ZIMRA Tax Guide for SMEs (2026)
QPD, VAT, PAYE, and corporate income tax explained for Zimbabwean small business owners — no accounting degree required.
What You Actually Pay, and When
Quarterly Payment Declaration (QPD)
1.5% of turnoverWho pays: All registered companies and sole traders — even if you made a loss.
Due: Every quarter: 31 March, 30 June, 30 September, 31 December.
QPD is a provisional tax payment that ZIMRA collects quarterly. It is 1.5% of your top-line revenue — not profit. Even if your business broke even or lost money this quarter, you still file and pay. Companies with quarterly turnover below ~US$12,000 may be exempt. Pay in full at the end of each quarter.
Value Added Tax (VAT)
15% standard rateWho pays: Businesses with taxable turnover exceeding US$40,000 annually (voluntary registration also available).
Due: VAT returns are filed monthly via the ZIMRA portal. Payment due 30 days after month-end.
VAT is ZIMRA's main indirect tax. The standard rate is 15%. Charge VAT on sales (output VAT) and deduct VAT paid on purchases (input VAT). The difference is what you pay ZIMRA. If output VAT is less than input VAT, you get a refund. Keep meticulous VAT invoices.
PAYE (Pay-As-You-Earn)
Progressive bandsWho pays: Any business that employs staff — even a single employee.
Due: Monthly, by the 10th of the following month.
PAYE is ZIMRA's income tax withholding on employee salaries. Deduct the correct amount from each payroll and remit by the 10th of the following month. Failure to remit results in penalties equal to the tax owed, plus interest.
Corporate Income Tax (CIT)
24.72% of net profitWho pays: All incorporated companies filing annual returns.
Due: Annual, due 6 months after financial year-end.
CIT is 24.72% of taxable profit. Qualifying SMEs (turnover < US$600,000 per annum) pay 0% CIT on the first US$12,000 and 25% on the balance. ZIMRA is gradually moving to electronic self-assessment. File your CIT return via e-Services.
Avoid These 5 Common Mistakes
Confusing QPD with CIT — they are filed separately and calculated differently
Filing late to save cash — penalties are typically larger than the tax you're avoiding
Not claiming input VAT because you forgot to keep supplier invoices
Mixing personal and business transactions — makes audits harder
Waiting six months to register — ZIMRA can back-date tax liabilities to when you started trading
Stay on top of tax deadlines
Radbit SME Hub sends you reminders for every ZIMRA obligation — QPD, VAT, and CIT — so you never miss a filing.
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