Fiscalisation and interfacing obligations for VAT registered operators

What is Fiscalisation? FISCALISATION refers to the use of fiscal devices to record taxable transactions and other tax information on the read-only fiscal memory at the time of sale for Value Added Tax (VAT) purposes. It was introduced in Zimbabwe on 8 June 2010 through Statutory Instrument 104 of 2010. Who is required to fiscalise? Every registered operator who is in category “C” was required to use fiscal devices with effect from 1st October 2011. Every registered operator who is in categories A, B and D was required to use fiscal devices with effect from 1st January 2017. How do I know the correct type of fiscal device to use? VAT registered retail operators are, for the purposes of recording taxable transactions, required to use: a fiscalised electronic register; or a non-fiscalised electronic register together with a fiscal memory device. All other operators who are not retail operators are required to use: an electronic signature device; or a fiscalised electronic register; or a non-fiscalised electronic register together with a fiscal memory device. What are my obligations as a registered operator who is required to fiscalise To acquire appropriate devices from approved suppliers To register the devices with Zimra by completing and submitting the Zimra Form FRT1. The form can be obtained or accessed from any ZIMRA office or from the approved suppliers, or the Zimra website (www.zimra. co.zw). To integrate systems to the device To ensure there is back-up power supply capable of lasting at least eight hours from the time the power supply ceases To liaise with the supplier on installation and configuration of the devices onto the system and interfacing with the Zimra server To ensure tax rates configured into the system are correct To print test Z-Report indicating that the device is now in fiscal mode To confirm with Zimra that the device is working and ready to record tax information

To liaise with Zimra on the sealing of device indicating that the device is ready for use

To record all sales using the device once it has been fiscalised and not to use any alternative systems without the approval of Zimra

To prepare daily, monthly and annual reports of sales and VAT

To keep a record of the servicing of the device

To ensure that no other person uses the fiscalised device which has been registered under your BP Number

To report all faults to Zimra promptly and no later than eight hours from the time of occurrence and get reference numbers for all faults reported

To ensure that any breaking of the seal is approved and always done in the presence of Zimra personnel.

NB: If a device is going to be out of use for more than eight hours due to interruption in power supply, theft, technical fault or any other similar reason, the registered operator is required to report to Zimra promptly and within eight hours from the time the device went out of use and receive an error report number from Zimra.

What is the EMAL? It is a national institute, built for support and advice on all aspects of environmental quality, research, treatment studies, training and environmental quality information. The laboratory started operating under EMA management in 2007, was first accredited in 2012 and has continuously maintained its accreditation status.

POLICY STATEMENT Management at EMAL is committed to continuous improvement of the effectiveness of the laboratory management system that is in compliance to ISO/IEC 17025:2005, accreditation board requirements and is reviewed yearly, making the laboratory a centre of excellence for analysis of a wide range of environmental samples with the overall objective of providing quality services to all customers. To achieve this, EMAL uses state of the art equipment, validated test methods, trained and competent staff and ensures that all personnel practice good professionalism by adhering to, familiarising with and implementing the management system on a day to day basis.

SERVICES OFFERED: 1. Biological water testing 2. Chemical water testing 3. Soil testing: the level of contamination in the soil WHAT ARE YOU TESTING FOR IN YOUR

WATER? To fi nd out the concentrations of the following chemical parameters in your water: BOD, COD, DO, Alkalinity, Ca, Cd, Cl, Co, EC, pH, Fe, K, Na, Cu, Zn, Hg, As, CN, Cr 6+, Mg, Mn, Pb, Ni, PV, G/Oil, NO3, SO4, PO4, Sulphides, TDS/TSS, NTU, TH, detergents, pesticides etc.

The microbiological tests include: total coliforms, faecal coliforms, Faecal Streptococci, E.Coli, Total plate counts @ 220C and 370C, sulphite reducing Clostridia Perfringens, Chlorophyll a and diatoms.

WHY TEST YOUR WATER? To prevent pollution in our natural water bodies and the environment.

To prevent health problems such as diarrhoea, nausea, cramps dysentery and hepatitis caused by drinking water with faecal contamination and pathogens.

To avoid bioaccumulation of heavy metals in human bodies and aquatic life. These heavy metals cause chronic diseases and damage to the central nervous system if consumed in low and high doses, respectively. To increase industrial production yield. To preserve our natural ecosystems. To reduce water purification costs.

PACKAGES OFFERED BY EMAL: Domestic water (tap, borehole, treated), Mineral water, Mining effluent, Sewage effluent, Industrial effluent, Agricultural effluent, and ambient water (river, dam and lake) test. Where is the EMAL

located? The EMAL is located at No. 6 off Pauling Drive, King George VI (KG VI) Borrowdale in Harare.

What are the sampling procedures? What International standards has the EMAL acquired?

The EMAL is pleased to inform the nation that the laboratory has been accredited by the Southern African Development Commun i ty Accreditation Services (SADCAS) to ISO/ IEC 17025.2005. This was done in 2012 and the accreditation status has been maintained to date. This has enabled the laboratory to offer reliable laboratory testing services.

Send your feedback to; eep@ema.co.zw, like us on Facebook and Twitter or visit our website www. ema.co.zw. Alternatively, call us on: Tel 04-305550/ 305407/ 305188 and Toll-free 08080028; or use our Whatsapp platform 0779565707. We are ready to listen.

If the fault occurs after business operating hours, the registered operator should make a report by 0800hrs on the following working day.

Do I get any assistance or benefit from Zimra on acquiring the fiscal devices?

Registered operators can claim 50 percent of the cost of acquisition of the fiscal devices as Input Tax on their VAT 7 Return

The remaining 50 percent is also claimable as capital allowances under the Income Tax Act for clients registered for Income Tax

The local supply of fiscalised electronic registers and fiscal memory devices is zero-rated for VAT purposes What does interfacing with Zimra mean? Interfacing means linking of a registered operator’s fiscal devices to the Zimra server. All registered operators are required to interface their fiscal devices to the Zimra server and the registered operator should contact their supplier of fiscal devices for assistance. 1. Do we have any deadlines for interfacing? All fiscal devices should be interfaced by 31st December 2017.

2. Are there any consequences for failing to fiscalise and interface devices?

Failure to fiscalise or use fiscalised devices attracts a civil penalty of US$25 per point of sale per day up to a maximum period of 181 days.

Any person whose device is not interfaced by 31st December 2017 is liable to a fine of US$25 per day up to a maximum period of 181 days.

Thereafter, prosecution procedures are instituted if one is in default. 3. Who are the approved suppliers of fiscal devices? In addition to the existing suppliers of fiscal devices, the Zimbabwe Revenue Authority has been authorised in terms of the General Notice 307 of 2017 published in the Zimbabwe Government Gazette of 23rd June 2017 to sell fiscal devices.

The fiscal devices are available for sale country wide at Zimra offices. Disclaimer This article was compiled by the Zimbabwe Revenue Authority for information purposes only. ZIMRA shall not accept responsibility for loss or damage arising from use of material in this article and no liability will attach to the Zimbabwe Revenue Authority. To contact Zimra: WhatsApp line: +263 782 729 862, Visit our website: www. zimra.co.zw, Follow us on Twitter: @Zimra_11, Like us on Facebook: www.facebook.com/ZIMRA.11, Send us an e-mail: pr@zimra.co.zw/webmaster@zimra. co.zw, Call us (Head Office): 04-758891/5; 790813; 790814; 781345; 751624; 752731