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ZIMRA Report: Workers Among Govt’s Major Revenue Sources, Contribute More Than Companies

ZIMRA Report: Workers Among Govt’s Major Revenue Sources, Contribute More Than Companies

A Zimbabwe Revenue Authority (ZIMRA) report has shown that workers are among the government’s major revenue sources contributing more to the national purse than companies.

The report states that individuals, through pay-as-you-earn (Paye), contributed 17.9% of the overall quarterly tax figure while corporates contributed 15.3%. ZIMRA said in its latest revenue performance report:

Tax collected from individuals grew nominally by 97,48% in Q1 2022 as compared to the same period in 2021. This is largely a reflection of general wage increases made in different sectors in order to cushion employees against the rising cost of living.

Experts said the statistics were clear testimony that workers were being overtaxed, which has left them struggling to make ends meet on the little that remained after tax in the wake of galloping prices of basic goods and services being driven by runaway inflation.

Labour unionist Peter Mutasa said workers in Zimbabwe were overtaxed compared to other countries in the region because of the heavy basket of taxes besides Paye. He said:

a). workers pay Paye, “which is as high as 40%,

b). They also pay the National Social Security Authority tax,

c). in addition, workers also pay other indirect taxes like the 2% (intermediated money transfer tax) IMTT,

d). they  also pay taxes to local authorities

e). they also pay VAT (value-added tax).

While other countries sought to lessen the tax burden on workers, in Zimbabwe authorities introduced new taxes such as the presumptive tax and IMTT to grow the revenue base.

Former Finance minister Tendai Biti yesterday said the Zimra figures confirmed that Zimbabwe was in “deep depression,” the reason why the government was “squeezing the ordinary person.”

Meanwhile, Zimra’s net revenue collections amounted to $174 billion in the first quarter of 2022, against the target of $165.4 billion.

More: NewsDay Zimbabwe

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Machiavelli 1 month ago

Zimbabweans must be the most taxed people on the planet, certainly the most repressed and the most governed.

The individual taxes mentioned in the article leaves out the AIDS levy. Apart from these direct taxes, we are indirectly taxed through subsidies to government owned parastatals such as ZESA, NRZ, ZBC, ARDA, GMB, etc which are perennial loss makers and are shored via budget infusions.

Not mentioned too are excise duties on fuel gas, tobacco and alcohol which are also indirect taxes.

Over and above these, the individual pays for corruption perpetrated by government (ministries and individuals alike). The much touted US$15 billion diamond revenue under Mugabe's tenure, the annual US$3billion for Command Agriculture are examples of corruption unchecked. The Auditor-General's annual reports carry sickening corrupt deals. If all these sums were put to useful purposes taxes would be reasonable.

When individuals pay more taxes than corporations, then our policies are skewed. Regime change (NB electoral not military) is definitely required to remove the yoke from the Zimbabwean populace.

farm manager 1 month ago

Fri, 29 Apr 2022 08:00:00 GMT

Featured National

Mliswa Tells Hopewell Chin’ono To Be Strong

29 April 2022

Spread the love

By A Correspondent- Norton Member of Parliament Temba Mliswa  defended opposition aligned journalist Hopewell Chin’ono after reports came out that he had allegedly hijacked a goat breeding program that was meant to assist the community.

State media on Wednesday ran a story on how the government gave Chin’ono land and goats to start the boer goat project.

Said Mliswa on Twitter, “Having seen the concerted attacks against @daddyhope by state media and other organs my message to him is to be strong. It shows how big you have become @daddyhope. The same happened with me but the more I got arrested and  harassed the more I got popular.

“In my years as a politician what I have learnt is that the public isn’t **** as to be swayed by such contrived state propaganda. They can see through it and understand the reasons behind it all. Just stick with the truth and you will be vindicated. People can see through all the propaganda and machinations. You have to develop a thick skin and withstand it all. If I were you I would go for a constituency now because state media is already campaigning for you.

With your robust and articulate approach to national issues I can only imagine what Parliament would be like with you in it with the likes of Biti, Chinotimba, myself in it. It would be livelier and robust. God is the biggest judge @daddyhope  & in due time will rule.”

Meanwhile Chin’ono says his village elders have advised him not to move the goats where they are.

He posted this message on Facebook on Wednesday:

Thank you all for your messages of support and solidarity. The clan elders have said the animals will not be moved from where they are, it is my ancestral land so nothing will be moved.

The regime can come and LOOT and destroy my rural home, we have no power to stop them! It is not our burden, but its own burden. If they do come to LOOT as they promised to do, a time for accountability will one day come.

It is clear that to continue investing in the project is pointless, that is the end of the project for now until we are under a safe environment to live in peace and develop our rural homes without ZANUPF harassment.

This is a clear example of how it is impossible to invest in Zimbabwe and still retain all your rights. A Chinese has more rights in Zimbabwe than myself. Again that is the regime’s burden!

More importantly, I will not be silenced. I shall not be silenced or intimidated from practicing ethical journalism by a rogue group of people. It is a price I am ready to die for, I would rather be killed than to live like a visitor in my own country and I will never run away from Zimbabwe!

Thank you all once again for your support and solidarity which came through messages, emails and phone calls. Please forgive me if I haven’t responded to your messages, they are many.

It’s also unfortunate to have state media marshalled against a private citizen because of national issues they have raised. This is abuse of power and offices. Respect of property rights is already an issue locally, why inflame it again?

mount 1 month ago

uchatibhowa iwe

zimra ex employee 1 month ago

variboarder corruption levels is rampad
please restrain in corruption
the anticorruption is in your door step

be real dnt force too much for the people

Chapwititi Kestombela 1 month ago

Overtaxing us and then loot the coffers dry 😏. Otherwise DIRA RIZARE WANGU 🥃🍾 2023

commentor analyst 1 month ago

waiting for MACHIAVELLI and MAPARAMURO...guys come on here is another one...yaiswa mudariro iyo

Machiavelli 1 month ago

Thank you @commentator. Taking a break at the moment. Will contribute later. Watch this space.


Dira rizare wangu

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