As communicated in the Commissioner General’s Public Notice No. 10 of 2013, the Statutory Instrument 97 of 2013 on Civil Penalty for Late Submission of Returns, Regulations, 2013 came into effect on 28 June 2013. Penalties are being levied for any previous returns that remain outstanding after 28 June 2013 and any returns not submitted by the due date thereafter.
- PENALTY CHARGEABLE
The penalty, which is with effect from 28 June 2013, is being levied at not more than thirty United States dollars(US$30) for each day the return remains outstanding up to the 181st day from the first day when such return became due.
The table below shows how the penalty shall be applied:
|Days Delayed||Remission||Penalty Chargeable||Penalty Calculation in US $||Penalty amount in US$|
|0 to 10 days||100%||0% (written warning)||$30x 10 days x 0%||$0|
|11 to 20 days||75%||25%||$30 x 20days x 25%||$150.00|
|21 to 30 days||50%||50%||$30 x 30days x 50%||$450.00|
|31 to 60 days||25%||75%||$30 x 60 days x 75%||$1,350.00|
|61 to 181 days||0%||100%||$30 x 181 days x 100%||$5,430.00|
Where a return remains outstanding after 181 days, prosecution may be instituted in addition to the payment of any penalty levied.
These provisions apply to returns required in terms of the following Tax Administration Acts:
- Ø The Income Tax Act [Chapter 23:06]
- Ø The Capital Gains Tax Act [Chapter 23:01]
- Ø The Value Added Tax Act [Chapter 23:12]
The table below specifies the required returns.
|Return||Name of Return|
|ITF 1||Return of Income : Individual from Employment|
|ITF 1A||Return of Income : Individual from Trade|
|ITF 12||Return of Income :Company|
|ITF 12C||Self-Assessment: Individual and Company|
|ITF 16||Reconciliation of payroll details (Pay As You Earn)|
|REV 5||Return for the remittance of Withholding Taxes|
|REV 5A||Return for the remittance of Presumptive Taxes|
|CGT 1||Return for Capital Gains Tax|
|VAT 7||Return for the Remittance of Value Added Tax|
- Reminder for Payments
- Our valued clients are hereby reminded that the employees tax (PAYE) for the month of January 2014 is due on or before the 10th of February 2014
- ITF16 return was due on 30 January 2014
- Lastly we urge our clients to always pay taxes due on prescribed dates to avoid penalties and interest chargeable for failure to comply.
Visit the Zimra website for more information www.zimra.co.zw