Government has abolished Value Added Tax (VAT) on all gold deliveries made to licensed refiners in a major policy shift aimed at curbing mineral leakages and boosting formal gold deliveries.
The measure was enacted through Statutory Instrument 175 of 2026, published on October 30, 2026, with retrospective effect from January 1, 2026.
Before the amendment, VAT on formal gold sales created a pricing disparity between official channels and the parallel market.
Industry stakeholders argued that the tax placed compliant miners at a disadvantage and inadvertently encouraged gold smuggling and informal trading.
By removing VAT on gold deliveries to licensed refiners, the new regulations are expected to make formal marketing channels, including Fidelity Gold Refinery, more attractive to producers.
The government says the reform is intended to reduce the smuggling of gold, which has long deprived the country of significant foreign currency earnings.
Authorities expect the policy to encourage more miners, particularly those in the artisanal and small-scale mining sector, to sell their gold through formal channels.
Increased formal deliveries are expected to strengthen foreign currency inflows, improve transparency in the gold value chain, and enhance the state’s ability to monitor and account for national gold production.
The move also aligns with broader efforts to formalize the mining sector and maximize revenue from one of Zimbabwe’s most important export commodities.
The retrospective implementation of the measure to January 1, 2026, provides clarity for transactions conducted throughout the year and offers immediate relief to compliant miners, gold traders, and licensed refiners operating in the country. 
