Zimbabwe Revenue Authority

Presumptive Tax

Presumptive Tax

Presumptive Tax legislation was introduced to broaden the revenue base in view of the increase in informal business activities. Selected sectors of the economy were targeted to ensure the participation of informal businesses in tax payment.

SELF-EMPLOYED PROFESSIONALS PRESUMPTIVE TAX

With effect from 1 January 2021 there was a new insertion on the sectors that pay presumptive tax. This insertion added professionals to the lists of categories subject to presumptive tax. The presumptive tax is paid by self-employed professionals who would not have submitted income tax returns for the previous year of assessment.

Self-employed professional is an individual who earns income, on his or her own account or as a member of a partnership, as:

a) an architect registered or required to be registered under the Architects Act [Chapter 27:01];

b) an engineer or technician registered or required to be registered under the Engineering Council [Chapter 27:22];

c) a legal practitioner registered or required to be registered under the Legal Practitioners Act [Chapter 27:01];

d) a health practitioner registered or required to be registered under the Health Professions Act [Chapter 27:19];

e) real estate agents registered or required to be registered under the Estate Agents Act [Chapter 27:19];

and does not include any individual in possession of a tax clearance certificate to the effect that he or she has furnished a return under section 37 for the last year of assessment for which such a return is due;

RATES OF PRESUMPTIVE TAX FOR SELF-EMPLOYED PROFESSIONALS

Self-employed professional	Description	Presumptive Tax (Monthly) RTGS
Architects	Registered or required to be registered under the Architects Act [Chapter 27:01],	250,000
Engineers or technicians	Registered or required to be registered under the Engineering Council [Chapter 27:22],	500,000
Legal Practitioners	Registered or required to be registered under the Legal Practitioners Act [Chapter 27:01],	500,000
Health practitioners	Registered or required to be registered under the Health Professions Act (Chapter 27:19)	500,000
Real estate agents	Real estate agents registered or required to be registered under the Estate Agents Act [Chapter 27:17]	1,000,000

DUE DATES FOR PRESUMPTIVE TAX

The full amount of presumptive tax is mainly due at the end of each quarter. However, operators can still remit on monthly basis. The respective due dates of the various categories are shown below:

Category	Due date
Informal traders	Within 30 days from the date the amount is recovered
Transport and driving school operators	By the 20th day after the end of the quarter
Hair Saloons	By the 20th day after the end of the quarter
Restaurants and bottle stores	By the 10th day after the end of the quarter
Cottage Industries	By the 10th day after the end of the quarter
Commercial Waterborne vessels	By the 10th day after the end of the quarter
Self-employed professionals	By the 30th day after the end of the quarter

Taxpayers on Presumptive Tax are encouraged to pay their taxes on a monthly basis such that by the end of the quarter they would have paid the full amounts of taxes.

RATES OF PRESUMPTIVE TAX

With effect from the year of assessment beginning 1 January 2021 Presumptive tax rates of the various categories are shown below:

Category	Description	Presumptive Tax (Monthly)
Omnibuses	8 to 14 passengers	2,500
	15 to 24 passengers	3,000
	25 to 36 passengers	4,000
	From 37 passengers and above	5,000
Taxi-Cabs	All	2,500
Driving Schools	Class 4 vehicles	30,000
Driving Schools	Class 1 and 2 vehicles	40,000
Goods Vehicles	More than 10 tones but less than 20 tones	30,000
	More than 20 tones	40,000
	10 tones or less but with combination of truck and trailers of more than 15 but less than 20 tones	40,000
Hair Saloons		2500 per chair
Restaurants and bottle stores		10,000
Cottage Industries		10,000
Ship, cruiser, boat, houseboat, speedboat, canoe	Less than 5 passengers	10,000
	Less than 16 passengers	15,000
	Less than 26 passengers	20,000
	Less than 50 passengers	25,000
	50 or more passengers	30,000
Small scale miners		0% on the purchase price of precious metals or precious stones
Informal traders except Hair Saloons, Restaurants, bottle stores, Cottage Industries	Rental income	2,400

NB: Small Scale Miners are subject to presumptive tax at 0%. There is no tax that is charged but they are

required to submit their returns where they declare the values but the tax is zero.

