MP petitions Mthuli Ncube over wealth tax

On behalf of Marondera Central Member of Parliament Caston Matewu, the Zimbabwe Lawyers for Human Rights says they are challenging the imposition of excessive revenue measures by govt such as Wealth Tax, which was introduced by the Minister of Finance Mthuli Ncube in the 2024 National Budget, whose effect has been the introduction of a 1% on 14 March 2024.

In his submission, Matewu argues that the Wealth Tax & section 36(O) of the Income Tax Act breaches section 2 of the Constitution in that it offends section 298(1)(b)(i) of the Constitution, which demands that the burden of taxation must be shared fairly.

Overally, Matewu wants some offensive provisions of the Income Tax Act and that of the Finance Act to be declared constitutionally invalid & set aside.

A wealth tax, also called equity tax, refers to a tax levied on the total or market value of a taxpayer’s personal assets that may include their bank deposits, company shares, fixed assets, cash, motor vehicles, real property, pension plans, money funds, owner-occupied house and trust funds.

Zimbabwe introduced a wealth tax in 2024, targeting the country’s wealthy residents to raise funds for upgrading urban infrastructure.

Zwnews