The Zimbabwe Revenue Authority (ZIMRA) has surpassed net revenue collections targets for May by 11 percent due to intensified audits and enforcement activities, improvements in operational efficiency, and client engagement initiatives that are being undertaken to enhance revenue collections.
Figures made available to the ZBC News by the government’s revenue collector today indicate gross revenue collections for May amounted to US$307.35 million against a target of US$262.21 million.
Gross collections from value added tax (vat) on local sales amounted to US$63.12 million and thus, exceeded the target of US$55.60 million by 14 per cent.
VAT refunds for the month of May 2017 amounted to US$16.54 million, resulting in net collections of US$46.59 million.
Net VAT collections were, therefore, 16 percent below the target.
However, the revenue head grew by 19 percent from US$39.05 million that was collected in May 2016.
Collections from VAT on imports for the month of May 2017 were US$37.39 million, which is 31 percent above the targeted US$28.50 million.
The positive performance of the revenue head can be attributed to an increase in foreign currency allocations to banks by the Reserve Bank of Zimbabwe to meet critical foreign payments.
Customs duty gross collections amounted to US$24.98 million against a target of US$23.59 million.
Collections under excise duty were two percent above target.
A total of US$57.34 million was collected against a target of US$56.24 million.