PAYMENT OF PRESUMPTIVE TAX IN FOREIGN CURRENCY

Every person liable for presumptive tax has the option to pay the amount of the tax due in United States dollars at the applicable foreign currency auction rate prevailing on the date of payment.

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My Taxes, My Duties: Building my Zimbabwe!!

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 be attached to the Zimbabwe Revenue Authority.

Excise Duty

WHAT IS EXCISE?

It is duty levied on specified locally manufactured goods and on provision of specified services in Zimbabwe
It is also levied on the importation of the specified goods.

HISTORY OF EXCISE IN ZIMBABWE

The name excise is derived from the Dutch accijns, which is presumed to come from the Latin word accensare, meaning simply "to tax". Excise was introduced in Southern Rhodesia in 1901 on spirits. In 1925, it was introduced on beer, matches, playing cards, sugar and manufactured tobacco. It was extended to cigarettes in 1940. In 1960, it was imposed on motor spirit produced by Wankie Colliery and ZISCO. In 1964, it was introduced on still wines. 1969-1970 saw excise duty being imposed on locally assembled passenger motor vehicles. In 1980, it was imposed on opaque beer powder declared to be traditional beer in terms of the Traditional Beer Act. Excise was introduced on all wines and aerated beverages in 1981. 2006 saw excise duty being introduced on sale of used motor vehicles. In 2009, excise was introduced on Diesel and Petrol.

WHY EXCISE DUTY

Excise duty is imposed for financial, public safety and health, public morals and environmental protection. In defense of excise on strong drink, Adam Smith wrote:

"It has for some time past been the policy of Great Britain to discourage the consumption of spirituous liquors, on account of their supposed tendency to ruin the health and to corrupt the morals of the common people."

Samuel Johnson was less flattering in his 1755 dictionary:

EXCISE. “A hateful tax levied upon commodities, and adjudged not by the common judges of property, but wretches hired by those to whom excise is paid”.

As a deterrent, excise is typically directed towards three broad categories of harm:

Health risks from abusing toxic substances typically, this includes tobacco and alcohol
Environmental damage (thus acting as a green tax) for example fossil fuels (such as petrol)

Money raised through excise may be utilised in redressing of specific social costs associated with the product or service on which it is levied. Tobacco tax revenues, for example, might be spent on government anti-smoking campaigns, or healthcare for cancer, heart disease, vascular disease, lung disease, and so on.

CONTRIBUTIONS OF EXCISE COLLECTIONS TO ZIMRA TARGETS:

Excise collections contribute 42% of all the revenues collected by the Customs and Excise Division and is the number 4 tax head after VAT, PAYE and Corporate Tax. The Commissioner Customs and Excise, the Commissioner General and ZIMRA Board recognised the importance of this Excise Revenue Head and created a specialised unit to manage the Excise issues in Zimbabwe.

OBLIGATIONS OF EXCISE MANUFACTURERS

Excise Manufacturers are required to honor a number of obligations as outlined below:

It is a requirement that all persons manufacturing goods appearing in the excise tariff should be licenced. A licence is also required for the manufacture of any potable liquid containing more than 1,7% Litres of Absolute Alcohol
Any manufacturer of goods liable to excise duty must have a valid bond with sufficient surety as security for excise duty at stake. The bond is for security of revenue and to ensure compliance with the Act
Every manufacturer of goods liable to excise duty must keep a record of all transactions and such records must always be up to date and be kept at the licensed premises.
Should submit a return, together with the payment of excise on or before the 20^th day of the month following the month of removal of goods from premises (10^th for airtime providers).

CIRCUMSTANCES THAT CREATE EXCISE DUTY LIABILITY

Removal of goods from licensed premises.
Consumption of excisable goods within licensed premises.
Manufacture of an excisable commodity outside licensed premises.
Re-importation of excisable goods into Zimbabwe after having been exported in bond.
Gratuitous issues to staff or other organizations.
Consumption of any form.
Pilferages
Losses or deficiencies in stock, which cannot be explained to the satisfaction of the commissioner.
Surplus stock found on licensed premises.

