2025 TAX AMENDMENT ACT SUMMARY

– Standard rate remains at 24%
– Mining sector rates adjusted:
  • Platinum: 10% → 12%
  • Diamonds: 15% → 17%
– Special Economic Zones (SEZs): 15% → 17.5%

– Tax-free threshold increased from ZWG 30,000 to ZWG 50,000 monthly
– New top marginal rate of 45% for income above ZWG 1 million/month
– Medical aid deduction limit increased to ZWG 1,000/month

– Dividends: 10% → 12%
– Royalties: 15% → 17.5%
– Non-resident service fees: 15% → 20%

– Increased from ZWG 40,000 to ZWG 60,000 annual turnover
– Voluntary registration now allowed for businesses with ZWG 30-60,000 turnover

– 150% deduction for capital equipment purchases
– 5-year tax holiday for new manufacturers in designated zones
– Reduced withholding tax on raw material imports (10% → 7.5%)

– VAT exemption on solar equipment extended to 2027
– Carbon tax credit system introduced
– Accelerated depreciation for green energy investments

– Mandatory for all VAT-registered businesses with turnover > ZWG 1 million
– Must integrate with ZIMRA’s system by 30 June 2025
– Penalty of 2% of turnover for non-compliance

– New documentation requirements for transactions > USD 1 million
– Country-by-country reporting for multinationals
– Penalties up to 200% of tax avoided

– Now valid for 6 months (previously 12 months)
– Required for all government tenders > ZWG 1 million
– Online verification system introduced