by Christopher Makaza
The Zimbabwe Revenue Authority (ZIMRA) Commissioner General, Ms Faith Mazani said corruption at border posts was a major hindrance to revenue collection.
Speaking at an International Customs Day celebration on Monday in Harare, Commissioner Mazani said ZIMRA was going to put in place a raft of measures to curb smuggling. She went on to disclose that ZIMRA was on a move to boost compliance levels by setting up an anti-smuggling unit.
Commissioner Mazani revealed that the revenue authority wants to procure high technology scanners as well as use sniffer dogs to curb smuggling. She told the people gathered at the celebrations themed, “Customs fostering sustainability for people, prosperity and Planet,” that the key tasks of Customs was to fight against transnational crimes, prevent entry of prohibited products as well as collecting duty on behalf of the States.
Speaking at the same event, Finance and Economic Development Minister, Professor Mthuli Ncube bemoaned the leakage of gold saying it was on the increase. The Minister said there was need to curb the rise through setting up of task force groups involving all stakeholders at border posts, who will be given the mandate to ensure that proper border control mechanisms are put in place.
Minister Ncube revealed that ZIMRA surpassed its 2019 target of $18.5 billion by 25.25 % after it had collected $23.9 billion over the fiscal year.
Meanwhile, a contact within ZIMRA revealed that there was rampant tax evasion by influential politicians who sometimes delay paying their tax, waiting to take advantage of the volatility of the exchange rate. Contact highlighted that ZIMRA had a potential to collect more than $25 billion but was failing due to corruption.
An economic analyst who preferred anonymity suggested that Government should incentivise the tax collector so that it improves the revenue collection. Previously Government used to give ZIMRA 5% of the surpassed revenue amount as part of incentivising the tax collector which used to contribute about 30% of the country`s GDP.
According to the analyst, the tax collector is expected to collect $58.64 billion which is 17.2% of GDP estimated at $340 billion.