CIRCUMSTANCES UNDER WHICH EXCISE DUTY MAY BE WAIVED

Where goods in question were destroyed accidentally while in a licensed premise
Goods which have been destroyed with the permission of the Commissioner
Where goods have been properly exported from Zimbabwe

LIST OF EXCISABLE GOODS

Wine made from Grapes
Beer and spirits
Opaque beer powder
Tobacco products
Airtime
Change of ownership on sale of used motor vehicles

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Disclaimer

Electronic Cargo Tracking System

Electronic Cargo Tracking System

The Zimbabwe Revenue Authority (ZIMRA) introduced the Electronic Cargo Tracking System (ECTS), becoming the fifth Revenue Administration in Africa to have such an operational Electronic Cargo Tracking and Monitoring System.

The system became effective in January 2017 and was officially commissioned by the Minister of Finance and Economic Development on 15 May 2017.
The robust ECTS tracks and monitors transit cargo from the point of entry into Zimbabwe to the point of exit using electronic seals that are armed on the cargo. The system covers containerised cargo, break bulk cargo and fuel tankers.
Currently, ZIMRA is using 21 geo-fenced transit routes for the convenience of its valued clients, covering all major commercial cargo. The monitoring is real time and the sealed cargo will constantly be under the ECTS control room radar throughout the geo-fenced route.
The electronic device sealed to the transiting cargo is linked to the control room and reports any violations or any tampering.
Any violation and tampering alarms are promptly attended by the stand-by ZIMRA Reaction Teams for corrective action, which may involve penalties or seizure of the cargo and/or the truck depending on gravity of the offence.

What should transporters, clearing agents & companies do?

ZIMRA has several geo-fenced transit routes across the country which transporters or clearing agents can choose. Upon processing of Transit Bill of entry at the port of entry, they should indicate and choose their route and this information will be immediately linked to the device and the control room. Once a geo-fenced route has been chosen, transporters should follow it until the truck exists the country.

Offences picked by the ECTS system

Diverting from the chosen geo-fenced route- the offence attracts some fines payable at the port of exit, which have to be paid before the offender exits the country.
Tampering with any of the electronic devices seal tampering attracts penalties and fines.

Benefits of ECTS to business and the country

The Electronic Cargo Tracking System is an effective counter-smuggling and transit fraud curbing system, which increases revenue to the Treasury. The ECTS system has brought efficient clearance processes at the border posts and decongested the points of entry and exit, thus making Zimbabwe a preferred trade and travel corridor in the region.2
The system is also a corruption fighting mechanism through embracing modern automation processes, which reduce opportunities for corruption. The ZIMRA Electronic Cargo Tracking System has dovetailed quite well with the Government of Zimbabwe’s Ease of doing Business thrust.

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Disclaimer

Fine levels and amounts

The Customs and Excise Act stipulates requirements on clearance of goods on import, export and on excisable goods. This is in line with its mandate to collect revenue, facilitate trade and travel, advise government on fiscal and economic matters and protection to civil society.

Part XIII of the Customs and Excise Act CAP 23.02 deals with Offences and their penal provisions so it is important for Clearing Agents, Importers and Exporters to familiarise themselves with this Part of the Act. It is however important to know that other offences are also covered in other parts of the Customs and Excise Act and in the Customs and Excise General Regulations. Knowing what constitutes an offence in the Customs and Excise Act helps businesses avoid unnecessary fines, which are an irrecoverable cost to them.

Statutory Instrument 25 of 2021 reviewed the fines as follows with effect from 25 January 2021;

LEVEL	MONETARY AMOUNT(ZWL$)
1	1000
2	2000
3	5000
4	20 000
5	30 000
6	60 000
7	120 000
8	200 000
9	240 000
10	280 000
11	400 000
12	800 000
13	1 200 000
14	1 600 000

Example 1

Failure to comply with import controls as stipulated in Section 48 of the Customs and Excise Act CAP 23.02 attracts a level 12 fine of ZWL800 000. *N.B. controls are not on quantity but on the nature of the product.

Example 2

Failure to preclear commercial goods as prescribed in Section 18(12) of the Customs and Excise General Regulations SI 154 of 2001 (as amended) attracts a level 7 fine of ZWL120 000.

Other examples of common offences that may attract heavy fines as stipulated in the above SI which many importers, exporters, travelers and clearing Agents ignore include (but are not limited to) the following:

Making false statements or false declarations to Customs
Producing false invoices or documents with the intention to deceive Customs Officials or evading payment of full duty.
Importation or possession of blank invoices
Smuggling
Availing one’s vehicles for use in smuggling activities.
Removing labels, marks or seals to deceive Customs
Importing controlled goods without the required permit.

