President assents to 2022 Budget

Online Desk |  1 year ago | top

President Mnangagwa has assented to the 2022 National Budget presented by Finance and Economic Development Minister Professor Mthuli Ncube in November.

Prof Ncube presented a $927 billion budget that was welcomed as people-centred by ordinary Zimbabweans.

Last Friday, Government Gazette published the two Budget Acts, the Finance Act, which deals with taxation changes and other revenue mattes, and the Appropriation Act, which gives permission to the Government to spend.

The Finance amends the Income Tax Act, the Value Added Tax Act, the Capital Gains Act, the Customs and Excise Act and the Revenue Authority Act.

It gives effect to the fiscal measures mentioned by Prof Ncube in the National Budget statement delivered and make certain modifications to improve revenue collection and administration.

The Appropriation Act provides for the money allocated to all ministries and Government departments.

Both Acts were passed by the Parliament without amendments.

Some of the tax measures presented by the Minister and contained in the Finance Act include the adjustment of the tax free threshold from $10 000 to $ 25 000 and also adjust the tax bands to end at $500 000 above which a marginal tax rate of 40 percent effective January 2022.

The Act also provides for the adjustment of the local currency tax-free bonus threshold from $25 000 to $100 000 and the foreign currency tax-free bonus threshold from US$320 to US$700, with effect from November 1, 2021.

Of the $927 billion the Government expects to mobilise $858 760 712 000 through the Consolidated Revenue Fund.