Dandemutande Increases Data Services Fees, on Gvt 5% Excess Duty

Internet Service Provider Dandemutande has hiked its internet services fees following Government’s  additional five percent special excise duty.

This comes after the Minister of Finance and Economic Development Patrick Chinamasa tweaked the Finance Act last month.

By Marvelous Chibagidi

The company said this forced them to increase the data services prices.“Please be advised that on the 24th of March 2017, the Minister of Finance amended the Finance Act (No.2) 2017, Section 31(49) to levy an additional 5% (five percent) special excise duty, which has been designated as a Health Fund Levy.

“This is to be levied and credited to the Health Fund Levy established under section 18 of the Public Finance Management Act [Chapter 22:19] (11/2009) which is in addition to the 5% excise duty which is currently being charged on your statement,” said Dandemutande.

Minister of Finance and Economic Development Patrick Chinamasa

Dandemutande added, “We therefore advise that consistent with this new legislative requirement, we will be applying a 10% excise duty for all our data services with immediate effect. This will reflect on your monthly invoices going forward.”

The internet service provider also said they are negotiating for an initial three month waiver.

“Kindly note that the gazetted effective date for this new requirement has been set to apply retrospectively to 1 January 2017. We have engaged the authorities to request a waiver of the first three months and proposed an effective start date of 1 April 2017 in a bid to cushion our clients. We will keep you informed on the development of these engagements,” said Dandemutande.


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