ZIMRA Net Collections Hit ZWG$100 Billion in 2024

Oscar J Jeke- Zim Now Reporter

The Zimbabwe Revenue Authority recorded net tax collections amounting to ZWG$107.12 billion in 2024, surpassing the set target of ZWG$105.73 billion by 1.31%, according to the latest revenue performance report.

The strong revenue performance highlights ZIMRA’s continued efforts to enhance tax compliance and efficiency despite economic challenges. The gross annual tax revenue stood at ZWG$110.50 billion, with refunds amounting to ZWG$3.38 billion deducted to reach the net collections figure.

ZIMRA Board Chairperson Antony Mandiwanza credited the achievement to improved revenue collection strategies, digitalisation, and policy measures that boosted compliance.

“The success in 2024 is a testament to the collective efforts of all stakeholders. The stabilization of the exchange rate, enhanced tax administration systems, and strengthened compliance enforcement have played a crucial role in helping us exceed our revenue targets,” said Mandiwanza.

The revenue authority also recorded impressive growth in the second half of 2024, with net collections reaching ZWG$69.22 billion—exceeding the target of ZWG$64.60 billion by 7.15%. This positive variance was attributed to the introduction of new policies streamlining tax exemptions and zero-rated goods, which resulted in an 88% increase in VAT on local sales.

ZIMRA also made significant strides in technological advancements with the launch of the electronic tariff system, the ASYCUDA upgrade, and the Fiscalisation Data Management System. These innovations have improved tax collection efficiency and enhanced real-time data sharing with taxpayers.

Despite the positive revenue performance, challenges such as tax debt accumulation remain. ZIMRA reported that 80% of outstanding tax debt stems from new assessments following audits and investigations, while the remaining 20% consists of unpaid current obligations.

Additionally, ZIMRA has set an ambitious revenue target of US$7.155 billion for 2025, representing a 17% increase from 2024.

The revenue authority plans to achieve this through enhanced tax compliance, expanded digital platforms, and continued policy reforms aimed at broadening the tax base and minimizing evasion.