Major Changes Effective December 2025
New Monthly Tax Clearance System
Starting 27 December 2025, ZIMRA has changed the validity period of Tax Clearance Certificates (ITF263) to one month for many taxpayers. This represents a significant shift from the previous 12-month validity period.
What is an ITF263 Tax Clearance Certificate?
An ITF263 is a Tax Clearance Certificate issued by the Zimbabwe Revenue Authority (ZIMRA) confirming that a taxpayer is compliant with all tax obligations. It's essential for:
- Bidding on government tenders
- Opening business bank accounts
- Avoiding 30% withholding tax on payments
- Importing goods without presumptive tax
- Business licensing
New 2026 Tax Clearance Rules
How the New System Works
Automatic Generation
Tax clearances are now automatically generated by the TaRMS (Tax and Revenue Management System) for compliant taxpayers. You no longer need to apply manually.
Monthly Compliance Check
The system evaluates your compliance status every month. If you're compliant, a new certificate is generated automatically.
Email Delivery
Certificates are sent to the email address registered in ZIMRA's database. Ensure your contact details are up to date.
Download from Portal
You can also download your certificate directly from the ZIMRA TaRMS portal under the 'Tax Clearance' tab.
Three Pillars of Compliance
Critical: Any Lapse = No Certificate
To receive a tax clearance certificate, you MUST meet ALL three requirements:
- All tax returns filed by statutory due dates (Income Tax, VAT, PAYE, etc.)
- All taxes paid in full (principal, penalties, and interest)
- Fiscal devices interfaced with FDMS (for VAT-registered taxpayers)
- Master data information up to date (address, email, phone, bank details)
- Multi-currency interface showing transaction currencies
Benefits of Having Valid Tax Clearance
Common Issues and Solutions
System Crashes & Delays
ZIMRA's system has experienced reliability issues. Many taxpayers report:
- System timeouts during peak periods
- Delayed certificate generation despite compliance
- Email delivery failures
Solution: Check the portal directly if you don't receive your certificate via email. Contact your ZIMRA client office if issues persist.
Policy Under Review
The shift to monthly certificates has sparked significant backlash from businesses and SMEs. ZIMRA has signaled it may adjust the system — potentially offering 6-month validity for large taxpayers and 3-month validity for smaller businesses. Monitor official ZIMRA communications for updates to this policy.
Other Key 2026 Tax Changes
Beyond the ITF263 changes, businesses should be aware of these 2026 tax developments:
- VAT increased to 15.5% (from 15%) effective 1 January 2026
- New 15% Digital Services Withholding Tax (DSWT) on payments to non-resident digital service providers
- IMTT reduced to 1.5% for ZiG (Zimbabwe Gold) transactions
- Permanent Establishment threshold reduced from 183 days to 90 days — foreign companies operating in Zimbabwe for more than 90 days in a 12-month period now trigger local tax obligations
- Domestic Minimum Top-Up Tax (DMTT) ensuring multinationals pay at least 15% effective tax rate on Zimbabwe-sourced income
How to Stay Compliant
- File returns on time - Even nil returns must be filed
- Pay taxes promptly - Set calendar reminders for due dates
- Keep fiscal devices connected - Ensure daily transmission to FDMS
- Update master data - Use REV 2 form for changes to contact details
- Monitor compliance status - Check TaRMS portal monthly
Pro Tip
Set up a compliance calendar with all your tax return due dates. Consider engaging an accountant or tax practitioner to ensure you never miss a deadline - the new monthly system leaves no room for error!