JUST IN: Finance Minister Professor Mthuli Ncube given deadline to REVERSE 2 cents tax


Social movement group #Tajamuka/Sesijikile says has given Finance and Economic Development Minister, Professor Mthuli Ncube up to the 15th of October to reverse the new 2% Tax or face mass protests.

In a strongly worded letter to the Minister, the pressure group said is will embark “an array of constitutionally guaranteed measures to expose government politically”

The grouping said the measures include mass protests, demonstrations, picketing, stay-aways – a total national shut down.

Reads part of the letter, “The people of Zimbabwe, in their collective, within and outside the country, totally reject your grossly unfair 2% money transfer tax. We urge you to immediately abandon it.

“Delivery of this letter serves you a one-week ultimatum, expiring on the 15th of October 2018, to have positively responded to the demands of the people.

“In the event that you choose not to heed the voice of the people, we will embark on an array of constitutionally guaranteed measures to expose government politically. The measures will include, but will not be limited to mass protests, demonstrations, picketing, stay-aways – a total national shut down.”

This in response to measures introduced by Ncube where the government raised tax on electronic financial transactions from 5 cents per transaction to 2 cents per dollar transacted in a bid to raise billions of dollars to shore up the revenue base.

However, Ncube yesterday climbed down from his earlier statement as he unveiled several exemptions to the tax on monetary transfers saying the 2 cents per dollar tax will only apply to transactions of $10 and above while intra-company transfers, as well as transfers of salaries, tax payments, foreign currency-related payments and transfer of funds by the government, will also be exempted.

The Finance minister added that intra-company funds transfer, including transfer from intermediary accounts, transfers on purchase and sale of equities, purchase, and redemption of money market instruments, salary and tax payments and transfers to intermediary accounts will also be exempted.

Since the tax increase, prices of some basic goods at a number of retail shops in Harare’s central business district, which include cooking oil, mealie meal, flour, washing powder, and rice, have gone up.

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