ZIMRA Ready To Tax Cryptocurrency

ZIMRA Ready To Tax Cryptocurrency

Taxman Commissioner-General Faith Mazani, speaking with Trevor Ncube, said the Zimbabwe Revenue Authority (ZIMRA) is ready to tax cryptocurrency dealers in the country.

The Commissioner-General said cryptocurrency traders are treated just like any other income

“If we come across somebody who is in the business of buying and selling bitcoins or whatever (any kind of cryptocurrency) we tax them. So they are treated like any other income.”

“If it (cryptocurrency) is for capital, it’s also addressed from a capital investment or capital investment portfolio. So the issue is yes we are ready.”

In 2018 Zimbabwe’s High Court suspended Reserve Bank of Zimbabwe’s (RBZ) ban of cryptocurrency.

The ZIMRA boss, however, said the law is very clear on cryptocurrency trading.

“… what I haven’t heard is the regulation of it (cryptocurrency) but from a tax point of view our law says if you are involved in an activity for the purposes of earning income, it becomes taxable.”

RBZ Bitcoin regulation has not been clear since the High Court decision to suspend the cryptocurrency ban in Zimbabwe.

Authorities in African countries have in the past issued warnings and messages against the use of cryptocurrency.

African authorities, in terms of information, are becoming aware of cryptocurrency according to ZIMRA’s Commissioner-General.

“There is a lot of education that is going on and we are working with organisations like the African Tax Administrators Forum which is a board of Africa countries and we are getting a lot of education.” she said (sic)

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