Tourism players want taxation system simplified

Zimra Commissioner General Ms Regina Chinamasa (file image)

Zim Now Writer

Players in the tourism sector want the Zimbabwe Revenue Authority to create an efficient and simple taxation system

“Refunds processing takes too long while the announcement and gazetting of SIs must be synchronised so that there isn’t too much lag time between the two processes as Zimra doesn’t honour the period before gazetting, for example the exemptions,” said Hospitality Association of Zimbabwe president Farai Chimba at a taxation engagement breakfast meeting organised by the Zimbabwe Tourism Authority and Zimra in Bulawayo last Friday.

The meeting gathered various figures from the tourism sector. Young people in tourism were also represented.

Zimra Commissioner General Ms Regina Chinamasa said tourism has a huge potential to contribute to the economy towards realisation of Vision 2030 and that the authority is keen to engage stakeholders and ensure continuous two-way communication.

“It’s therefore, imperative that we always gather to have honest discussions to find solutions to the challenges that the tourism sector faces as it seeks to comply with the country’s tax and customs laws, and this platform is the perfect one which sets the tone for other future engagements,” said Ms Chinamasa.

Communication by the tax authority was raised as an area for urgent attention and improvement. Players indicated that while the industry is a beneficiary of a number of tax rebates, information gaps related to the multiplicity of statutory instruments on taxation as well as delays in facilitation of refunds erodes the benefits.

Operators said gaps in messaging exacerbated challenges created by the lag between policy announcement and implementation, resulting in them being penalised for back payments that the authority would not have started effecting in the period under review.

Ms Chinamasa said that the authority would work on improving, informing participants that the law must always be taken into cognisance in all processes.

“We continue to engage and synchronise policy pronouncements and actual implementation in our operations bearing in mind that Zimra operates within the purview of legislation,” she said.

“Zimra must consolidate on what is valid and disseminate the information to clients on time,” said Promise Ncube from Maleme Lodge.

Ms Chinamasa conceded that Zimra needs to better its deployment on multiple communication channels to increase impact. She also urged participants to utilise digital channels where the information they need is readily available.

Centralisation of Zimra operations was another pain point raised.

“Why do I have to travel all the way to Harare just to get a tax form? Can’t Zimra decentralise its operations and have a one-stop-facility where we make all the payments at one go?” a participant queried.

Ms Chinamasa said she the authority would look at addressing the issues raised and implement change where possible like on turnaround times.