TANZANIA Revenue Authority (TRA) collected 11.96tri/- in the 2018/19 fiscal year’s three-quarter period, missing the nine-month target by a whopping 1.6tri/-.
The revenue collection agency envisages collecting 18.1tri/- by the end of this financial year on June 30, 2019. And, during the first nine months, TRA should have collected 13.575tri/-, 75 per cent of the target.
But, TRA Director of Taxpayers’ Services and Education Richard Kayombo said the authority performed better this year as compared to the 11.78tri/- collected during the same period in the 2017/18 fiscal year.
Mr Kayombo attributed the relatively good performance to commitment of the taxman and various leaders, attributing the revenue increase to the tax compliance.
“TRA has been able to collect the amount, thanks to good cooperation by taxpayers, especially traders,” Mr Kayombo said, adding that during the third quarter that ended last month, TRA collected 1.3tri/-, 1.23tri/- and 1.43tri/- in January, February and March, respectively.
“The collection has been impressive because of good performance by TRA employees and traders’ positive response to tax payment,” Mr Kayombo told reporters at TRA headquarters in Dar es Salaam.
He said the country currently has 2.8 million registered taxpayers, excluding employees who pay tax through their employers’ registration numbers.
The director said transparency in tax collection is among the major factors that encourage tax compliance in the country, “Transparency in tax collection and expenditure of the collected revenue tend to attract more taxpayers.”
He said TRA, in collaboration with the National Identification Authority (NIDA), has recently introduced a simplified system of accessing Taxpayer Identification Number (TIN).
“Through the new system, TIN will be issued at TRA’s district and regional offices upon submission of the national identity card or national ID number of the applicant,” said Mr Kayombo.
The revenue agency as well reminded owners of buildings across the country to pay property tax before the June 30 deadline to avoid unnecessary inconveniences.
Mr Kayombo said the new rate of property tax for ground buildings is 10,000/- and 50,000/- for each floor of the storey buildings in cities, municipal and town councils.