Zimra allays data loss fears

The Zimbabwe Revenue Authority (ZIMRA) has allayed any fears of losing tax data due to a system malfunction or hacking – a situation that could result in significant financial losses perpetuated by tax offenders.

ZIMRA was responding to media reports insinuating the authority had lost tax records from the past six years, which could make tax offenders take advantage of the situation to further evade and avoid tax payments.

Instead, the authority added it has been in the process of updating its system to enhance efficiency.

“ZIMRA is working on migrating client data onto their new Tax and Revenue Management System (TaRMS), which will be more efficient and will simplify business processes through the use of automation.

“The authority is encouraging all taxpayers to update their master data information for effective communication,” said ZIMRA in a statement.

“The request for information from clients is for the purposes of updating taxpayer records since clients sometimes change physical addresses, email addresses, public officers, contact details, tax accountants as well as where there is missing information,” added the authority.

The country loses potential revenue in leakages with ports of entry contributing significantly to the leakages due to smuggling.

But in an attempt to stop leaks and increase its capacity for tax collection, the authority has committed a total of US$2,4 million for the purchase of high-tech equipment to improve security at the nation’s ports of entry.

It is known that the nation loses millions of dollars to smuggling rings that import or export commodities through unlawful crossing points and even legal borders without paying taxes or duties on exports.

The revenue collector is also upgrading its mobile cargo scanning equipment at busiest borders, including Beitbridge.-ebusinessweekly