How Isles tax reforms boost revenue collection
THE Zanzibar Revenue Authority (ZRA) has managed to collect 565.879bn/- or 97.65 per cent of the revenue target of 579.501bn/- for the fiscal year (FY) 2022/23.
ZRA Commissioner General Mr Yusuph Juma Mwenda released the revenue collection data here yesterday, saying the success has motivated the authority staff to perform higher in this financial year.
He told journalists that the increase is 51.19 per cent rise compared to the tax collections for the financial year 2021/2022, which was 374.295bn/-.
“We are happy for the success and we vow to hit the 675bn/- target for the financial year 2023/2024. We thank the government under President Hussein Mwinyi for enabling ZRA to perform better than in the past,” Mr Mwenda said.
He also attributed the success to the on-going reforms in the tax administration system.
He mentioned some of the workable reforms as strengthening the use of electronic payment devices, particularly the Virtual Fiscal Management System (VFMS), increasing public awareness among taxpayers about voluntary tax payment, and the Zanzibar Integrated Domestic Revenue Administration System (ZIDRAS).
Capacity building of staff and application of skills, increased debts and returns collections and monitoring, and the strengthening of collaboration with other institutions mainly the Tanzania Revenue Authority (TRA), and Zanzibar Anti-Corruption and Economic Crime Authority (ZAECA) are other areas that contributed to boosting of revenue collection.
The Commissioner General also mentioned Zanzibar economy growth, improved services under the Zanzibar Airports Authority (ZAA), Controller and Auditor General (CAG), Tourism Commission, and Digital Service Tax as other factors that propelled to the swell of revenue collections.
Regardless of the success, Mr Mwenda said that more efficiency and collaboration are required among the authority staff and various stakeholders in educating the public about the importance of tax payment.