Fresh calls to scrap 2% tax

ZIMBABWE’S 2% intermediated money transfer tax (IMMT) is the highest charge on electronic transactions across Africa and should be scrapped because it affects the poor more, non-governmental organisation Fight Inequality Alliance-Zimbabwe has said.

Under the tax, transactions between $10 and $500 000 attract a two cents per dollar tax to raise revenues and reduce government borrowing, especially through the issuance of Treasury Bills and a Reserve Bank of Zimbabwe (RBZ) overdraft facility.

Fight Inequality Alliance Zimbabwe said the tax was not fair to the poor.

This story is for NewsDay subscribers.