Use of motor vehicle
Where an employee enjoys the use of a company vehicle or is allocated a company vehicle, the value of the benefit is determined according to the engine capacity of the vehicle.
The deemed benefits for 2023 are as shown in table below.
| Engine Capacity | Deemed Value – ZWL | Deemed Value – (USD) |
| Up to 1500cc | 312 500.00 | 625.00 |
| Over 1500cc -2000cc | 415 000.00 | 830.00 |
| Over 2000cc -3000cc | 625 000.00 | 1,250.00 |
| Over 3000cc | 830 000.00 | 1,660.00 |
NB: The deemed cost should be reduced proportionately where the period of use for the motor vehicle is less than 12 months.
For more detailed information contact your nearest ZIMRA office or visit https://zimra.co.zw/domestic-taxes/individual/paye-explained
Some of the questions that are important to ask yourself about what qualifies for a car that has a deemed benefit
- Does the car belong to you or the company?
- If it is a company car do you take it home daily?
- Do you use the car for home errands during the weekends?
- Can the car be distinguished between being for your use or the company business?
Remember a deemed benefit is one which is a non-cash benefit that you are assumed to benefiting in your personal capacity whilst the company is funding for it.