TAX MATTERS: How Zimbabwe’s tax system operates

ZIMBABWE presently operates on a source-based tax system. This means that income from a source within, or deemed to be within Zimbabwe will be subject to tax in Zimbabwe unless a specific exemption is available.

The specific circumstances of a transaction should always be considered to determine whether the transaction gives rise to taxation in Zimbabwe.
Section 8 of the Companies Act provides for the registration of a company limited by shares. In essence, a company limited by shares is formed when the members thereof subscribe to the memorandum of assoc