Government has gazetted the statutory instrument which gives individuals and companies an amnesty for defaults on tax obligations accrued between 2009 and September this year in a bid to improve financial disclosures and widen the revenue inflows as the economy accelerates to informalisation.
The Finance Act (Tax Amnesty) Regulations published today make exemptions for income tax, capital gains tax, customs and exercise act, value added tax and stamp duties defaulted during this period.
“Any person may apply for tax amnesty under these regulations for the normalization of tax obligations. An application for tax amnesty shall be in writing and in tax amnesty form specified in the schedule to these regulations and submitted to the commissioner-general,” reads the statutory instrument.
“In the application for amnesty, the applicant shall make full disclosure of all the tax irregularities under the scheduled Acts…A person whose application has been approved in terms of Section 5 is not liable for any additional tax, penalty or interest to the extent that it relates to any amount for which tax amnesty has been granted.”
The underperformance of the economy has seen individuals and firms defaulting on their tax obligations, resulting in shrinking revenue for the state.
Last month, the Zimbabwe Revenue Authority announced that revenue collections for the third quarter of the year fell nine percent to $884.5 million after most revenue heads underperformed.- The Source