Definition of an Employer

An employer in Zimbabwe is anyone who pays or is liable to pay employees remuneration, including salaries, wages, fees, and other forms of compensation. This definition includes;

• Resident Employers: Individuals or businesses that pay employees within Zimbabwe.
• Non-Resident Employers: Companies or individuals based outside Zimbabwe who pay employees within the country. Non-resident employers must appoint a resident representative to act on their behalf and notify the Commissioner General of ZIMRA in writing.

An employee is any individual in employment whose remuneration exceeds the legal tax-free threshold. The definition of an employer therefore excludes anyone who fails to meet this requirement.

Registration Requirements

To comply with tax laws, employers must register with the Zimbabwe Revenue Authority (ZIMRA) within 14 days of becoming an employer. Additionally, registered employers must notify ZIMRA within 14 days of;

• Address Changes: Updating their address or business details.
• Ceasing Business: Notifying ZIMRA if they stop being an employer.

Tax Withholding and Payment

Employers are required to:

• Withhold PAYE: Deduct Pay As You Earn tax from employees' salaries and wages.
• Remit PAYE: Submit withheld taxes to ZIMRA by the 10th day of the following month.

Record Keeping and Returns

Employers must maintain accurate records for each employee, including;

• Remuneration Paid: Total amounts paid or payable to each employee
• Allowable deductions: Amounts deducted from each employee’s remuneration
• PAYE Withheld: Amounts deducted as Pay As You Earn tax.
• PAYE Returns: Returns detailing employee earnings and tax withheld. These should be submitted to ZIMRA online by the 5^th day of the following month.
• These records must be retained for at least six years.

Important Deadlines

PAYE Payment: 10th day of the following month.

PAYE Returns (P2) : 5^th day of the following month

My Taxes, My Duties: Building my Zimbabwe.

Employer’s Obligation published on 11/09/2025.

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

ZIMRA has an online ETIP platform that seeks to make it convenient and quick for visitors coming to Zimbabwe to apply for their Vehicle Temporary Import permits online, from anywhere in the world prior to their arrival at the border post and all one has to do is:

1. Visit https://ecustoms.zimra.co.zw/etip/ or by simply searching ETIP ZIMRA.
2. If you are a first time user sign up with using passport number and create your own password
3. Documents needed to process the Temporary Import Permit are”
4. Valid driver’s passport clearly indicating the duration of stay in Zimbabwe (as shown by immigration stamp and endorsement)
5. Registration book of the motor vehicle and trailer (if applicable).

• iii. Police clearance if from any other country other than Mozambique. Affidavit/ letter of authority from the owner if not owner driven.

1. Valid work permit/ permanent resident permits if driver is a Zimbabwean.
2. The types of vehicles that qualify for Temporary Import Permits are
3. Passenger type (light) motor vehicles commonly known as sedans, station wagons, and motorcycles.
4. Goods carrying motor- vehicles with a gross vehicle weight not exceeding five tones such as pick-ups and double cabs.

• iii. Passenger carrying motor vehicles with a seating capacity not exceeding 15 people including the driver.

1. Trailers, boat trailer and caravans being pulled by the vehicles mentioned above. 
2. The fees and charges payable for Temporary Import Permits
3. Road Access Fee is USD10.00 each time the vehicle enters the country.
4. Third party insurance is US$30 per month and for each subsequent month, the vehicle stays in the country.

• iii. Carbon Tax is USD10.00 per month and for each subsequent month, the vehicle stays in the country.

Generating ETIP is fairly easy and the ZIMRA platform has instructions that can be followed by one to apply Electronic Temporary Import online.

All VAT Registered Operators are required to comply with fiscalisation requirement, to register and interface with FDMS for the purposes of recording taxable sales transactions.

To comply with this requirement, taxpayers have two options available as follows:

1. Upgrade existing Fiscal Devices and ensure compatibility with FDMS with the assistance of Approved Suppliers of the fiscal device. or
2. Consider direct interface with FDMS through Virtual Fiscal Devices (API) - software base fiscalisation solution.

Choice of the options depends on the number of point of sales operated by the taxpayer, nature of operations or accounting systems of the taxpayer or capacity to develop APIs for direct interface.

