HARARE – The Zimbabwe Revenue Authority (ZIMRA) has announced an upcoming stakeholder engagement with churches to address tax compliance across all applicable tax categories.
The initiative is part of ZIMRA’s efforts to enhance transparency and support compliance within the religious sector.
In a public notice issued on December 11, 2024, ZIMRA reminded churches of critical tax guidelines. It clarified that income from donations, tithes, offerings, and other contributions remains exempt from income tax, as does non-trading income such as investments conducted on behalf of the church or its institutions.
However, ZIMRA highlighted that income derived from trading activities is subject to taxation. Examples include revenue from the sale of church-branded merchandise, literature, or music, as well as meals, clothing, and similar items. Such sales may also attract Value Added Tax (VAT), depending on the volume and thresholds.
The tax authority urged all taxpayers, including churches, to register for applicable taxes, submit outstanding returns promptly, and make full payments within the stipulated deadlines. Churches were encouraged to utilize the TaRMS Self-Service Portal and ZIMRA’s Self-Service Centres for filing returns and payments to avoid penalties and interest charges.
ZIMRA emphasized the importance of voluntary compliance, stating: “By staying compliant, you contribute to a fair and sustainable tax system that supports national development.”
Further details regarding the date and venue for the stakeholder engagement will be communicated in due course.
