Itai Muzondo
GWERU – Facilitated for by the Vendors Initiative for Social and Economic Transformation (VISET) the Zimbabwe Revenue Authority (ZIMRA) and the City Of Gweru recently met with vendors to discuss the mandatory taxation policy for the informal sector, introduced by the Ministry of Finance and Economic Development.
However, the meeting was marked by tension, as vendors expressed frustration over frequent raids by ZIMRA and municipal officials, alleging that these operations often result in demands for corrupt payments.
ZIMRA and GCC officials reiterated that the informal sector must fulfil its tax obligations, but vendors argued they were being unfairly targeted without receiving corresponding public services in return.
ZIMRA taxes officer Isaac Tavara clarified that the revenue authority merely collects taxes on behalf of the government and does not control how funds are allocated or used for service delivery.
He pointed out that all informal traders—including companies, individuals, trusts, churches, restaurants, commuter omnibuses, and salons—are required to register for and comply with presumptive tax regulations.
“Informal traders are required to cooperate with tax officials when we visit their premises,” he stated.
Addressing concerns over alleged misconduct, Kudzai Manyeza from ZIMRA’s customs section dismissed claims that officials confiscate goods for personal use.
He explained that all seized items follow a formal process, from detention to release, provided owners comply with regulations.
He also warned that penalties for non-compliance could reach up to US$5,000, with the possibility of imprisonment.
Meanwhile, Procter Chauke, an accountant with City Of Gweru, urged vendors to reject corruption, noting that it benefits individuals while depriving the city and public of much-needed resources.
“Corruption involves two parties—the one paying and the one receiving. Council alone cannot combat it without the cooperation of residents and vendors.
“We must work together to ensure public funds serve their intended purpose,” he said.
Rumbidzai Dube, Midlands coordinator for VISET voiced concerns over the lack of service delivery despite revenue collection.
She also raised allegations of sexual harassment by municipal police, a general lack of taxation knowledge among vendors, limited access to affordable vending spaces, and ongoing corruption.
Chauke assured that GCC does not tolerate harassment and encouraged vendors to report any incidents.
Dube emphasized that the informal sector has become a dominant force in the economy, yet policies often fail to recognize its significance in economic development.
Meanwhile, VISET’s engagement forum seeks to promote dialogue among policymakers, informal traders, and key stakeholders to develop a fair, transparent, and accountable taxation framework—one that enhances compliance while ensuring tax contributions translate into improved public services in Gweru.
