Zimbabwe’s tax rates moderate: Zimra

THE Zimbabwe Revenue Authority (Zimra) says the tax rates in the country are modest compared to other countries within the region and beyond.
This comes as taxpayers in the country have complained about excessive taxation, with some bemoaning double taxation in some cases.
“If we look closely, Zimbabwe is very competitive in tax rates. On average, I am doing research in African countries to benchmark our tax rates; VAT is at 15 percent on average. I have noted that other African countries are trading at an average of 18 percent,” Misheck Govha, commissioner of domestic taxes at Zimra, told The Financial Gazette on the sidelines of Matrix Tax School’s seventh annual tax conference in Victoria Falls last week.
“Even South Africa is actually at 15 percent, then income tax, or pay as you earn (PAYE), is at 45 percent, which is way above 40 percent for Zimbabwe, income tax is about 27 percent. So, our tax rates are marginal; they are not that high.