Any person who imports items of clothing and shoes is required to make a declaration of the nature, quantity and value of the items. ZIMRA reserves the right to accept the declared values and in some cases, may reject the declared values where such values do not reflect a bona-fide market price in the country of export. Valuation of imported goods is done in accordance with the provisions of Section 105 of the Customs and Excise Act [Chapter 23:02].
The following documents are required on importation:-
- Freight statement (where applicable);
- Packing list(s) showing quantities and weight (where applicable); and/or
- Any other related documentation
Calculation of duty on new clothing items for both commercial and private purposes is based on the Value for Duty Purposes (VDP), which consists of the cost, insurance, freight (CIF) and any other incidental charges incurred in bringing the goods up to the point of importation into Zimbabwe. The rate of duty is based on the value as well as the weight of the clothes or the number of pairs of the shoes. The applicable rates of duty are contained in the Customs and Excise Tariff Notice published in Statutory Instrument 53 of 2017 and are currently 40% plus US$3/kg for new clothing and 40% plus US$1 per pair for new shoes. For commercial importations, Value Added Tax is payable at the rate of 15%.
Duty on second hand clothes and second-hand shoes is calculated based on the weight of the goods and the rate is US$5 per kg. For commercial importations, VAT at the rate of 15% is also payable. Clients should note that the importation of second hand clothes and shoes is restricted and requires an import licence, which is obtained from the Ministry of Industry and Commerce.
Presumptive Tax at the rate of 10% of the VDP is payable on all commercial importations if no valid tax clearance certificate is presented to ZIMRA by the importer at the time of clearance.
Below is a table showing examples of how to calculate duty payable on clothing items and shoes using CIF values.
**NB: All values are in USD and are for demonstration purposes only
TYPE OF GOODS
KGS / NUMBER OF PAIRS
VALUE FOR TAX PURPOSES
TOTAL AMOUNT PAYABLE
Clothing for private use
@40%+ US$3/kg = $180
Clothing for commercial purposes
@40% + US$3/kg = $2,200
@15% = $930
@10% of $4,000 = $400
Shoes for private use
@40% + US$1/pair = $36
Shoes for commercial purposes
@40% + US$1/pair = $500
@15% = $225
@10% of $1,000 = $100
Second hand clothing
@US$/kg = $1,000
@10% of $200 = 20
Second hand shoes
@US$5/kg = $1,500
@15% = $315
@10% of $600 = $60
VAT is calculated on the Value for Tax Purposes, which is the sum of the VDP plus the customs duty payable.
Please note that it is an offence to make a false declaration, which may result in the goods being seized and forfeited to the State. Importers are, therefore, encouraged to fully and accurately declare goods they import.
This article was compiled by the Zimbabwe Revenue Authority for information purposes only. ZIMRA shall not accept responsibility for loss or damage arising from use of material in this article and no liability will attach to the Zimbabwe Revenue Authority.
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