ZIMRA Question & Answer – Belina User Group Meetings November 2025
1. Q. What is going to happen at the end of the year with the variances? Is ZIMRA going to require ITF16s because of the variances?
A. The employer may do the traditional ITF16 reconciliation to obtain a final tax position. When they do so, they must compare with TaRMS position after December earnings are loaded. Upon loading employee earnings for December, TaRMS performs the annual reconciliation and posts the final tax payable for the employee. if there are variances at this point it is because of classification of earnings (taxable and non-taxable), use of different exchange rates between the private payroll and TaRMS, tax credits granted in TaRMS but not on private payroll etc.
2. Q. The portal only deducts what ZIMRA says; are we going to be penalized because we loaded with correct tax, even though ZIMRA was under-taxing (Non-FDS employees)?
A. Ideally, ZIMRA cannot penalise an Employer for errors arising from system configurations.
3. Q. Running of weekly and bi-monthly payroll has been a source of month-on-month variances between Payroll and TaRMS. TaRMS requires one monthly upload with one rate yet i would have processed with different rates over each week during the month.
A. The employer can use an average rate for the number of weeks combined in the monthly return where the earnings are loaded. The use of the average exchange rate reduces the variances although this may not eliminate them completely.
4. Q. Is ZIMRA aware of the variance in Non-FDS employees? When is the Non-FDS module going to be live, and will we still need to upload two separate schedules? Is NON-FDS going to factor in tax credits? Is it going to use annual or monthly tax tables? Will I be required to reupload from January ?
A. The system is configured to use monthly tax tables for non FDS cases. Tax credits will not be granted by employers but by the Commissioner through the ITF1. Non FDS has been deployed in production and employers are required to amend the returns from January 2025 to date. Two separate schedules/templates will be used to upload earnings for non FDS and FDS cases.
5. Q. What will happen for employees on NON-FDS where the TaRMS are calculated incorrectly using FDS instead of the Non-FDS method, for there to be a correct figure for the year?
A. All non FDS cases must be loaded in TaRMS as such in order to correct tax computation in TaRMS. Tax computation for non FDS cases is not checked on annual basis but on a monthly basis.
6. Q. ZiG payroll exchange rate on credits, pensions, and vehicle benefits.
A. TaRMS converts all USD designated amounts to ZWG using the exchange rate provided by the employer on the field for exchange rate. This means that the exchange rate provided must be the interbank rate on the day of payment.
7. Q. Medical tax credits for the dollar for every two dollars… what happens to the balances, will it be thrown out or will it be added and considered come end of the year since the period of assessment is the whole year, not a particular month?
A. Tax on income from employment is assessed annually. Therefore, medical expenses credit will also be considered at annual level and it is only the excess of a maximum of $1.99 that will fall away.
8. Q. Taxation of employees who will have either been discharged and pending terminal benefits processing or retrenchment processing—what tax method would be applied and how are they taxed.
A. Retrenchment packages are taxed at the last rate used on the taxable income for that particular employee when they were still employed. The exempt portion is an amount less or equal to 3,200.00 or a third of the amount paid as retrenchment package up to a maximum of 15,100.00, whichever is greater (as at 04.11.2025).
10. Q. Should we still encourage clients to split their tax year when converting from a USD to a ZiG payroll, or when moving from a ZiG payroll to USD? What will happen when the minister announces new tax bands middle of the year.
A. Employers are not allowed to split a tax year on the basis of change of currency in remunerating employees. TaRMS is able to handle both currencies within a specific tax year. Where the Minister announces new tax bands, the new rates will also be configured in TaRMS effective the date of change. TaRMS is able to have more than one tax year in an ordinary calendar year.
11. Q. How are we going to start the year 2026?
A. In January 2026, all employers will be able to select a new method for tax computation, whether averaging or forecasting. Non FDS will be available for selection from January as well.
12. Q. How will payrolls reconcile with tarms so that there can be closure on the year, is there a report/ export that can be extracted from tarms and be used as a basis for comparisons.
A. TaRMS is automatically doing adjustments per month as the year progresses. Immediately after upload of December earnings, the employer can do reconciliations before submitting the December return. Year-to-date earnings is currently under development.
13. Q. What procedures are to be followed as we come to the end of the year taking into account the variances that happened during the year of assessment for 2025
A. It depends with the type of variances. Essentially, variances due to calculation methods should vanish in December. Variances due to non FDS cases taxed within FDS can now be corrected since a non FDS platform is now available. Variances due to inconsistencies in classification of income is addressed by correcting the classification of the earnings eg gratuity that is taxable vs gratuity that has an exempt portion.
14. Q. For Non-FDS employees who were previously on FDS forecast/FDS average as there were the only available options in TaRMS, chances are high that most of those employees were undertaxed. What’s the way forward to correct that problem and who is liable to pay for the underpayments is it the employee or the employer.
