The Zimbabwe Revenue Authority (ZIMRA) has announced that it will no longer issue tax clearance certificates to companies that are not trading, as well as to VAT-registered businesses that fail to meet fiscalisation requirements.
In a public notice released on October 21, 2025 (Notice No. 59 of 2025), ZIMRA stated that only trading and compliant taxpayers, or those who have made satisfactory arrangements to regularise their compliance, will be issued with Tax Clearance Certificates (ITF263).
According to the authority, compliance includes the submission of all required tax returns, payment of all outstanding taxes, and adherence to fiscalisation requirements.
“ZIMRA therefore advises all taxpayers that, with immediate effect, Tax Clearance Certificates (ITF263) will no longer be issued to taxpayers that:
a) are not trading,
b) do not use installed or registered fiscal devices to record all sales transactions, if registered for VAT,” the statement read.
The tax authority emphasised that compliance extends beyond return submissions and payments. VAT-registered taxpayers must also meet the obligations of the Fiscalisation and Fiscalisation Data Management System (FDMS). Furthermore, they must provide required information to the Commissioner, such as details of an appointed public officer, as stipulated by law.
ZIMRA encouraged non-compliant companies to take advantage of the voluntary disclosure facility to regularise their tax affairs, avoid penalties and interest, and become eligible for tax clearance certificates.
While the directive is aimed at tightening compliance and promoting transparency, it may place newly formed companies at a disadvantage. Firms that have not yet commenced trading but are seeking their first contracts may find themselves unable to obtain a tax clearance certificate and thus subject to a 30 percent withholding tax. Analysts suggest that rather than imposing a blanket measure, ZIMRA should consider handling cases individually to avoid penalising businesses still in their formative stages.
Companies are being urged to adhere to tax regulations to ensure smooth operations and continued eligibility for tax clearances.
The latest notice forms part of ZIMRA’s ongoing efforts to strengthen tax compliance and curb delinquency among businesses.
