Africa

Zimbabwe

Corporate rate
25.75%
Top personal rate
41.2%
VAT / GST rate
15.5%
One-sentence summary Zimbabwe's corporate tax position: 25.75% standard rate (includes 3% AIDS levy on the base 25% rate). Personal income tax: Progressive up to 41.2% (includes AIDS levy). VAT/consumption tax: 15.5% standard rate.

Corporate Tax Rate

25.75% standard rate (includes 3% AIDS levy on the base 25% rate).

Personal Tax Rate

Progressive up to 41.2% (includes AIDS levy).

VAT / GST Rate

15.5% standard rate.

Residency

Zimbabwe primarily applies a source-based system: income tax is generally levied on Zimbabwe-source (or deemed Zimbabwe-source) income, including for individuals and corporations incorporated in Zimbabwe. Notably, the foreign income of local corporations forms part of taxable income under the Income Tax Act's specific rules - so the system isn't purely territorial for corporate foreign income in all cases; confirm current specifics with ZIMRA or a licensed advisor given some conflicting characterizations across sources. Non-residents are taxed on Zimbabwe-source income and subject to a range of withholding taxes, some reduced by applicable treaties.

CFC Rules

Zimbabwe has no Controlled Foreign Corporation rules.

Thin Capitalization

Zimbabwe applies a 3:1 debt-to-equity ratio: where a company, branch, or subsidiary's ratio exceeds this threshold, a portion of overall interest is disallowed, and the disallowed interest is treated as a deemed dividend subject to 15% withholding tax. The restriction applies only to borrowing by local affiliates from non-local affiliates - a 2019 Ministry of Finance clarification confirmed the rule doesn't extend to debt with unrelated domestic financial institutions (absent tax-avoidance collusion) or to government-credit-facility debt held by public entities.

Treaty Network

Zimbabwe has double tax treaties with a number of countries including Canada, Mauritius, the Netherlands, South Africa, and the UK. Zimbabwe is not a signatory to the OECD's Multilateral Convention on Mutual Administrative Assistance in Tax Matters.

Sources: Trading Economics - Zimbabwe tax rates (Zimbabwe Revenue Authority). Page last verified: August 07, 2026. General information only - confirm current rates with a licensed advisor in this jurisdiction before relying on this page.