By Correspondent
Mayor Jacob Mafume says no trader will get a licence without a POS machine as Harare Council and Government join forces to formalise informal traders in the CBD.
The announcement was made by Mafume during the 1952nd Ordinary Council Meeting at Town House.
The meeting was attended by Councillors, Acting Town Clerk Advocate Warren Chiwawa, Harare City Junior Councillors and officials.
No POS, No Licence
“Going forward we will not be giving licences if a person who is trading in the city does not have a POS machine and also a valid account that is operating with a registered financial services,” he said.
“We had a meeting with the Reserve Bank Governor and we’ve had various meetings with the Minister of Finance where we need to register people who are trading in the city and give them official licences.”
The move is part of Operation Chenesa Harare.
Council has deployed municipal police to clear pavements in the CBD.
Traders will be moved to designated sites like Mbare Musika and Glen View Area 8.
The Bigger Tax Push
The council plan aligns with a wider Government hunt for tax.
Government says the informal sector now drives most of the economy yet it pays little direct tax.
To close the gap, Finance Minister Mthuli Ncube has linked trade to tax compliance.
ZIMRA now requires POS machines linked to bank accounts.
Unregistered traders face withholding tax when buying stock.
Meanwhile, landlords must also withhold rent and report tenants who lack tax clearance.
A new digital system, TaRMS, will link council licences, bank accounts and mobile money.
This will make it harder to hide from ZIMRA.
Ncube says Zimbabwe must raise more domestic revenue as aid flows are shrinking.
Pressure On Vendors
For vendors, this changes everything as a licence is now the start of tax compliance.
Meanwhile, formal shops have expressed support for the move.
They say vendors block entrances and take customers while not paying taxes.
However, vendors have been arguing that they need proper markets without which enforcement will just move them to other streets.
———————————————————————————————————
Love what we do?
We’re dedicated to opening up democracy, one article, video and story at a time. If you find our reporting helpful, you can support the Magamba Network team by buying us a coffee. It’s quick, easy, and makes a real difference!
————————————————————————————————————
