Taxes continue to mount on Zimbabweans as the struggling economy pushes the government to rely heavily on taxation for revenue. However, citizens are already grappling with high unemployment and widespread economic hardship. In a bid to capture income from the rapidly expanding digital sector, Zimbabwe has introduced a new tax on payments made to multinational digital service providers.
Under the 2026 Finance Act, a 15% digital services withholding tax now applies to international platforms such as Netflix, Starlink, InDrive, and Bolt, among others. The tax is levied on the gross value of each transaction, ensuring that offshore providers receive their full payment while the tax is accounted for locally.
Payment service providers—including banks and other processors—are responsible for collecting the tax at the point of transaction. For example, Stanbic Bank notified its customers via SMS on January 3 that the tax had taken effect on January 1, applying to all international internet and card payments.
Finance Minister Mthuli Ncube explained the reasoning behind the new measure in November:
The rapid expansion of the digital economy has enabled offshore digital platforms to supply services directly to domestic users without establishing a physical presence in the country. These include e-hailing platforms, digital streaming services, satellite-based internet services, and a range of other online content, advertising, and e-commerce platforms.
According to the government, these multinational companies generate significant income from Zimbabwean consumers and businesses, making taxation necessary to ensure fair contribution to the local economy.
