The Zimbabwe Taxpayers Platform (ZITAP) recently launched the Parliamentary Tax Watch program to monitor and influence tax legislative reform.
MPs are increasing the pressure on the government to rethink Zimbabwe’s tax system, arguing that tax reforms for citizens and businesses to thrive are long overdue.
ZITAP agrees that the current tax regime feels heavy on ordinary people, light on incentives, and unfair to struggling households.
Retirees Still Paying Taxes
With the public pension funds eroded by inflation and currency changes over the last decades, the taxation of retired government workers has attracted the spotlight.
Lawmakers questioned why pensioners battling high living costs and health expenses should still have their eroded income taxed, especially with Zimbabwe’s life expectancy hovering around 62 years.
The Minister of Public Service pointed to the law that taxes income regardless of age.
The Ministry of Finance admitted it may need to consider tax relief for retirees, a move MPs believe would restore their dignity.
Boosting Arts, Sports and Culture
MPs also pushed for new incentives to encourage businesses to support the creative economy, from sports and arts to film and gaming.
ZITAP believes that, while the corporate tax rate dropped slightly to 24%, it advocates tax measures balancing the need to collect revenue and to promote bankable projects in the sector to create employment for Zimbabwe’s talented youth.
Specific proposals from MPs include tax deductions for companies that sponsor sport, arts and culture, tax breaks for creatives, VAT reduction on cultural goods, and zero-duty on arts and sports equipment.
ZITAP also believes the government should pursue non-tax incentives.
MPs believe the Treasury should open a special office to consider these measures.
The Informal Sector Question
A recent ZIMSTAT survey revealed that the informal sector constitutes 76.1% of the economy.
Compliance with the tax regime is as low as 30% with most traders operating outside the tax net. MPs argued that continuing to squeeze only the formal sector is unsustainable.
MPs continue to push for the government to use incentives, education and simplified systems to bring more people into the fold.
Widening the base, they said, is fairer than raising taxes on those already carrying the load.
A Call for Fairness
Across the debates, one theme ZITAP has been pushing stood out — fairness. MPs said taxes should not feel like a punishment.
Instead, they should protect the vulnerable, encourage innovation and support growth. Retirees deserve relief, businesses need incentives, and informal workers must be given a fair pathway into the system.
The Ministry of Finance is expected to respond to these recommendations in the next budget. Zimbabweans hope that the government listens and that taxes can start working for the people, not just against them.