Importers are therefore urged to comply with the provisions of the Customs and Excise Act in order to facilitate trade and in the process avoid incurring extra costs in fines and inconveniences due to delays at the time of importation.

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My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

A guide to using 2021 PAYE Tax Tables

Income Tax Act (Chapter 23:06) Thirteenth Schedule requires an employer to withhold and remit employees tax (PAYE) in accordance with the tax deduction tables as prescribed. The current tax tables are published by ZIMRA annually or periodically as may be necessary and can be downloaded using the link: https://www.zimra.co.zw/domestic-taxes/tax-tables

The tax tables make it easier for taxpayers to compute PAYE with examples indicated on each and every tax table. The following are important as guidelines to pick the specific rates and withhold the correct amounts of PAYE:

• Currency
• Tax period
• Frequency
• Taxable income

CURRENCY

For the year 2021, there are separate PAYE Tax Tables for Foreign Currency (USD) and Local Currency (ZWL$). The currency of remuneration determines the Tax Table to be used by the taxpayer. Highlighted below are quick insights of the USD and ZWL$ tax tables:

1) Foreign Currency (USD) Tax Tables for 2021 remained the same as year 2020

Tax Free Threshold remains at USD840 per annum or USD70 per month
Exempt Bonus USD320 per annum

2) Zimbabwean Dollar (ZWL$) Tax Tables for 2021 have been amended

Tax Free Threshold is now ZWL$ 120,000.0 per annum or ZWL$ 10,000 per month
Exempt Bonus is now ZWL$25,000 per annum

TAX PERIOD

The 2021 Tax tables were implemented with effect from 1st of January 2021.

FREQUENCY

The tax tables have daily, weekly, fortnightly, monthly and annual categories. The specific category to be used depends on the frequency of remuneration.

TAXABLE INCOME

The specific tax bracket is supposed to be used under the selected category depending on the employee’s taxable income. It is thus important to accurately compute the taxable income from employment as guided by the relevant legislative provisions.

Once the aforementioned indicators are applied correctly, one can go ahead to follow the examples shown on the right side of each tax table. For more information and illustrations, may you kindly click and download respective tax tables on the following links:

Foreign Currency (USD) Tax Tables for 2021: https://www.zimra.co.zw/domestic-taxes/tax-tables?download=847:tax-tables-usd-2021-jan-dec
Zimbabwean Dollar (ZWL$) Tax Tables for 2021: https://www.zimra.co.zw/domestic-taxes/tax-tables?download=846:tax-tables-rtgs-2021-jan-dec

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My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

Submission of Income Tax Return on Employment Income [ITF16] for 2020 Tax Year

Submission of Income Tax Return on Employment Income [ITF16] for 2020 Tax Year

Employers are required to extract from their payrolls the ITF 16 return and submit to ZIMRA by 30 January 2021. The ITF16 is the return for employment income which is based on remuneration received and accrued in 2020.

Please note that, 2020 year of assessment has two tax periods; January to July and August to December. Separate ITF16 returns must be submitted for the two periods. The returns for the two periods are submitted in:

(a) Zimbabwe Dollars for remuneration received and accrued in Zimbabwe Dollars; and

(b) foreign currency for remuneration received or accrued or deemed received or accrued in foreign currency for purposes of determination of PAYE.

The ITF16 should include but not limited to the following information:

1. Employee number;

2. National Registration number of employees;

3. First name

4. Surname

5. Salary

6. Bonus

7. Gratuity

8. Other income earned

9. Pension deductions

10. Membership Subscriptions paid to business, trade, technical or professional association

11. Medical aid contributions

12. Medical expenses

13. PAYE paid

To note is that the factors listed above are for guidance but the ITF16 must have all the types of remuneration, deductions, and credits for the year.

Submission

The following e-mail addresses should be used to submit the ITF16 Returns:

o Chiredzi - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Gweru - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Harare - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Hwange - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Kadoma - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Kwekwe - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Masvingo - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Bulawayo - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Mutare - This email address is being protected from spambots. You need JavaScript enabled to view it.

o Victoria Falls - fdsVicThis email address is being protected from spambots. You need JavaScript enabled to view it.

