Zimbabwe is taking a bold step to increase government revenue by extending its tax net to digital platform services starting in 2026. The Zimbabwe Revenue Authority’s (ZIMRA) announcement that it will tax ride-hailing services and short-term rentals, such as Airbnb, signalled a new emphasis on collecting revenue from the digital economy.
Platforms like InDrive and Bolt, as well as domestic and foreign short-term lodging providers doing business in Zimbabwe, are the targets of this action.
According to Misheck Govha, ZIMRA’s Commissioner for Domestic Taxes, the organisation would introduce a specific e-commerce tax platform to ensure all online service providers adhere to the law.
Fairness and enforcing compliance are central to the digitalisation approach, according to Govha: “Every trader in Zimbabwe should make sure that they are compliant and pay their taxes. The source of those revenues is Zimbabwe, and as such, Zimbabwe has the entitlement to take the right to those incomes.”
He warned that no operator will be exempt, regardless of size or physical location, stating, “Whether you are inside or outside the country, the treatment is the same”.
The burgeoning ride-hailing industry in Zimbabwe is projected to yield over US$5 million in income this year, with user numbers anticipated to exceed 2.5 million by 2030. Africa’s ride-hailing sector is valued at US$2.53 billion and is expected to expand further. Simultaneously, the short-term rental industry is thriving, with African Airbnb hosts generating US$13 billion in the previous year.
ZIMRA plans to build on its existing Tax and Revenue Management System (TARMS) to monitor these digital transactions more effectively. The new platform will allow taxpayers to register and file taxes remotely through a user-friendly self-service portal. Govha also cautioned operators on compliance with penalties for non-payment, urging, “Start your business well. Let us not be found non-compliant”.
Zimbabwe’s tax net extension is part of a larger worldwide trend in which governments aim to control and make money from the quickly expanding sharing and digital economies. By incorporating digital ride-hailing and short-term rentals, Zimbabwe hopes to access new revenue streams while maintaining equity and compliance with tax regulations. The initiative emphasises how digital platforms are becoming increasingly significant in national economic goals.