Zimbabwe’s Finance (No. 7) Act of 2021, contains the following changes that affect payroll processing:
- Tax tables - See Section 6
The tax tables for the various tax periods in both the local(RTGS/ZWL) and foreign currency(USD).
Effective 1 January 2022.
2. Bonus exemption – See Section 13(d)
The tax-free bonus has increased to ZWL100 000 (USD700).
Effective 1 November 2021
3. Exemption for retrenchment packages, severance pay, gratuity, or similar benefit – See Section 13(e )
The exemption is ZWL400 000(USD3200) or 1/3 of the package up to a max of ZWL2 000 000(USD15 100).
Effective 1 January 2022.
Update:
A tax file has been deployed for the Tax-free Bonus on 20/12/2021 and a message is reflected on the site.