Below are the steps to take for successful on boarding:

Option A: On Boarding Process for Hardware Based Fiscal Devices

• After procuring the Fiscal Device from an Approved Supplier, the Approved Suppliers will ensure that the device is tested on the FDMS platform for compatibility with both FDMS and taxpayer’s point of sale systems. The test shall be conducted on the FDMS test environment with dummy data.
• The test process will generate sample output for ZIMRA approval (Fiscal Tax Invoice, Credit/Debit Note).
• Close fiscal day, and check if there are no errors encountered
• Submit the sample documents (Fiscal Tax Invoice, Credit/Debit Note) to ZIMRA for approval.
• Upon approval by ZIMRA, through approved supplier, the fiscal device is registered in ZIMRA FDMS live platform and then transactions can be done using the upgraded fiscal device

Option B: On boarding process  for Virtual Fiscalisation

• Access and download the API document on the following link : https://www.zimra.co.zw/downloads/category/9-domestic-taxes?download=3807:fiscalisation-apidocumentation   
• Identify a software developer of your choice or internal IT personnel for assistance with API software development.
• Develop your API for interface with the FDMS and configure your fiscal device
• Write an email to This email address is being protected from spambots. You need JavaScript enabled to view it. , This email address is being protected from spambots. You need JavaScript enabled to view it.   and This email address is being protected from spambots. You need JavaScript enabled to view it. for registration in the test environment, details of API end-points.
• Conduct your API tests on the provided FDMS test platform
• Generate sample invoices, credit notes and debit notes in the test environment for sending to ZIMRA for validation and approval
• Close fiscal day, and check if there are no errors encountered
• Submit the sample documents (Fiscal Tax Invoice, Credit/Debit Note) to ZIMRA for approval.
• Once invoices are approved, registration is done in the FDMS live environment, and start transacting.

How to see if my fiscal device is compatible with the ZIMRA FDMS System

• The Fiscal Tax Invoice, Debit/Credit Note printed by the fiscal device will be imprinted with verifiable QR Code.
• QR code on the printed Fiscal Tax Invoice, Debit/Credit Note, if is scanned or validated on the ZIMRA FDMS Portal https://fdms.zimra.co.zw it will indicate that the “Invoice is Valid”
• Fiscal day sessions can be closed and opened without any error or challenges

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. 

What is a partnership?

A partnership is defined as a business arrangement where two or more individuals or entities collaborate to operate a business for profit. A partnership is not a legal persona; section 2 of the Income Tax Act specifically excludes a partnership from the definition of a person. As such, a partnership is not a taxpayer on its own. Partners are taxed on their share of partnership profits and on income earned from employment with the partnership.

Accrual of partnership profit:

Section 10(2) of the Income Tax Act stipulates that income received by, or accrued to, or in favour of a partnership in any period ending on an accounting date shall be deemed to be income received by, or accrued to, or in favour of the partners on such accounting date in the proportions in which the partners agree to share the profits of the partnership as at such date.

How are partnerships taxed?

Partnerships are not taxed as separate entities. Instead, they are treated as "pass-through" entities. This means that the income generated by the partnership is taxed at the individual partner level rather than at the partnership level. Each partner must include their share of the partnership's income in their personal or corporate tax returns.

Key steps in declaring profit

1. Determine total income: The partnership must first calculate its total income from all sources, which may include sales revenue, interest, and any other income streams.
2. Deduct allowable expenses: Next, the partnership can deduct allowable business expenses, such as operating costs, salaries, rent, and utilities. It’s essential to maintain accurate records of all income and expenses to substantiate these deductions.
3. Calculate net profit: The net profit is determined by subtracting total expenses from total income. This figure represents the profit that will be distributed among the partners.
4. Allocate profit to partners: Based on the partnership agreement, the net profit is allocated to each partner. Once the profit has been allocated, each partner must report their share on their personal income tax return./

What are the compliance and filing requirements for partnerships?

Partnerships must comply with several tax obligations, including:

• Tax registration: Partners must register with the Zimbabwe Revenue Authority (ZIMRA) for tax purposes.
• Filing returns: Each partner must file annual income tax returns, reporting their share of the partnership's income.
• Payment of provisional tax: Partners may be required to make provisional tax payments based on their estimated income.

Can a partnership register for other tax obligations?

Partnerships with employees are required to apply for PAYE. Partnerships can register for VAT if they deal with the supply of taxable goods or services.

My Taxes, My Duties: Building my Zimbabwe

Taxation of Partnerships published on 04/09/2025.

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.

For additional information, visit nearest ZIMRA office or access the TaRMS portal. Compliance today avoids penalties tomorrow.

My Taxes, My Duties: Building my Zimbabwe.

Taxan Change of Use in Capital Goods Published on 5 June 2025.

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.

What is TaRMS?

