Judgment No. 23/18
Civil Appeal No. SC 145/15
technical, managerial, administrative or consultative nature save for those that are
expressly excluded”.
[27]
I respectfully associate myself with the views quoted above. As in the Zimasco case,
the originating cause of the fees in casu, is entirely in Zimbabwe. The fees and charges in issue
are raised by the banks holding the nostro accounts in respect of transactions undertaken by
them on behalf of the appellant which issues an instruction on behalf of its clients in Zimbabwe
and pays on behalf of those clients using its nostro accounts. These transactions clearly amount
to services of a managerial or administrative nature within the meaning of para 1(1) of the 17th
Schedule.
Regarding the Sunfresh case it would appear that the facts are distinguishable from
those in the present matter. However, in so far as it conflicts with the Zimasco decision on the
issues discussed above I would consider the Zimasco decision to be the correct exposition of
the law.
[28]
Accordingly, I agree with Mr Magwaliba that all three requirements mentioned by Mr
de Bourbon are satisfied. It follows that the appellant, as payer of the fees, was obliged to
withhold the non-resident tax and remit such tax to the Commissioner within 30days.
Disposition
[29]
The appeal falls to be dismissed on all three grounds.
On the question of costs, it was agreed by the parties that there should be no order as to costs.
It is accordingly ordered as follows:
The appeal is dismissed.
14
Select target paragraph3
Add to table of contents