Activist challenges Mthuli Ncube’s 2% tax

Justice Happias Zhou  will on Tuesday 12 February 2019 hear a tax challenge which is being challenged by Pro-Democracy activist Mfundo Mlilo who is being represented by Tendai Biti, a member of Zimbabwe lawyers for Human Rights (ZLHR).

High Court is set to hear and make a determination to have an order to suspend tax on electronic transactions.

Mlilo is arguing that although Minister of finance Mthuli Ncube  had on Friday 12 October 2018 belatedly enacted the finance (rate and incidence of intermediated monetary transfer tax) regulation statutory instrument (SI205/2018) in which he sought to legalise and actualise his announcement done on 1 October 2018.

Mlilo wants the High Court  to suspend the decision taken by Ncube, to review the intermediate money transfer tax from 5 cents to 2 cents per dollar and to also forthwith suspend suspend the finance rate and incidence of intermediated money transfer tax Published In SI205/2018.

Ncube became unpopular in 2018 when he introduced various taxes which include the popular 2%.

Ncube introduced Austerity measures which have seen the government cutting a lot of expenses in a bid to raise more income for the cash stripped government.