By Phillip Chichoni
13 January, 2013
Forgetting to submit tax returns on time to Zimra can be a costly mistake.
A Harare business owner found out the hard way when he received the following letter.
Apparently many people are not aware of Statutory Instrument SI 97 of 2013 which was passed by parliament just before the end of the inclusive government. After neglecting to educate tax payers about this new law for over half a year, Zimra finally decided to publish an informative article in the Herald last Thursday.
The new law imposes heavy fines to taxpayers who delay submitting completed returns for the various taxes, in addition to charging a 100% penalty plus interest on the tax amount due if payment is also delayed. As a business owner, it is wise to thoroughly read the SI (follow this link to read the Herald article). Failure to comply with this law can result in heavy financial punishment, which you don’t need in this current illiquid economic environment. I would advise you seek the services of professional tax consultant to assist you in keeping your tax returns and payments in order to avoid being caught on the wrong side of the law.
Phillip Chichoni is a business planning, accounting and tax consultant who works with SMEs. He is also a trainer, coach and author, having written books that include “Business Planning Simplified”, The Entrepreneur’s Guide to Starting a Business in Zimbabwe”, “High Impact Low Cost Marketing Strategies for SMEs” among others. You can contact him by email, email@example.com, or visit http://smebusinesslink.com.