Biz pleads - axe tax tangle, cut red tape now

Business leaders are pushing the government to simplify the country's complicated tax system. They argue the current mix of different laws and local fees drives up costs and creates uncertainty for investors. The Zimbabwe National Chamber of Commerce proposed merging various tax administration rules into a single code, which would standardize penalties and clarify procedures for income tax, value-added tax, and other levies. They also want tax rates to be listed only in the annual Finance Act to avoid confusion.

A major complaint involves overlapping licenses and fees from national and local authorities. Tax expert Marvellous Tapera pointed to examples like liquor licenses being required by both municipal councils and a national board, calling this duplication a burden. The private sector recommends eliminating such double-charging and creating a unified electronic system for all border-related taxes to streamline trade.

ZNCC president Tapiwa Karoro stated the chamber is engaging with the state as a partner on these issues, focusing on tax modernization and customs efficiency. CEO Christopher Mugaga emphasized that broader economic competitiveness depends on factors like clear regulation and currency stability alongside a sensible tax regime. Businesses believe these reforms would lower compliance costs and improve the investment climate without reducing government revenue.