Delta Corporation Limited is facing a US$73 million tax dispute with the Zimbabwe Revenue Authority (ZIMRA), covering principal, penalties, and interest for value-added tax and income tax from 2019 to 2022. The company argues that local-currency payments, devalued by inflation and currency depreciation, were not considered; thus, the debt is inflated.
This was revealed in the company’s half-year ended 30 September 2025 financial results.
Delta has received adverse judgments from the High Court and Supreme Court but is appealing in various courts, including the Constitutional Court. As of September 30, 2025, Delta had paid US$13.7 million under the “pay now, argue later” principle.
The company is engaging with ZIMRA, seeking guidance from tax experts and lawyers to resolve the issue. Delta paid US$147 million in current taxes in Zimbabwe for the six months ended September 30, 2025, a 19% increase from the previous year.
The tax dispute significantly impacts Delta’s operations, and the company is exploring options, including using government-owed treasury bills to offset tax liability.
