Published: 34 mins ago

Zimbabwe's domestic resource mobilisation drive has received a significant boost following the launch of a fully digital tax collection system, a move set to improve efficiency, reduce costs, save time, and close revenue leakages.

The reform, implemented through the new Tax and Revenue Management System (TARMS), reflects the government's commitment to modernising operations in line with global standards while supporting its Vision 2030 development agenda.

ZB Bank Chief Executive Officer-Banking, Elisha Chibvuri, described the development as timely and progressive. "This is a step in the right direction. If you follow global trends, then it is inevitable that most of the economies are adapting to such noble standards that seek to enhance transparency. This trend will benefit the industry in terms of bottlenecks involved in the payment of taxes," he said.

Experts say the digital platform will make tax compliance easier for businesses and individuals. Principal at the Africa Centre for Customs, Excise and Trade Studies, Elisha Tshuma, noted that the system will promote a culture of tax payment. "Coming up with a system that eases the cost of transactions for the taxpayer means saving time and encouraging the culture of paying taxes, a norm in all the globally advanced economies. It is my hope that the trend will positively affect tax payment systems across the board," he said.

ZIMRA Chairperson Anthony Mandiwanza emphasised the importance of TARMS in sustaining development projects. "Over 90 percent of government programmes are funded through ZIMRA collections. Enhancing transparency and broadening the tax base through TARMS will not only improve revenue inflows but also support sustainable economic growth. This system is a critical enabler for the country's broader development agenda," he said.

Deputy Minister of Finance, Economic Development and Investment Promotion, Kudakwashe Mnangagwa, said the government expects digital tax payment methods to strengthen revenue mobilisation and policy planning. "With this system, one can now access real-time tax data without physically visiting ZIMRA offices. It aligns with our Mid-Term Budget Review and allows for timely and accurate reporting, aiding policy decisions and enhancing accountability to the public. This is key to achieving our Vision 2030 goals of becoming an upper-middle-income economy."

The new system is expected to boost compliance, cut red tape, and increase revenues that are critical for sustaining the country's development projects.
- ZBC

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