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Court Scraps Finance Minister's 2020 Carbon Tax, NocZim Redemption Levy

Court Scraps Finance Minister's 2020 Carbon Tax, NocZim Redemption Levy

The High Court has scrapped the carbon tax and the NocZim redemption levy introduced by Finance minister Mthuli Ncube on June 5, 2020, through Statutory Instrument 123A of 2020.

The court said Ncube seized Parliament’s powers through a statutory instrument that created the new taxation regime.

The judgement was delivered by High Court judge Justice Siyabona Musithu last week.

The motoring public has been complaining over excessive taxation in the fuel sector, resulting in the country’s fuel being one of the most expensive in Africa.

Industry and fuel players have been calling for an overhaul of the fuel tax regime. Justice Musithu ruled:

It is ordered that Section 3 (2) of the Finance Act (Chapter 23:04] be and is hereby declared to be inconsistent with section 134 (a) as read with section 117 (2) (c) of the constitution of

Zimbabwe, and consequently unconstitutional. 

The Finance (Amendment of Sections 22E (1) and 22H of Finance Act) Regulations, 2020 published as SI 123A of 2020 be and are hereby declared a nullity and are set aside.

The Finance (Amendment of Sections 22E (1) and 22H of the Finance Act)  Regulations, 2020 published as SI 145 of 2020 be and are hereby declared a nullity and are set aside.

Opposition legislator Innocent Gonese represented by Citizens Coalition for Change (CCC) interim vice president Tendai Biti filed the High Court application challenging Ncube’s SI as an illegal amendment of the Finance Act.

Ncube’s SI amended the Finance Act to allow the State to collect carbon tax on diesel and petrol by creating a new taxation regime in relation to carbon tax and the National Oil Company of Zimbabwe (Noczim) Redemption Levy.

Gonese submitted that only the legislature had the power to amend the Finance Act as he charged that Ncube had usurped Parliament’s powers.

More: The Standard

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3 Comments

Chapwititi Kestombela 9 months ago

Thank you honorable Gonese and our expert lawyer Tendai Biti. These statutory instruments are being fraudulently used to steal and overburden the populace. Others are being given gold and nickel without any paperwork or tax 😁😁😁😁😁😁.


Mafirakureva 9 months ago

Hokoyo naBiti. Gore rino ZANU ichati baba nemuridzo. Thanks to Innocent ad well. Now we can breathe a sigh of relief.
Remember gentlemen this is only a temporary reprieve. They will find other ways of taxing us.


Ribvungu 9 months ago

what we want to hear is the fuel price going down



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