Zimbabwe Introduces VAT System Modernization Measures
The Zimbabwe Revenue Authority (ZIMRA) is advancing its digital tax infrastructure through significant enhancements to the Tax and Revenue Management System (TaRMS). These updates, aimed at modernizing the administration of value-added tax (VAT), apply to all VAT-registered entities beginning on June 1, 2025.
New Features to the Tax and Revenue Management System
The upgraded TaRMS platform is available for tax periods starting on June 1, 2025, and enables the automatic exchange of data with the Fiscalization Data Management System (FDMS), generation of VAT input tax schedules, and management of credit and debit notes.
New Obligations for VAT-Registered Taxpayers
According to Public Notice 30 of 2025, issued on May 15, 2025, all VAT-registered taxpayers—including those operating below the USD 25,000 registration threshold—must comply with new fiscalization requirements by May 31, 2025. This includes:
- Submitting detailed buyer information—such as name, address, contact details, taxpayer identification number (TIN), and VAT registration number (where applicable)—on all fiscal tax invoices, credit, and debit notes to FDMS
- Using compliant fiscal data submission methods integrated with TaRMS and FDMS
The upgraded system allows validation of fiscal tax documents via the ZIMRA-FDMS online portal. Verification may be conducted via an invoice verification number or QR code.
Timeline and Acceptable Methods of Compliance
To comply with the requirements, businesses may choose among several technical solutions, including:
- Mobile point-of-sale (POS) systems
- Electronic cash registers
- FDMS-compatible APIs for data recording and submission to ZIMRA’s servers
The selected solution must be fully upgraded and meet the specifications outlined in Public Notice 30. Hardware fiscal devices may be purchased from authorized suppliers, while virtual solutions can be developed internally or by third-party vendors.
All required upgrades and integrations must be completed by May 31, 2025, to avoid penalties and ensure continued VAT reporting capability.
There’s more you should know about global e-invoicing changes – learn more about the new and upcoming regulations.
