The government is now targeting landlords who are not paying tax on rental income, saying a house that generates rent is treated as a business and must contribute to the fiscus.
In a post on X, Information, Publicity and Broadcasting Services permanent secretary Nick Mangwana said rental income is taxable in Zimbabwe as it is in many other countries.
“Did you know? In Zimbabwe, as in many countries, a house that generates rental income is treated as a business. It’s simple: if a property is raising money, it should contribute to the national coffers like any other income-generating venture,” Mangwana said.
He said the taxation of rental income is not a new policy but is provided for in law, and what is new is the enforcement approach being adopted by the Zimbabwe Revenue Authority (ZIMRA).
“The Government, through ZIMRA, is now actively identifying property owners to ensure compliance. To make this effort yield immediate fruits, they have started with affluent areas where rental incomes are higher. It’s a cost-benefit strategy: deploy resources where the returns make sense,” he said.
Mangwana warned that property owners earning rental income should expect enforcement action.
“If you earn from property, expect ZIMRA to come calling. It’s time to pay your dues,” he said.