A. Yes, those employees were mostly undertaxed. were advised to collect tax using the PAYE system and remit it despite the computations that were done by TaRMS. Where correct tax was not withheld and remitted, the Employer is liable.
15. Q. For Non-FDS employees what’s the procedure to correct the tax method and to calculate tax correctly from now going forward. Amending tax returns and what period are we amending from and is there any grace period that we are going to be getting from our tax authority to ensure that the process is not rushed and is done correctly.
A. PAYE returns should be amended by first re-uploading earnings for non FDS cases. This must be done before end of December so that annual reconciliations are also correct. Employers that need more time to complete this task can apply to the Commissioner for approvals.
16. Q. From previous years we used to have tax adjustments applied to the year in question e.g. 2025 so that in case an itf16 is required in future the tax should balance for the year. Now with Tarms how is going to be handled.
A. TaRMS has an ITF16 in real sense in the background, after December earnings are uploaded. Our responsibility is to ensure that employee earnings are correctly declared in full. Computations may always be reviewed Where there are variances but the first responsibility is full declaration of employee earnings.
17. Q. An employee was on FDS forecast and they left employment in October 2025, they were paid their ternal benefits like retrenchment, gratuity bonuses and the tax was spread in the remaining periods, essentially there’s is nowhere to recover the tax that was spread out in the remaining periods of the year. What is the recourse in that scenario.
A. The last month of that employee, before year end, they should be taxed on non FDS. This reduces the understatement of tax. The employee is required to submit an ITF1 for recomputation of tax. Tax that was not withheld by the employer will be recovered from the employee directly.
General Policy and Process Questions
18. Q. Why did Zimra choose to implement the Non-FDS tax option in November and not introduce it from the beginning of the tax year?
A. Zimra was still in the process of developing the program.
19. Q. Why do we have to re-upload the year when Zimra clearly are at fault?
A. The public officer must amend returns as ZIMRA cannot correct on behalf of the client because it’s a self-declaration return.
20. Q. Will we be penalised if we do not re-upload the non-FDS cases?
A. Ideally, ZIMRA cannot penalise an Employer for errors arising from system configurations.
21. Q. Is there a due date for the re-uploading of non-FDS cases?
A. The due date for the re-submissions is 5 January 2026 unless the taxpayer has been granted an extension by ZIMRA.
22. Q. What has changed since the introduction of TaRMS and the tax system that has been used for the past decade that has brought up these variances considering we used to submit ITF16’s and we never had a shortfall?
A. Refunds and shortfalls for Non FDS cases have always been there even in the SAP era. Nothing has changed. The same FDS guide used in SAP is the same as the one in TaRMS.
23. Q. How can ZIMRA legally impose historical obligations for payment variances when the situation arose due to their own errors?
A. Taxpayers were advised to collect tax using the PAYE system and remit it despite computations done by TaRMS.
24. Q. Of great concern is the growing tendency for employers to avoid taking on new staff due to difficulties with Fiscus regularisation. What steps is Zimra taking to ease the challenges and promote a “Zimbabwe is Open for Business” environment?
A. Not Zimra related.
Responsibilities & Roles
25. Q. Who has the responsibility of completing & submitting the ITF1 – the employees or the employer?
A. The employee
26. Q. Who is liable for a tax shortfall, the employee or the employer?
A. The employer is liable for the payment of the shortfall.
27. Q. Are we as employers under obligation to inform former employees that they have to do this themselves?
A. Yes, you are obligated to advise them.
28. Q. Please explain, in detail, the steps to be taken by the employer for employees who have left employment during the course of the year.
A. Those who have left need to be separated as they become Non FDS and their PAYE calculated using tax tables.
Employee Tracking & Refund
29. Q. What will happen to employees that have left, where we have no way of tracking their whereabouts (when it comes to the refund from ZIMRA), where will the money be paid to?
A. The employee will personally file the ITF1 form and it has sections for banking details. Should a refund arise, it will be deposited into the employee’s account.
30. Q. Should ZIMRA identify a tax refund due to an employee, how will they notify that person and what happens if it is not claimed? Can ZIMRA deposit directly into the employee’s account?
A. The employee will personally file the ITF1 form and it has sections for banking details. Should a refund arise, it will be deposited into the employee’s account.
31. Q. Casual employees who leave employment are sometimes not contactable. How does ZIMRA propose to keep track of these employees?
A. The employer has the legal obligation to keep records of all employees for not less than 6 years.
32. Q. How does ZIMRA propose to address cases where casual employees resign but records remain inaccurate due to timing issues between Belina and TaRMS?
A. It is the employer’s obligation to keep accurate information on their employees.
33. Q. In cases where TaRMS has overcharged PAYE on employees who have left, how does ZIMRA repay refunds?
A. The employee will personally file the ITF1 form and it has sections for banking details. Should a refund arise, it will be deposited into the employee’s account.