Tax and Revenue Management System (TaRMS) is a new tax administration system that ZIMRA has introduced to replace the previous system. Tax and Revenue Management System (TaRMS) is for Domestic Taxes.

 What are the benefits of TaRMS in terms of payments?

• TaRMS system eliminates the challenges that were encountered during payments processing in the previous system e.g. unallocated deposits
• The Taxpayer transfers funds to the ZIMRA single account using his/her selected bank for tax purposes The Taxpayer submits the tax returns and the system handles payments allocations, assessments and refunds.

How does the Single Account Concept work in TaRMS?

• ZIMRA have opened bank accounts in 15  banks in the country except for those that failed to meet ZIMRA requirements. These bank accounts are named ZIMRA Commissioner General Single Account. In each bank, there are two ZIMRA Single Bank Accounts, one for ZWL and another for USD. Any other foreign currencies are converted by the bank to USD at point of payment.
• From the list of banks with ZIMRA Single Accounts that ZIMRA availed, the Taxpayer is expected to choose ONE BANK for Tax payment purposes. (i.e. for both ZWL and USD payments). Taxpayers cannot have a USD single account in one bank and a ZWL Single Account in another bank; they both have to be within the same bank for ease of administration.
• The TaRMS system automatically keeps a balance of the Taxpayer’s funds in the ZIMRA Single Account in that bank. This record is kept in TaRMS in what is called the Taxpayer’s Single Account. The taxpayer can deposit or transfer money for tax payments only to the ZIMRA Single Account within their chosen and registered bank.
• A taxpayer cannot use a bank that is not linked to ZIMRA Single Bank Account for tax payments purposes.
• The Taxpayer’s bank account used to fund the Zimra Single account can be used for any other transactions as before. It is not restricted to the ZIMRA payments.
• The taxpayer is allowed to change from one bank to another. To change the taxpayer’s Bank account for tax purposes, the taxpayer should send an application to ZIMRA and reset the account in the current bank, then choose the other bank with the support of a ZIMRA Single Account. The balance in the Taxpayer’s Single Account should be nil before effecting these changes.
• Taxpayer has an opportunity to transfer money back from the single account to own bank account. For this transaction, the taxpayer is required to fill an online application form for the transfer. The application is automatically approved after checking set parameters. The amounts from the single account are automatically transferred to the taxpayer’s bank account within one working day.

How is the Taxpayer going to make payments in ZIMRA Single Account?

Payments into the ZIMRA Single Bank Account can be done by way of Cash deposits and internal transfers directly through Taxpayer’s bank, the bank will validate the payment before posting the transaction. The validation parameter is the Taxpayer Identification Number (TIN) and Taxpayer’s Name; hence, it is of paramount importance that the TIN is captured correctly all the time.

Are taxpayers able to make Customs payments using Single Bank Accounts?

The ZIMRA Single Bank Accounts are specifically for Domestic Taxes payments. Customs & Excise duty payments use the old ZIMRA bank accounts. In both Domestic Taxes and Customs payments, the TIN is required

Legislation in support of change of ownership

Section 13(1) of the Vehicle and Licensing Act states that when a registered vehicle is sold or undergoes a change of ownership, the seller or disposer must complete the ownership transfer within fourteen days from the date of sale. Subsection (2) stipulates that failure to comply with this requirement constitutes an offence, punishable by a fine not exceeding level four, imprisonment for up to three months, or both such fine and imprisonment.

Charges or fees payable on transfer of ownership

Subject to section 172BB of the Customs and Excise Act Chapter 23:02, Special Excise Duty shall be charged, levied and collected, for the benefit of the Consolidated Revenue Fund on second hand vehicles sold, transferred or otherwise disposed of to any person at such rate as may be fixed by the Charging Act i.e. Finance Act Number 13 of 2024 depending on the year of manufacture and engine size of the vehicle

Exemptions from paying Special Excise Duty

In terms of Section 172(B) of the Customs and Excise Act Chapter 23:02, no special excise duty shall be charged, levied or collected on the sale, transfer or disposal of any second-hand motor vehicle: -

 (a) between companies under the same control

(b) between spouses married under the Customary Marriages Act Chapter 5:05 or the Marriage Act Chapter 5:11 or between a parent and his or her child of such a marriage

(c) by way of inheritance; or

(d) to a private voluntary organization.

