Zimbabwe tax system favours companies

Zimbabwe's tax system is neither fair nor equitable, as it remains skewed in favour of companies compared to individuals, an independent consultant has said.

Speaking at the Zimbabwe Coalition on Debt and Development (Zimcodd)'s media sensitisation workshop in Bulawayo last week, an independent consultant, Believer Mhlanga, said individuals contribute more to total revenues than the companies that were being offered tax holidays and incentives.

Mhlanga said this was because companies were being offered tax holidays and incentives for purposes of attracting foreign direct investment, yet citizens were not. He said policy inconsistencies and incoherence undermined revenue, as companies that were receiving incentives meant to boost their recovery, promote export and increase output were dis-incentivised from investing.