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Business simplification: CZR, ZIMRA New Collaboration

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The Confederation of Zimbabwe Retailers (CZR) and the Zimbabwe Revenue Authority (ZIMRA) have launched a joint initiative aimed at simplifying business processes and promoting fair taxation, in a move expected to drive economic growth and improve compliance.

This collaborative effort seeks to streamline tax obligations, reduce administrative burdens, and create a more business-friendly environment.

Speaking during the CZR-ZIMRA Stakeholder Engagement Meeting, CZR President Dr. Denford Mutashu urged ZIMRA to urgently review current tax systems to improve the ease of doing business in the retail and wholesale sectors. He highlighted the importance of improving tax compliance within the informal sector.

“Many informal traders operate outside the tax net and are not subject to VAT or other obligations. This makes their products appear cheaper than those from compliant formal businesses, distorting fair competition,” said Dr. Mutashu.

He proposed that ZIMRA remove the current 5% withholding tax on sales made to non-tax-compliant customers and called for a simplified tiered presumptive tax system to encourage voluntary compliance among informal traders.

Dr. Mutashu also recommended that Taxpayer Identification Numbers (TINs) be made mandatory when applying for shop, trading, and liquor licenses to enhance tracking and enforcement.

During the engagement, he posed a question to ZIMRA Acting Commissioner for Domestic Taxes, Mrs. Mupanduki, regarding the proportion of revenue currently collected from the informal versus formal sectors. He also raised concerns about Route-to-Market (RTM) restrictions.

“Current RTM policies require even small walk-in customers to present VAT registration and tax clearance certificates to purchase goods at wholesale prices. This hinders competitiveness and discourages bulk buying,” he said.

CZR called on ZIMRA to review and relax RTM requirements to enhance market access and support formal wholesalers.

Concerns Over IMTT, Delayed Refunds, and VAT on Overheads
CZR raised further concerns over the Intermediated Money Transfer Tax (IMTT), noting that it disproportionately affects formal businesses that rely on electronic payments, while the largely cash-based informal sector escapes the tax.

They proposed:

  • Reducing the IMTT rate to 1% for US$1 transactions
  • Waiving the IMTT entirely for ZIG transactions

Dr. Mutashu also inquired about when the IMTT would be reviewed or removed, citing its adverse effects on formal retailers.

He further expressed concern over delayed tax refunds, particularly VAT refunds, which are often held up for over a year, impacting liquidity.

“ZIMRA charges interest on late tax payments, yet there is no compensation when the tax authority delays refunds,” he noted.

CZR recommended that ZIMRA:

  • Establish clear turnaround timelines for tax refunds
  • Apply interest on overdue refunds owed to taxpayers

On the issue of VAT on overheads, CZR pointed out that businesses selling VAT-exempt basic commodities cannot reclaim input VAT, increasing operational costs and threatening viability for low-margin retailers.

The organisation called for a review of VAT policies, particularly on reclaiming VAT on overheads for retailers of basic goods.

Dr. Mutashu also highlighted flaws in the PAYE system, citing discrepancies between calculations on ZIMRA’s TARMS platform and company payroll systems. He noted that employees with incorrect or unregistered national IDs could not be processed in TARMS.

“There’s no option to use a generic employee number when submitting VAT on such employees,” he said, recommending interim solutions like generic codes and better system alignment.

Rising property tax was also flagged, with landlords transferring increased tax costs to tenants, adding to the financial strain on retailers.

ZIMRA also raised its own concerns about the treatment of goods at ports of entry, especially regarding inspections.

“Trucks headed to their final destinations are being intercepted and redirected to Bak Storage, despite prior checks at the border,” said a ZIMRA representative.
“This causes delays and results in additional costs for storage, labor, and handling. Some shipments are also being damaged during re-inspection.”

In response to the issues raised, ZIMRA reaffirmed its commitment to improving the ease of doing business and expressed support for the tiered presumptive tax model.

The authority encouraged the increased use of plastic money for tax administration purposes and acknowledged resource constraints in fully integrating the informal sector into the tax system. It was noted that informal sector taxes are now collected during license renewals.

Commissioner Mrs. Mupanduki concluded by reiterating ZIMRA’s stance on transparency and reform, adding that the fight against corruption remains a top priority for the authority.

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Muduvuri Salutes Zimbabwe’s Heroes and Defence Forces

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Founder Jimayi Muduvuri has proudly joined His Excellency President E.D. Mnangagwa and the nation in paying tribute to Zimbabwe’s heroes and the brave men and women of the defence forces.

Muduvuri commended their unwavering patriotism, courage, and selfless service in safeguarding the country’s sovereignty and peace. He emphasised that the sacrifices made by Zimbabwe’s heroes both past and present remain the cornerstone of the nation’s independence and stability.

