Value Added Tax (VAT) rate in Zimbabwe.
Value Added Tax (VAT) is a tax on consumption. In Zimbabwe, VAT is now levied at 15% as per FINANCE (No. 2) ACT, 2022, gazetted on the 30th of December 2022. VAT was previously levied at 14.5%.
What does mean.
VAT registered operators are now advised to charge VAT at a rate of 15%. All accounting systems need to be updated to reflect the rate of 15%.
With effect from the 1st January, 2023, the Schedule to Chapter IV of the Finance Act [Chapter 23:04] is repealed and the following is substituted
General rate of Value added Tax
The rate of value added tax in respect of—
(a) goods or services supplied by any registered operator in the course or
furtherance of any trade carried on by the registered operator; and
(b) the importation of any goods into Zimbabwe by any person; and
(c) the supply of any imported services by any person; and
(d) goods and services sold through an auctioneer (as defined in section
56(6)) of the Value Added Tax Act [Chapter 23:12] by persons who are not registered operators;shall be fifteen per centum
Value Added Tax on Betting and Gaming
The rate of value added tax in respect of the transactions or receipts mentioned in the first column of the following table shall be that specified in the second column opposite thereto.
Transactions or receipts Rate of tax 1. Any bet made at any place other than
a racecourse by any person with a
bookmaker licensed in terms of the
Betting and Totalizator Control Act
[Chapter 10:02] on a horse race.1.(a) Fifteen per centum on the amount
payable by the bookmaker to such
person in respect of such bet excluding
the amount representing the amount
staked.
(b) Fifteen per centum on the amount of
the net winnings of such bookmaker
in respect of each period of six months
commencing on the 1st April and the
1st October each year.2. Any bet made on a horse race at a
racecourse on a race day by any person
with a bookmaker licensed in terms of
the Betting and Totalizator Control Act
[Chapter 10:02].2.(a) Fifteen per centum on the amount
payable by the bookmaker to such
person in respect of such bet excluding
the amount representing the amount
staked.
(b) Fifteen per centum on the amount of
the net winnings of such bookmaker
in respect of each period of six months
commencing on the 1st April and the 1st
October each year.3. Any bet made at any place, other than a
racecourse on a race day, by any person
with a bookmaker licensed in terms of
the Betting and Totalizator Control Act
[Chapter 10:02] on any sporting event
other than a horse race.3.(a) Fifteen per centum on the amount
payable by the bookmaker to such
person in respect of such bet excluding
the amount representing the amount
staked.
(b) Fifteen per centum on the amount of the
net winnings of such bookmaker.4. Any bet or stake made by way of pool
betting by any person with a licensed pool
promoter or with a licensed representative,
licensed in terms of the Pools Control Act
[Chapter 10:19].4. Fifteen per centum on the aggregate total
bets or stakes in each pool competition.5. Any bet made by way of fxed odds
betting by any person with a bookmaker
licensed in terms of the Betting and
Totalizator Control Act [Chapter 10:02].5. Fifteen per centum on the aggregate total
bets made with such bookmaker in each
fxed odds betting competition.6. Any bet or stake made by any person
through the medium of a totalizator
licensed in terms of the Betting and
Totalizator Control Act [Chapter 10:02].6. Fifteen per centum on the gross takings
of such totalizator.7. Gaming revenue received by the holder of
a casino licence in terms of the Casino Act
[Chapter 10:03] other than a temporary
casino licence in terms of that Act.7. Fifteen per centum of the gaming revenue
received in each quarter during the
currency of the licence.8. Banker’s revenue received by a banker in
terms of the Casino Act [Chapter 10:03],
other than a banker referred to in item 10.8. Fifteen per centum of the banker’s revenue
received.9. Gaming revenue received by the holder of
a temporary casino licence in terms of the
Casino Act [Chapter 10:03].9. Fifteen per centum of the gaming revenue
received during the validity of the licence.10. Banker’s revenue received by a banker in
terms of the Casino Act [Chapter 10:03]
under an agreement with the holder of a
temporary