Currency used to pay for vehicle change of ownership

Special Excise duty is payable in currency in which the transaction was done in terms of Section 172(B) (2) of the Customs and Excise Act Chapter 23:02

Documentation required on change of ownership

• Original registration book
• Proof of identification for both seller and buyer
• Original Proof of purchase or disposal
• Proof of residence for both buyer and seller
• Stamped and signed Central Vehicle Registry 4 Form (CVR)4 form which is within 14 days from date of issue
• Final distribution and letter from the Master of High Court for transfer by way of inheritance
• Marriage certificate for transfer between spouses
• Birth certificate for transfer between child and parent of a recognized marriage union
• CR14, Memorandum and Articles for transfer between companies under the same control
• Letter of Authority (on letterhead) giving the company representative the mandate to sell
• CMED Form AC54 for vehicles sold by the same
• Mandate from owner to sell on his behalf vehicles sold by Auctioneers or Car Dealers
• Certificate of Donation from the Private Voluntary Organisation.

*NB where one buys a vehicle that had not complied with requirements of Section 13(1) of the Vehicle and Licensing Act, outstanding Special Excise duty due remains due and payable before change of ownership is effected. Verifications on whether special excise duty was paid can be done at any Customs Office prior to the purchase thereof.

My Taxes, My Duties: Building my Zimbabwe.

Taxman Special Excise Duty Levied on Sale of Second-Hand Vehicles: Change of Ownership

28 August 2025.

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.

Clients can check authenticity of the capital gains tax clearance certificate produced online to find if it is a valid tax clearance certificate. Checking for authenticity of the tax clearance assists in preventing fraudulent tax certificate generation that can be issued by untrustworthy people who are bent to deprive the fiscus of revenue. 

How to check the authenticity of an online capital gains tax clearance certificate:

Electronic Capital Gains Tax Clearance Certificate presented can have its authenticity validated using either of the two methods indicated below:

1. Validation by authentication code

1. Enter the URL https://mytaxselfservice.zimra.co.zw/ on the internet browser and click Enter, and the SSP Homepage appears.
2. Click Verify Certificate on the page.
3. A window will appear, and under Select Certificate Type, click the dropdown icon and select CGT Certificate.
4. Insert the Tax Payer
5. Fill in the authentication code as it appears on the CGT certificate that is to be validated
6. Click Verify
7. A message “The CGT Certificate of SAMPLE LTD (name of taxpayer) with 2001676900 TIN (Taxpayer TIN) exists in the system” will appear if the certificate exists, otherwise the certificate will not be found.

2. Validation by Scanning QR Code
3. Scan the QR code using a scanning device
4. A message “The CGT Certificate of SAMPLE LTD (name of taxpayer) with 2001676900 TIN (Taxpayer TIN) exists in the system” will appear if the certificate exists, otherwise the certificate will not be found.

My Taxes, My Duties: Building my Zimbabwe.

Taxman Verification of Online Capital Gains Tax Clearance Certificate authenticity published on 22/05/2025

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.

According to the World Customs Organisation (WCO), the Post Clearance Audit (PCA) process is a structured examination, after Customs has released cargo of relevant commercial data, sales contracts, financial and non-financial records, physical stock and other assets of traders. The purpose is to measure and improve the traders' compliance. The WCO further states that PCA has proved to be an essential tool ensuring that Customs controls are effective in many aspects, including compliance with the WTO Customs Valuation Agreement. It plays a role in the implementation of an effective Customs risk management strategy. Through the application of a risk-based post-clearance approach, Customs Administrations are able to target their resources more effectively, create win-win partnerships with traders, who will be prompted to comply fully and voluntarily with the rules as this will facilitate clearance procedures, and hence trade.

PCA involves measures by which Customs Authorities satisfy themselves as to the accuracy and authenticity of declarations through systematic examination of client’s records and business systems. PCA is a Customs control measure used to promote trade facilitation that rely on risk management. An on-site visit gives Customs an opportunity to assist the client by educating or advising on procedures and regulatory requirements relating to Customs & Excise.

The legislative provision for Post Clearance Audit in Zimbabwe is contained in Customs & Excise Act [Chapter 23:02]. This legislation provides the obligations applicable to our clients in relation to Post Clearance Audits, and includes such requirements as the retention of clearance documentation for a period of 6 years, the need to produce such documentation on request by a ZIMRA officer, and the right of an officer to conduct the PCA. The legislation also provides the client with certain rights during the PCA which include the right to confidentiality, and the right to be informed of the results of the PCA.

The PCA process is designed to educate the client in areas where they may have some deficiencies and allows for the correction of systems, controls and processes within the clients work processes. It also provides the client with an opportunity to rectify any discrepancies noted during the clearance process some of which may not have any implications on the levels of duty paid on clearance. PCA also gives the client a platform to assess the capabilities of their clearing agents.