Cal­cu­la­tion of duty on im­ported cloth­ing items and shoes

Any per­son who im­ports items of cloth­ing and shoes is re­quired to make a dec­la­ra­tion of the na­ture, quan­tity and value of the items. ZIMRA re­serves the right to ac­cept the de­clared val­ues and in some cases, may re­ject the de­clared val­ues where such val­ues

The Manica Post - - Business News -

VALU­A­TION of im­ported goods is done in ac­cor­dance with the pro­vi­sions of Sec­tion 105 of the Cus­toms and Ex­cise Act (Chap­ter 23:02).

The fol­low­ing doc­u­ments are re­quired on im­por­ta­tion:

• In­voice(s);

• Freight state­ment (where ap­pli­ca­ble);

• Pack­ing list(s) show­ing quan­ti­ties and weight (where ap­pli­ca­ble); and/or

• Any other re­lated doc­u­men­ta­tion

Cal­cu­la­tion of duty on new cloth­ing items for both com­mer­cial and pri­vate pur­poses is based on the Value for Duty Pur­poses ( VDP), which con­sists of the cost, in­sur­ance, freight ( CIF) and any other in­ci­den­tal charges in­curred in bring­ing the goods up to the point of im­por­ta­tion into Zim­babwe.

The rate of duty is based on the value as well as the weight of the clothes or the num­ber of pairs of the shoes. The ap­pli­ca­ble rates of duty are con­tained in the Cus­toms and Ex­cise Tar­iff No­tice pub­lished in Statu­tory In­stru­ment 53 of 2017 and are cur­rently 40% plus US$ 3/kg for new cloth­ing and 40% plus US$ 1 per pair for new shoes. For com­mer­cial im­por­ta­tions, Value Added Tax is payable at the rate of 15%.

Duty on sec­ond hand clothes and sec­ond- hand shoes is cal­cu­lated based on the weight of the goods and the rate is US$ 5 per kg. For com­mer­cial im­por­ta­tions, VAT at the rate of 15% is also payable.

Clients should note that the im­por­ta­tion of sec­ond hand clothes and shoes is re­stricted and re­quires an im­port li­cence,which is ob­tained from the Min­istry of In­dus­try and Com­merce.

Pre­sump­tive Tax at the rate of 10% of the VDP is payable on all com­mer­cial im­por­ta­tions if no valid tax clearance cer­tifi­cate is pre­sented to ZIMRA by the im­porter at the time of clearance.

VAT is cal­cu­lated on the Value for Tax Pur­poses, which is the sum of the VDP plus the cus­toms duty payable.

Please note that it is an of­fence to make a false dec­la­ra­tion, which may re­sult in the goods be­ing seized and for­feited to the State. Im­porters are, there­fore, en­cour­aged to fully and ac­cu­rately de­clare goods they im­port.

• 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.face­ ZIMRA. 11

Send us an e- mail : zw/web­mas­

Call us (Head Of­fice) : 04 –758891/5; 790813; 790814; 781345; 751624; 752731

Newspapers in English

Newspapers from Zimbabwe

© PressReader. All rights reserved.