• Latest News

    Monday, 15 October 2018

    Mandava High School in tax feud


    ZVISHAVANE - Mandava High School in Zvishavane has taken Manidale Investments, a construction company to court over tax disagreements involving $3 709,14.
    The school which is being represented by Tafa and Associates is arguing that it was made to pay $3 709,14 by Zimra because it failed to deduct 10% from $37 091, 29 it paid to Manidale after the latter constructed a building on the school.
    The tax act requires that an organisation or company making payment to another must ensure that the company being paid has a valid tax clearance. If a company doesn’t have a tax clearance then the company making the payment must deduct 10% from the whole amount and pay it direct to Zimra.
    Mandava High whose case is before Zvishavane Magistrate Shephard Mjanja argues that Manindale made a false representation to the school that it had a tax clearance when it did not have. As a result Mandava High did not deduct the 10% tax resulting in Zimra demanding the amount from the school.
    The matter came to light in 2017 when ZIMRA made an assessment of Mandava’s tax affairs and  noted that the school had not paid 10% withholding tax in the sum of $3 709.14 on payment made to the construction company for the services rendered.
    Mandava allegedly made several representations to Manidale for refund of the 10% collected by Zimra but the company was not forthcoming. Mandava is now claiming the amount plus 5% per annum interest. The school is also claiming the amount with legal costs at attorney-client scale.
    Manidale is represented by Nyasha Maguranyanga of Mutendi, Mudisi and Shumba .
    • Comment on The Mirror
    • Facebook Comments


    Post a Comment

    Item Reviewed: Mandava High School in tax feud Rating: 5 Reviewed By: http://www.masvingomirror.com/
    Scroll to Top