COVID 19 is real. Always remember to sanitise, wash your hands with water and soap. Stay safe.

My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

To contact ZIMRA:

WhatsApp line : +263 782 729 862

Visit our website : www. zimra.co.zw

Like us on Facebook : www.facebook.com/ZIMRA.ZW

Send us an e-mail : This email address is being protected from spambots. You need JavaScript enabled to view it./webmaster@zimra.co.zw

Call us (Head Office) : 0242 –758891/5; 790813; 790814; 781345; 751624; 752731

e-TIP : http://ecustoms.zimra.co.zw/etip

Value Added Tax withholding Tax

Value Added Tax withholding Tax

Withholding of Value Added Tax (VAT) was introduced with effect from 1 January 2017 and some registered operators have since been appointed as VAT Withholding Tax agents. The VAT Withholding Tax agents’ role is to withhold a portion of the VAT when paying their suppliers who are registered for VAT.

What is Value Added Withholding Tax?

It is tax withheld by appointed agents when they pay their suppliers for the acquisition of taxable goods and services.

From whom should the tax be withheld?

VAT withholding agents should withhold tax from their suppliers who are registered for VAT. VAT withholding tax shall be withheld on payments of standard rated supplies. No VAT shall be withheld on payment for the supply of exempt and zero-rated supplies.

What is the rate of Value Added Withholding tax?

The rate of Value Added withholding tax shall be 1/3 of the output tax (VAT charged). In cases where payment of the supply is made in instalments, VAT shall be withheld on the output tax on each instalment.

What is the supplier supposed to do?

The supplier must:

Receive a VAT withholding tax certificate from the agent.
Claim the VAT withheld as a credit on submission of VAT returns.
Attach a schedule of amounts withheld by various agents to the VAT return.
Keep the tax certificates obtained from withholding agents for a period of six years.

NB: The VAT withholding tax deducted will reduce the amount of VAT payable during the tax period or increase the refundable amount.

Should a supplier supply less goods and or services because VAT has been withheld?

The amount withheld is VAT and it is remitted to ZIMRA by the agent. The supplier claims the tax as a credit on the VAT return which means the tax is an advance payment. Therefore, the supplier is not supposed to supply less goods or services following the withholding of the tax.

How is the VAT Withholding Tax paid?

Every value added withholding tax agent shall withhold and remit to ZIMRA from each amount to be paid to an operator, in the currency in which the goods and services concerned were purchased.

Below is a consolidated list of all Value Added Withholding Tax Agents who were appointed in terms of Section 50A of the Value Added Tax Act [Chapter 23:12].

NAME OF REGISTERED OPERATOR

BP NUMBER

NAME OF REGISTERED OPERATOR

BP NUMBER

Ashanti Goldfields Zimbabwe Ltd

200001153

Econet Wireless (Pvt) Ltd

200002652

Trojan Nickel Mine Ltd

200000085

Net One Cellular (Pvt) Ltd

200004531

Afrochine Smelting (Pvt) Ltd

200116318

Telecel Zimbabwe (Pvt) Ltd

200002516

Blanket Mine (1983) (Pvt) Ltd

200005489

Dairibord Zimbabwe (Pvt) Ltd

200002472

Xin Yu Mining Corporation (Pvt) Ltd

200086880

Cairns Foods (Pvt) Ltd

200001266

Falcon Gold Zimbabwe (Pvt) Ltd

200004871

Powerspeed electrical (Pvt) Ltd

200001231

Well Mining (Pvt) Ltd

200063486

Zimkings Trading (Pvt) Ltd

200109847

Niarchos Investments (Pvt) Ltd

200172519

Picktalk Investments (Pvt) Ltd

200083717

Bulawayo Mining Company Ltd

200135654

N Bhadella and Sons

200001074

Goldfields of Shamva (Pvt) Ltd

200135652

British American Tobacco Zimbabwe

200000923

Goldfields of Shamva (Pvt) Ltd

200135648

Schweppes Zimbabwe (Pvt) Ltd

200002313

The King’s Daughter Mining Company (Pvt) Ltd

200135651

Applebridge Investments (Pvt) Ltd

200181725

Mimosa Mining Company (Pvt) Ltd

200002575

Corundum Mining Company

200029962

Murowa Diamonds (Pvt) Ltd

200006188

Natural Stone Export Company

200003307

Unki Mines (Pvt) Ltd

200023164

RHA Tungsten (Pvt) Ltd

200147126

Zimasco (Pvt) Ltd

200002780

Zimbabwe German Graphite Mines

200001444

Zimbabwe Platinum Mines (Pvt) Ltd

200003122

Southern Granites( Pvt ) Ltd.

