Zanzibar Imposes 18% VAT on Non-Resident Electronic Services

• Zanzibar applies an 18% VAT on electronic services supplied by non-residents to non-registered persons.
• Non-resident suppliers must register online via the ZRA VAT Electronic Service Registration Portal (ZIDRAS), regardless of turnover.
• Zanzibar does not currently have deemed supplier/platform VAT rules; the non-resident supplier remains responsible for the VAT.
• For VAT-registered customers, a reverse charge applies, so the non-resident supplier does not charge VAT if the customer provides a Zanzibar VAT registration number.

Source: kpmg.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

---

---