Tax revenue nears 8tri/- as collections rise

TAX revenue reached 7.99 tri/- from July to December last year growing by 2.01 per cent from 7.83tri/- of the corresponding period in the previous year.

Tanzania Revenue Authority (TRA)’s Director for Taxpayer Services and Education, Richard Kayombo told reporters in Dar es Salaam yesterday that the revenue were boosted by higher December collections as traders were closing financial books for tax obligations.

December collections reached 1.63tri/- to top collections from other months where 1.21tri/- were collected in November down from 1.29tri/- collected in October , he said. He said TRA regional and district managers would be meeting taxpayers each Thursdays to listen and solve their challenges.

He said TRA has also established a consultancy centre for taxpayers in Dar es Salaam at NHC building located at the junction of Samora Avenue and Bridge Street so as to increase efficiency in tax collection.

Other centres would be opened in other regions he said. Mr Kayombo said TRA has begun a nationwide campaign for Taxpayer Identification Number (TIN) registration for new tax payers where they conduct their businesses so as to expand the tax net base.

He said TRA reminds owners of buildings to pay property tax whose rate are 10,000/- for ordinary houses, 50,000/- for every floor of a storey building and 20,000/- for storey houses in district and village levels.

Last month, President John Magufuli issued a raft of new tax administration measures as he rallied his administration to raise revenue collection and expand the country’s tax base.

He directed tax officers to adopt a more accommodative tone towards the business community blaming some TRA officers for conservatism and being overly aggressive which makes it difficult for traders to pay taxes. He ordered TRA to review tax rates to make them more affordable, admitting that a cumbersome system and behaviour of some TRA officers were stifling businesses.

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