Cancellation of Registration of Separate Trades, Branches or Divisions

Section 51 of the Value Added Tax Act provided for separate registration of trades, branches or divisions for VAT purposes by any registered operator carrying on separate trade or operating a separate branch or division.

Such separate trades, branches or divisions were expected to maintain an independent system of accounting which could be separately identified by reference to the nature of the activities carried on or the location of the separate trade, branch or division.

Section 51 was repealed with effect from 1^st January 2010. This therefore means that registration of all separate trades, branches or divisions was cancelled with effect from 1st January 2010.

The last VAT returns due by the separate registered trades, branches or divisions are for the tax period ended 31^st December 2009. The VAT return and the payment due for that period should have been submitted by the 10^th of January 2010.

The registered operator who had initially applied for separate registration is charged with the responsibility of accounting for all VAT due and fulfilling all VAT requirements in relation to all its separately registered branches, trades or divisions.

All liabilities not fulfilled by the de-registered branches or divisions shall revert to the main branch in terms of Section 51(5) of the VAT Act.

The certificates of VAT registration issued to such trades, branches or divisions are to be returned to ZIMRA.