-Report indicating that the device is now in fiscal mode
  • To confirm with ZIMRA that the device is working and ready to record tax information
  • To liaise with ZIMRA on the sealing of device indicating that the device is ready for use
  • To record all sales using the device once it has been fiscalised and not to use any alternative systems without the approval of ZIMRA
  • To prepare daily, monthly and annual reports of sales and VAT
  • To keep a record of the servicing of the device
  • To ensure that no other person uses the fiscalised device which has been registered under your BP Number
  • To report all faults to ZIMRA promptly and no later than eight hours from the time of occurrence and get reference numbers for all faults reported
  • To ensure that any breaking of the seal is approved and always done in the presence of ZIMRA personnel.
  • Issue customers with invoices and receipts for business transactions done reflecting the correct currency of transaction
  • Ensure that the Fiscal Tax invoice/receipt display the correct description of goods, correct amount tendered and correct currency tendered
  • Where the registered operators issue discounts to their customers in either ZWL$ or foreign currency, they must issue credit and or debit notes to correctly record the changes in currency of trade
  • To remit taxes in the currency of transaction according to Section 4A of the Finance Act (Chapter 23:04) and Section 38 [4] and Sec 38[4] [a] of the VAT Act [Chapter 23.12)

NB: If a device is going to be out of use for more than eight hours due to interruption in power supply, theft, technical fault or any other similar reason, the registered operator is required to report to ZIMRA promptly and within eight hours and receive an error report number from ZIMRA. If the fault occurred outside the operating hours of the registered operator, public holiday or weekend, the registered operator must notify the Zimbabwe Revenue Authority no later than 8am of the following working day.

Members of the public are therefore encouraged to report all cases where the registered operators are not issuing receipts/invoices displaying correct details on the receipts. They can contact ZIMRA Audits, Risk and Compliance team on the following ZIMRA Hotlines 08004423 or 0242-770884.

 

My Taxes, My Duties: Building my Zimbabwe!!

 

Disclaimer

This article was compiled by the Zimbabwe Revenue Authority (ZIMRA) 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. 

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