“Our heroes and dedicated defence forces embody the true spirit of Zimbabwe. Their commitment ensures that our nation continues to thrive in unity, peace, and progress,” Muduvuri said.

His remarks come as the country marks this special occasion by honouring those who defended Zimbabwe’s freedom and continue to protect its people.

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Ministry Launches Best Extension Worker Award to Boost Agricultural Excellence

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The Ministry of Lands, Agriculture, Water, Fisheries, and Rural Development has introduced the Best Extension Worker Award, a programme created to inspire agricultural extension officers to excel in their duties as Zimbabwe advances towards national food security.

The award, unveiled in Banket this Friday, will honour and reward dedicated agricultural business advisors formerly called extension officers who play a pivotal role in assisting farmers and driving rural productivity.

The initiative has received an enthusiastic response from beneficiaries.

“This award pushes us, as the frontline workforce, to go beyond our limits. It will sharpen our skills and encourage healthy competition among us. Ultimately, the farmers stand to gain the most,” said Makonde Ward 5 Extension Worker, Mr. Mushambi Tigere.

Mhondoro Ngezi Ward 5 Extension Worker, Mrs. Nyasha Gonde, echoed the sentiment, expressing appreciation for government support:
“We no longer face mobility challenges thanks to the motorbikes provided, and communication has improved with the tablets we were given. We also get timely updates on current trends and attend regular, high-impact capacity-building workshops.”

Government officials emphasise that empowered extension officers are essential to achieving food self-sufficiency.

“This award is about encouraging excellence and accountability in our extension services. These officers link research to the farmer, and their performance directly influences output. With the tools and resources provided, we expect them to deliver more. Our ultimate goal is to guarantee food security by boosting yields per hectare—and that depends on farmers getting timely, relevant support,” explained Professor Obert Jiri, the Ministry’s Permanent Secretary.

Mashonaland West Provincial Director, Mrs. Medlinah Magwenzi, highlighted the transformation in service delivery:
“Motivated officers make our work easier. With motorbikes, tablets, and solar kits, they can now gather data in real time, track crop growth more accurately, and respond quickly to farmers’ needs. This digital shift also supports evidence-based decisions at a national level, ensuring efficiency, higher productivity, and that no farmer is overlooked.”

Masvingo Provincial Director, Mr. Caleb Mahoya, pointed to his province’s agricultural potential:
“Masvingo controls about 52% of Zimbabwe’s water bodies, giving us huge production capacity. Before this programme, our officers struggled to reach many farmers due to transport and equipment shortages. Now, with the new resources, they can cover more ground, give real-time technical guidance, and submit instant reports. This has significantly boosted farmer engagement and the uptake of recommended practices.”

With increased motivation and better tools, agricultural extension officers are now better placed to help farmers propel Zimbabwe towards its goal of food self-sufficiency.

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Tagwirei Officially Co-Opted Into ZANU PF Central Committee

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ZANU PF has officially acknowledged the inclusion of prominent businessman and party financier Kudakwashe Tagwirei into its Central Committee.

Tagwirei, whose previous appearance at a Central Committee meeting sparked national attention, has now formally joined one of the ruling party’s most influential decision-making bodies.

According to the party’s Secretary for Legal Affairs, Patrick Chinamasa, Tagwirei was nominated by the Harare province and will serve alongside Polite Kambamura (Mashonaland West), Joseph Serima, Christine Gwati, and Collen Ndebele—all recommended by the Matabeleland North province.

These appointments were ratified during the party’s 385th Ordinary Session of the Politburo earlier this week, following a vote by the Harare Provincial Coordinating Committee in Tagwirei’s case.

“The Politburo has approved the co-options from Mashonaland West, Matabeleland North, and Harare, and these will be officially adopted by the Central Committee at its upcoming session,” Chinamasa stated. “Tagwirei, who was nominated by Harare Province, is now officially part of the Central Committee.”

Unlike his previous controversial attempt to join the body—when he had to be escorted out—this time, Chinamasa confirmed that all proper procedures were followed, and those co-opted are expected to participate in the next meeting.

Internal rivalries within ZANU PF were previously cited as the main reason for resistance to Tagwirei’s inclusion in the powerful committee.

Having recently transitioned into active politics, Tagwirei is rumored to be positioning himself for a future presidential bid. Unconfirmed reports suggest he is currently seen as a leading contender to succeed President Emmerson Mnangagwa.

His political ambitions have reportedly caused tension within the party, particularly with spokesperson Christopher Mutsvangwa, who also sees himself as a frontrunner for the presidency—potentially even ahead of Vice President Constantino Chiwenga, once considered the top contender.

ALSO READ : Minister Ndlovu Opens Strategic Plan Review Workshop, Urges Bold Industrial Reforms

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