Government Confirms Eight New Taxes Take Effect from January 2026

Zimbabwe introduces eight new taxes in 2026, including digital services, mining export levies, property, and gambling reforms (image source)

The Zimbabwean government has confirmed that eight new tax measures are now in force from January 2026, a sweeping fiscal package aimed at broadening the revenue base. Officials say the measures are necessary to stabilise public finances, but business groups warn they could increase costs for consumers and investors.

Digital Services Withholding Tax

A headline measure is the 15% Digital Services Withholding Tax (DSWT), which applies to payments made from Zimbabwe to offshore digital platforms, including streaming services and ride-hailing apps. Banks and regulated payment processors are responsible for collecting the tax at the point of transaction, prompting notifications from local banks to customers.

Consumption and VAT Changes

The standard VAT rate has been adjusted to 15.5%, and zero-rating has been removed for certain tourist services, including accommodation for non-residents and hunting safaris, which is expected to raise costs for foreign visitors.

Mining Export Levies

The mining sector faces new export levies, including a 10% export tax on lithium ore, antimony, and unbeneficiated chrome, and a 3% levy on sales and exports of coal, lithium, black granite, quarry stone, and dimensional stone. Authorities say the measures aim to capture greater value from mineral exports.

Gambling Tax Overhaul

The gambling industry has seen significant increases: withholding tax on winnings rises from 10% to 25%, while operators’ gross takings tax jumps from 3% to 20%. Operators were required to submit returns under the new regime in early January.

Property and Rental Measures

New rules include a capital gains tax on disposals of shares in companies whose principal asset is land, targeting transactions that previously avoided property transfer duties. Landlords renting business premises will now face a Presumptive Rental Income Tax of 15%, part of efforts to formalise informal rental income.

Business and Consumer Impact

Business groups and consumer advocates have warned that the combined effect of these measures could increase the cost of living and dampen investment. The digital services tax, in particular, may be unpopular as it directly affects everyday online transactions and international payments.

The government maintains the measures are necessary to broaden the tax base and strengthen public finances. Authorities have indicated that administrative guidance will accompany the rollout, and taxpayers are urged to consult official channels for compliance details.