Zimbabwe’s new gambling tax system came into force on January 1 and quickly reached its first test, with operators required to lodge returns for both punters’ winnings and their own gross takings.
The Finance Act now mandates betting firms, casinos, and lottery providers to withhold 25 percent of a player’s winnings at the point of payout and transfer the amount directly to the Zimbabwe Revenue Authority.
The rules also set a strict monthly schedule: returns must be filed by the fifth day after payouts, and payments cleared by the tenth. Those who missed the January 5 deadline have been urged to regularise their accounts without delay.
The changes mark a sharp rise in taxation. Bettors also face a rise in withholding from 10% to 25%, while operators see their gross rankings levy surge from 3% to 20%.
“Returns and Payments Due January 2026 shows that Punters Withholding Tax and Bookmakers Tax returns for the period ending December 31, 2025, were due by January 5, 2026, with payments due by January 10 2026,” the ZIMRA Public Notice 02 of 2026 stated.
Payments expected by February 2025
The Zimbabwe Revenue Authority has reminded operators of their duty to stay current with filings and payments, urging those who missed the first deadline to clear outstanding accounts without delay.
In its notice, ZIMRA warned that overdue returns and unpaid taxes must be settled promptly to avoid legal action.
Payments can be made directly into the authority’s bank account, either through cash deposits or transfers from linked accounts. Since the 25% withholding tax only came into force on January 1, the first cycle covered only a brief opening period.
From now on, however, the schedule is fixed: monthly returns for winnings must be submitted by the fifth of the following month, with payments due by the tenth.
The same timetable applies to the 20% levy on operators’ gross takings, known as the Bookmakers Tax. Together, these obligations set February 5 as the next key date, when returns for January payouts are expected to be filed under the new regime.
Withholding tax on digital services also comes into effect
Finance Minister Mthuli Ncube framed the 2026 reforms as a push to draw more revenue from a sector that has grown fast, both online and in retail. Industry figures point to gambling revenues rising by 8% to 10% between 2023 and 2024, a trend the ministry expects to continue under tiger rules and clearer reporting.
ZIMRA’s notice also sets out a wider compliance calendar that many operators fall under. Returns are due by the fifth and payments by the tenth for items like PAYE, Mining Royalties, Value Chain Withholding Tax, Presumptive Tax, Fast Foods Tax, and the Plastic Carrier Bag Tax, useful for businesses with activity beyond betting.
Alongside the gambling measures, a 15% withholding tax on digital services took effect on January 1, 2026. Administered by ZIMRA, it applies to payments made to offshore platforms, including streaming services and satellite internet providers.
Source: Focus Gaming News