Rules Around Buying A Second-Hand Car In Zimbabwe Have Changed. Read This…

In November 2015, the Minister of Finance and Economic Development, Patrick Chinamasa delivered his budget statement for 2016. In that budgetary statement, there were a number of announcements, but one of them stood out for buyers of second-hand vehicles: new calculation of excise duty on change of ownership of a vehicle.

If a vehicle is bought, the new owner has 14 days to report to ZIMRA and CVR and do a change of ownership, failing which they are liable to a fine. When they are doing the change of ownership, ZIMRA used to look at your agreement of sale and calculate how much excise duty you should pay on the sale. If they were happy with the amount in the agreement of sale, all was well, if they disputed that amount that you claim to have paid for it then they’d do their own “assessment”.

That has changed as of 1 January 2016.

The amount to be paid to ZIMRA for Special Excise Duty on the change of ownership of second-hand motor vehicles is calculated as per the schedule below.

Please note that this schedule DOES NOT apply to the clearance of second-hand motor vehicles on importation into the country. The valuation method by ZIMRA is still applicable in those situations.

Number of Years from Date of ManufactureEngine CapacitySpecial Excise
Duty Rate (US$)
0 - 4 Years1000cc$300
1001-1500cc$400
1501-2000cc$500
2001-2500cc$600
2501-3000cc$600
3001-3500cc$600
Above 3501cc$600
5 - 10 Years1000cc$150
1001-1500cc$200
1501-2000cc$250
2001-2500cc$300
2501-3000cc$400
3001-3500cc$400
Above 3501cc$400
11 - 15 Years1501-2000cc$150
2001-2500cc$200
2501-3000cc$200
3001-3500cc$200
Above 3501cc$200
16 - 20 Years1000cc$50
1001-1500cc$75
1501-2000cc$100
2001-2500cc$150
2501-3000cc$150
3001-3500cc$150
Above 3501cc$150
Above 20 YearsAll Engine Capacity$50

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