ZIMRA's Public Notice 08 of 2026 provides comprehensive guidance on the Presumptive Rental Income Tax introduced under the Finance Act, 2025 (Act No. 7 of 2025). This new tax, which came into effect on 1 January 2026, imposes a final withholding tax on rental income earned by landlords and property owners within Zimbabwe. The notice sets out the tax rate, obligations for both landlords and tenants, registration requirements, filing deadlines, and the penalty framework for non-compliance.
Overview of the Tax
The Presumptive Rental Income Tax is a final tax charged at a rate of 15% of gross rental income. Because it is a final tax, no deductions are permitted in computing the taxable amount — there are no allowances for property maintenance, bond interest, insurance premiums, or any other expense. The tax is levied on the gross rental received, and the amount so charged fully discharges the landlord's income tax liability on that rental income. The landlord does not include the rental income in any self-assessment return.
The tax applies to all property rentals in Zimbabwe, whether residential, commercial, or industrial. Both citizens and non-citizens who earn rental income from property situated in Zimbabwe are subject to this tax.
Obligations of Landlords and Agents
Where a landlord rents property directly to a tenant without the involvement of a letting agent, the landlord is responsible for registering with ZIMRA for Presumptive Rental Income Tax, filing monthly returns, and remitting the 15% tax. Where a registered letting agent collects rental on behalf of the landlord, the agent is appointed as a statutory agent under the Income Tax Act [Chapter 23:06] and is required to:
- Withhold 15% of gross rental from every payment made to or on behalf of the landlord;
- File a return with ZIMRA by the 5th day of the month following the month in which the rental was received; and
- Remit the withheld tax to ZIMRA by the 10th day of the same month.
Letting agents who fail to withhold and remit on behalf of their principals are personally liable for the unremitted tax plus applicable penalties and interest.
Tenant Protection: Direct Payment to ZIMRA
A tenant who is aware that their landlord is non-compliant with the Presumptive Rental Income Tax may pay the tax directly to ZIMRA. If a tenant makes direct payment of the 15% to ZIMRA, the tenant is protected for up to three months of such direct payments before being required to vacate the property or renegotiate the rental arrangement. This provision prevents landlords from benefiting from their own non-compliance by evicting tenants who act in good faith.
Registration Requirements
All landlords earning rental income were required to register with ZIMRA by 1 January 2026. Any person who subsequently commences earning rental income must register within 30 days of first receiving rental income. Registration is effected through the TaRMS self-service portal at mytaxselfservice.zimra.co.zw, under the Presumptive Rental Income Tax registration module.
Filing and Payment Deadlines
| Obligation | Due Date |
|---|---|
| Monthly Return Submission | 5th of the following month |
| Monthly Tax Payment | 10th of the following month |
| Initial Registration (existing landlords) | 1 January 2026 (already passed) |
| Registration for new landlords | Within 30 days of first receiving rental income |
Penalty for Non-Compliance
The Finance Act, 2025 introduced a severe penalty for non-compliance with the Presumptive Rental Income Tax: a 100% penalty on the unpaid tax. This means that a landlord or agent who fails to register, file, or remit will owe, in addition to the original tax, an equal amount as a penalty. Interest also accrues on the outstanding principal tax at the prescribed rate under the Income Tax Act. ZIMRA has signalled that active enforcement will be conducted, including audits of letting agents and cross-referencing of rental income declarations.
Key Takeaway: Presumptive Rental Income Tax is a final tax at 15% of gross rental income with no deductions permitted. Returns are due by the 5th and payments by the 10th of each month. All landlords should ensure they are registered on TaRMS and that their letting agents (if any) are correctly withholding and remitting on their behalf.