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Zimbabwe: Tax measures in 2019 budget

Zimbabwe: Tax measures in 2019 budget

Zimbabwe’s budget for 2019 was presented on 22 November 2018, and includes measures to introduce an “intermediated money transfer tax” (IMTT) to be imposed at a rate of 2%.


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The budget proposals generally aim for increased government revenues. Among the tax provisions in the budget are the following:

  • Clarification of the tax exemption on interest income earned on treasury bills
  • Amendments to the 2% IMTT exemptions list
  • Deemed taxable income for satellite broadcasting services and electronic commerce platform providers
  • Reduction in the employment tax rates
  • Extension of joint and several tax liability for directors in certain circumstances
  • Revision of duties and an extension in rebates in the productive sectors
  • Publication of the tax penalty loading model
  • Payment of taxes in the underlying currency
  • Increase in the excise duty with respect to fuel and cigarettes
  • Payment of customs duty in foreign currency for certain specified goods including motor vehicles
  • Requirement for filing an annual transfer pricing return and documentation
  • Change to definition of “time of supply” that may result in an earlier payment of value added tax (VAT)


Read a November 2018 report [PDF 1.6 MB] prepared by the KPMG member firm in Zimbabwe

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