advertisement

ZIMRA Looking Into Taxing Income Received On Platforms Like Airbnb

advertisement
Zimra banner

ZIMRA’s Commissioner-General Faith Mazani today at the FINGAZ Tax Review Meeting shared the Revenue Authority’s plans to start taxing income received on online platform’s like Airbnb.

advertisement

ZIMRA is currently learning and seeing how best they can do this:

With the digital age upon us, as ZIMRA we are catching up with learning,
knowledge management and improvement to be geared for Taxation of the Digital Commerce which will dominate the rest of this century. As such, innovations to capture tax-bases such as rental incomes earned through AirBnB and other platforms will form part of the Domestic Revenue Mobilisation infrastructure.

advertisement
Faith Mazani Commissioner General ZIMRA

Whilst the Commissioner General’s speech didn’t touch on what exact measures the authority would be putting in place to tax people on these platforms it’s safe to say it will be difficult especially on platforms like Airbnb. The money is traded between the landlord and tenant and this process is facilitated online and the government and ZIMRA by extension have no efficient way of knowing who is on Airbnb and who isn’t.

Maybe ZIMRA will request Airbnb users to register but once you consider our government’s history of abusing tax funds, I’ll be surprised if there are any people rushing to declare that they want to pay more tax.

The commissioner general also mentioned that Mthuli Ncube “addressed areas of the tax laws specific to sectors like E-Commerce and satellite broadcasting.” Whilst searching for the reference to eCommerce tax in the budget I couldn’t find those specific details so we are not entirely clear on how that will work.


Quick NetOne, Telecel, Africom, And Econet Airtime Recharge

If anything goes wrong, click here to enter your query.


WhatsApp Discussions

Click to join a Techzim WhatsApp group:
https://chat.whatsapp.com/Hkrbxuw2IByJdA6N43HBQc

If you find the group full, please notify us on +263 715 071 199 and we'll update the link.


One thought on “ZIMRA Looking Into Taxing Income Received On Platforms Like Airbnb

  1. The law references you’re looking for is sections 12 and 12A of the Finance Act. You can find these in Finance (No. 1) and Finance (No. 3) Acts of 2019

Comments are closed.