200000638

RioZIM Limited

200000204

Quarrying Enterprises (Pvt) Ltd

200002191

Pan African Mining (Pvt) Ltd

200005440

Newtron Mining ( Pvt) Ltd

200080297

Forbes and Thompson (Pvt) Ltd

200001460

Kadoma Magnesite (Pvt) Ltd

200006427

Bikita Minerals (Pvt) Ltd

200002810

Jin An Corporation (Pvt) Ltd

200078190

Mohammed Musa Wholesalers (Pvt) Ltd

200000977

Inducon Investments (Pvt) Ltd

200127727

N. Richards and Company Masvingo

200000597

Ilford Services (Pvt )Ltd

200001952

TM Supermarkets P/L

200000676

Innscor Distribution (Pvt )Ltd

200000604

Ok Zimbabwe P/L

200000192

Comox Trading (Pvt )Ltd

200007380

Padenga Holdings Ltd

200095242

Eagle Agencies (Pvt )Ltd

200084638

Beta bricks P/L

200000917

Tevason Investments (Pvt )Ltd t/a Freshpro

200066312

Willdale (Pvt) Ltd

200002508

Equip Solutions (Pvt )Ltd

200153328

Lafarge Cement Ltd

200000104

FMCG Distribution (Pvt ) Ltd

200002081

PPC Zimbabwe Ltd

200000840

Exclusive Brands (Pvt ) Ltd

200123978

Blue Ribbon Foods (Pvt) Ltd

200000088

Viative Trading (Pvt ) Ltd

200005190

National Foods Ltd

200062202

Bullred Farming

200019187

Profeeds (Pvt) Ltd

200065254

Brands Africa (Pvt ) Ltd

200093781

Novatek Animal Feeds (Pvt) Ltd

200120831

Brands Fresh (Pvt ) Ltd

200164053

Parrogate Zimbabwe (Pvt) Ltd

200028728

Aeromat [Cheeseman] (Pvt ) Ltd

200048286

Zimbabwe Power Company

200011622

The Cold Chain (Pvt ) Ltd

200002320

ZESA Holdings

200001442

Harrison & Hughson Agencies

200002054

Zimbabwe Electricity Transmission and Distribution Company [ZETDC]

200019701

Seedex Enterprises (Pvt ) Ltd

200000214

Delta Beverages (Pvt) Ltd

200000672

COVID 19 is real. Always remember to sanitise, wash your hands with water and soap. Stay safe.

My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

To contact ZIMRA:

WhatsApp line: +263 782 729 862

Visit our website: www. zimra.co.zw

Like us on Facebook: www.facebook.com/ZIMRA.ZW

Send us an e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it./webmaster@zimra.co.zw

Call us (Head Office): 0242 –758891/5; 790813; 790814; 781345; 751624; 752731

e-TIP: http://ecustoms.zimra.co.zw/etip

Duty free for ICT equipment

Computers and other selected Information and Communication Technology (ICT) equipment can be imported Customs Duty free. Customs Duty on the importation of products listed in the table below was removed in order to promote the development of the Information and Communication Technology Sector.

DESCRIPTION	TARIFF CODE	CUSTOMS DUTY	VAT
Computer (desktop)	8471 50.00	free	14.5%
Laptop/palm top/I-pad	8471 30.00	free	14.5%
Scanner	8471.60.90	free	14.5%
Printer	8443.32.00	free	14.5%
Braille computers	8471 60.10	free	14.5%
Computer parts and accessories	8473 3000	free	14.5%
Cordless handset	8517 1100	free	14.5%
Base stations/ boosters	8517 6100	free	14.5%
Radar apparatus	8526 1000	free	14.5%
Aircraft communication or navigation apparatus	8525;8526 and 8527	free	14.5%

How to clear the goods

ICT goods imported for Commercial purposes should be cleared on a Bill of Entry Form 21 through a registered clearing agent. Where the value of a commercial consignment is less than US$1,000 (one thousand United States Dollars) the goods can be cleared on Form 49 and the services of a clearing agent is not mandatory.

