Government urged to tax informal sector

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THE Institute of Chartered Accountants of Zimbabwe (Icaz) has urged the government to tax the informal sector to avoid overtaxing the formal sector.
Zimbabwe is regarded as having one of the world’s most informalised economies, with estimates placing the grey economy at more than half of the country’s GDP.

“As business, we would like to see more happening around the informal sector. As it stands, those registered businesses that are complying with tax laws have been put under more pressure to make up for, it would seem, the leakages in the informal sector.