Zimra simplifies PAYE management
ZIMBABWE Revenue Authority (Zimra) has announced the launch of an Employee Management Module, under its popular TaRMS platform set to come into effect with the January 2025 pay-as-you-earn (Paye) return.
Tax and Revenue Management System (TaRMS), is a product of Zimra’s business process re-engineering (BPR) programme launched in 2022.
The BPR identified digitalisation as the key aspect of improved service delivery to Zimra’s diverse clients.
The TaRMS commenced in 2022 following an intensive user needs analysis and assessment.
It was introduced to close the gaps that have historically affected efficient revenue collection.
This is also in line with the authority’s shift towards automation and digitalisation. This new Employee Management Module aims to streamline the registration of employees and the declaration of their earnings, making the tax process more efficient for employers.
“The Employee Management Module will provide a platform for entities to register their employees and declare their earnings, allowing for automatic tax computation by the system,” explained Zimra’s domestic taxes commissioner, Mr Misheck Govha.
He said each registered employee will be allocated a tax identification number (Tin), and those who are already registered will retain their existing Tins
Zimra said the new Employee Management Module will include several features with the most notable being the Comprehensive Employee Registration, Flexible Registration Options, Additional Tax Credits, Auto-filling of Paye and Aids Levy.
“Under the Employee Management Module, employers will be able to auto-fill Paye and Aids levy. After generating earnings for all employees, the Paye and Aids Levy will automatically populate on the Paye return within the tax returns management module.
“Additionally, Employers can choose to register employees individually or utilise the Employee Upload Function to register multiple employees at once,” said Mr Govha.
To fully benefit from the system’s Comprehensive Employee Registration, Zimra said employers must declare essential information when registering employees, including marital status, blindness, physical disabilities (for both employees and their children) and the date of birth.
Zimbabwe Revenue Authority (Zimra)
This data will enable the system to automatically grant applicable tax credits.
“Zimra encourages all taxpayers and employers to familiarise themselves with the new Employee Management Module to ensure compliance and a smooth transition,” he said.
The new Module also provides for additional tax credits under which employers will also have the opportunity to declare other tax credits, such as medical aid contributions and medical expenses credits, during the earnings declaration process.-chronicle