Goods imported by private individuals (private imports) attract Duty at a flat rate of 40 per cent, except in situations where one elects to use the appropriate Harmonized System (HS) tariff prior to clearance. Private imports may be cleared on Form 49 without the use of a clearing agent even if the value is above USD 1000.00. (NB: there are instances where goods could be deemed commercial by ZIMRA)

Which documents are needed for Customs Clearance?

Supplier Invoice with full details of importer, full description and value of goods.
Consignment note/freight statement (where applicable)
Export documents from the country of export (where applicable)
Permits/licenses (where applicable) e.g. POTRAZ license.
Any other relevant documents that may be requested by the Zimbabwe Revenue Authority (ZIMRA)

Please Note:

The above list is not exhaustive. Customs Duty rates for other products not listed can be obtained upon request from your nearest ZIMRA office, or can be obtained from the ZIMRA website.
Goods have to be properly declared and entered for clearance at the time of entry.
VAT is payable at 14.5%
Presumptive tax is payable at 10% where necessary.

COVID 19 is real. Always remember to sanitise, wash your hands with water and soap. Stay safe.

My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

Post Clearance Audit (PCA)

Section 223A of the Customs and Excise Act [Chapter 23:02] empowers the Zimbabwe Revenue Authority (ZIMRA) to conduct post clearance audits on imported goods in Zimbabwe.

Post clearance audit (PCA) is a Customs control measure to confirm the accuracy and authenticity of Customs declarations through a structured and systematic examination of the relevant books, records, systems, and commercial data kept by persons/companies directly or indirectly involved in the importation and exportation of goods.

The Customs & Excise Act requires every person carrying on any business which involves handling or dealing in goods to keep or cause to be kept within Zimbabwe, proper records and books of account in the English language of all his transactions and bills of entry, bills of lading, rail notes, invoices and all other documents relating to any goods required to be accounted for in terms of the Customs & Excise Act or any other law relating to customs and excise for a period of 6 years after the date of the importation, purchase or exportation of any goods.

The Act provides that the Commissioner of Customs & Excise, after releasing goods subject to entry and in order to satisfy himself or herself as to the accuracy of the particulars contained in the declaration, may undertake a Post Clearance Audit in relation to those goods, that is to say he or she may;

1. Carry out inspections at the premises of the owner of the goods, or at the place to which the goods are destined, or at the premises where any documentation or data relating to the goods in question is located or may reasonably be expected to be found; and

2. Question any person at any premises or place referred to in paragraph (1), or any person having possession or custody of the documentation or data; and

3. Inspect or examine the goods, and any books, written records, computer records, and other data or documentation relating to the import, export or subsequent disposal of the goods in question; and

4. Take possession of and remove or make extract from or make copies of the records, data or documentation referred to in paragraph (3).

The main objective of Post Clearance Audit is to enhance voluntary compliance. Post Clearance Audits are carried out to check, inter alia, compliance with regulatory controls, whether goods were properly declared and that correct duties were paid.

Post Clearance Audit provides ZIMRA with a better understanding regarding the client’s overall ability and interest in complying with Customs requirements. An on-site visit gives ZIMRA an opportunity to assist the client by educating or advising on procedures and regulatory requirements relating to Customs & Excise. After Post Clearance Audit, clients with high levels of compliance may be recommended for Authorised Economic Operator status enabling them to import/export goods with minimal interventions at the ports of entry.

My Taxes, My Duties: Building my Zimbabwe!!

Disclaimer

To contact ZIMRA:

WhatsApp line : +263 782 729 862

Visit our website : www. zimra.co.zw

Like us on Facebook : www.facebook.com/ZIMRA.ZW

Send us an e-mail : This email address is being protected from spambots. You need JavaScript enabled to view it./webmaster@zimra.co.zw

Call us (Head Office) : 0242 –758891/5; 790813; 790814; 781345; 751624; 752731

e-TIP : http://ecustoms.zimra.co.zw/etip

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Zimbabwe Revenue Authority

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Excise Duty

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