Tax laws strangle businesses - Zimbabwe Situation : comparem

Tax laws strangle businesses - Zimbabwe Situation


Tax laws strangle businesses
BY KENNETH MATIMAIRE
BUSINESSES are struggling to comply with newly-set stringent tax clearance certification regulations that became effective at the beginning of the year.
Statistics gathered from the Zimbabwe Revenue Authority (Zimra) showed that the tax compliance rate dropped by 37% following the introduction of the new regulations.
Zimra, in November last year,  said most operators were not remitting taxes in foreign currency and threatened to withhold 2021 tax clearance certificates to businesses that have not properly fiscalised their receipting.
The tax collector revealed that only 40 061 businesses out of an annual average 63 000 that regularly apply for tax clearance, have acquired 2021 tax clearance certificates, translating to a 63% compliance rate.

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