System Functionality & Technical Issues
34. Q. Can Zimra explain why we have difficulties logging onto their system and then are penalised for late payments?
A. Payment is done through one’s bank to fund the single account. Clients do no need the system to make payments.
35. Q. TaRMS does not allow organising employees by work number or alphabetically and lacks payroll status indicators. Can improvements be made to allow for this?
A. Issue has been forwarded for consideration.
36. Q. The limitation of returns being available only from the 1st of the month is unreasonable. Will this be addressed so that returns can be uploaded once the payroll is done – often from the 20th of the month relating to the payroll?
A. This issue was also forwarded for consideration.
37. Q. The auto-load feature for monthly salaries and wages on TaRMS requires multiple uploads for full data recognition. Can this be improved?
A. This has been noted.
Tax Methods & Adjustments
38. Q. Which tax method should be applied for employees who join at the beginning of the tax year but do not complete the full tax year?
A. NON-FDS
39. Q. Which method should an employee use if they have multiple employers?
A. NON-FDS
40. Q. What is required from the employee to claim a disability or blind credit?
A. A stamped doctor’s letter showing the degree of disability or blindness.
41. Q. What happens when a medical expense is incurred during the holiday period of December and receipts are submitted in January?
A. The December return will have to be amend. Credits are considered in the year they have occurred.
42. Q. Will tax adjustments be allowed considering the submission deadline is the first day back to work in 2026?
A. Due dates are prescribed by statute, taxpayers need to plan with those dates in mind, however clients may apply for extensions if the need arises.
43. Q. Is it possible to have submissions opened earlier on TaRMS to allow submission before the holiday period?
A. Issue has been forwarded for consideration
44. Q. How will employees have access to the ITF1 that relates to themselves?
A. The ITF 1 will appear as a pending return on the individuals T.I.N
45. Q. How do we account for medical aid deductions and contributions on TaRMS for Non-FDS employees as these headings are not available?
A. Non FDS cases are not eligible for credits.
46. Q. Will returns due on 5th January be available early to allow submissions before company holidays?
A. Issue was forwarded for consideration.
47. Q. How does ZIMRA expect farm workers, many with low literacy, to complete and submit ITF1 forms? This seems discriminatory compared to the previous ITF16 process.
A. The employees may seek assistance from ZIMRA through ZIMRA kiosks and helpdesks.
48. Q. How will payrolls reconcile with TaRMS so that there can be closure on the year, is there a report/ export that can be extracted from TaRMS and be used as a basis for comparisons?
A. TaRMS is automatically doing adjustments per month as the year progresses. Immediately after the upload of December earnings, the employer can do reconciliations before submitting the December return. A Year-to-date earnings is currently under development.
49. Q. What procedures are to be followed as we come to the end of the year taking into account the variances that happened during the year of assessment for 2025?
A. It depends with the type of variances. Essentially, variances due to calculation methods should vanish in December. Variances due to non FDS cases taxed within FDS can now be corrected since a non FDS platform is now available. Variances due to inconsistencies in classification of income is addressed by correcting the classification of the earnings e.g. gratuity that is taxable vs gratuity that has an exempt portion.
50. Q. For non-FDS employees who were previously on FDS Forecast/FDS Average as there were the only available options in TaRMS , chances are high that most of those employees were undertaxed. What’s the way forward to correct that problem and who is liable to pay for the underpayments is it the employee or the employer?
A. Yes, those employees were mostly undertaxed. were advised to collect tax using the PAYE system and remit it despite the computations that were done by TaRMS. Where correct tax was not withheld and remitted, the Employer is liable.
51. Q. For non-FDS employees what’s the procedure to correct the tax method and to calculate tax correctly from now going forward? Amending tax returns and what period are we amending from and is there any grace period that we are going to be getting from our tax authority to ensure that the process is not rushed and is done correctly?
A. PAYE returns should be amended by first re-uploading earnings for non FDS cases. This must be done before end of December so that annual reconciliations are also correct. Employers that need more time to complete this task can apply to the Commissioner for approvals.
52. Q. From previous years we used to have tax adjustments applied to the year in question eg 2025 so that in case an itf16 is required in future the tax should balance for the year. Now with Tarms how is going to be handled?
A. TaRMS has an ITF16 in real sense in the background, after December earnings are uploaded. Our responsibility is to ensure that employee earnings are correctly declared in full. Computations may always be reviewed Where there are variances but the first responsibility is full declaration of employee earnings.
53. Q. An employee was on FDS forecast and they left employment in October 2025, they were paid their ternal benefits like retrenchment, gratuity bonuses and the tax was spread in the remaining periods, essentially there’s is nowhere to recover the tax that was spread out in the remaining periods of the year. What is the recourse in that scenario?
A. The last month of that employee, before ye end, they should be taxed on non FDS. This reduces the understatement of tax. The employee is required to submit an ITF1 for recomputation of tax. Tax that was not withheld by the employer will be recovered from the employee directly.