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HomeLaw & CrimeRebate abuse: Zacc, Zimra recover over 500 vehicles

Rebate abuse: Zacc, Zimra recover over 500 vehicles

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OVER 500 vehicles worth US$2 million have been recovered through a Zimbabwe Anti-Corruption Commission (ZACC) and Zimbabwe Revenue Authority (ZIMRA) sting operation to stem the abuse of the Civil Servants Motor Vehicle Rebate Scheme.

This was disclosed at the signing of integrity pledges by ZIMRA officials in Harare, cementing a major institutional shift towards ethical conduct.

Key signatories included ZIMRA Board Chair Mr Anthony Mandiwanza and Commissioner-General Ms Regina Chinamasa, signalling the pledge as a top institutional priority.

This public commitment was made in the presence of ZACC Chairperson Mr Michael Reza.

In his keynote address, Mr Reza lauded ZIMRA for working with the anti-graft body, noting that their joint operation had resulted in over 500 vehicles being recovered.

“In June 2023, the ZACC launched a joint investigation with ZIMRA to combat the abuse of the Civil Servants Motor Vehicle Rebate Scheme,” he said.

“Since the launch of that operation, thousands of cases of suspected abuse of the Civil Servants Vehicle Import Scheme have been reported, and over 500 vehicles valued close to US$2 million have been recovered by ZACC.”

He warned that more vehicles were expected to be seized, given that several cases were awaiting prosecution.

“Also, hundreds of dockets have been submitted to the National Prosecuting Authority of Zimbabwe (NPAZ).

“There are several other cases that we are dealing with, together with ZIMRA teams. It is this kind of inter-agency collaboration that has resulted in substantial progress being recorded under NDS1 (2021-2025).”

The rebate scheme was an incentive introduced by the Government to allow civil servants with 10 or more years of service to import motor vehicles duty-free.

Beneficiaries under the duty-free scheme should not, before a period of five years from the date of importation of a motor vehicle, sell, offer, or display for sale, lease, or hire the motor vehicle to any other person in respect of which a rebate of duty on such motor vehicle was granted, without the prior written permission of ZIMRA.

Anyone selling the vehicle before the five years are up will have to pay ZIMRA the residual duty, including interest on the assessed amount.

However, many car dealers in Harare and other cities were reportedly importing vehicles duty-free in the name of civil servants, who would, in turn, receive payment for allowing their names to be used to evade customs duty.

Mr Reza pledged to continue the crackdown, warning would-be offenders that the law will catch up with them.

He also commended ZIMRA for its proactive stance in combating graft, especially for agreeing to sign integrity pledges.

“ZIMRA, through its board chairperson, Mr Mandiwanza, and the Commissioner-General Mrs Chinamasa, is committing to further strengthen corruption prevention mechanisms, guarantee transparent and accountable revenue collection and allocation as they execute their mandate.

“ZIMRA is one of our major and critical stakeholders in the fight against corruption. We are in this together.”

Speaking after the signing ceremony, Mr Mandiwanza pledged to continue working with the anti-graft body, adding that integrity pledges were another sign of their renewed commitment.

“This is a commitment, a covenant; we are showing in public what we stand for.

“Today, we do more than just affix our signatures; we proclaim unequivocally and publicly our unwavering commitment to the principles of probity, transparency, and accountability—principles that are the very bedrock of a reputable and high-performing institution. To sign this pledge as ZIMRA is to make an emphatic declaration that corruption is anathema to our values.”

“Today, we proclaim unequivocally and publicly our unwavering commitment to the principles of probity, transparency, and accountability.”

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