Taxman unveils new tax strategies

Tanzania Revenue Authority (TRA)

DAR ES SALAAM: TANZANIA Revenue Authority (TRA) Commissioner General Mr Yusuph Mwenda has outlined a series of ambitious new strategies aimed at expanding tax base and increasing public involvement in the tax system.

These initiatives are designed to enhance tax collection efficiency and foster a stronger sense of investment among Tanzanians.

Addressing media editors in Dar es Salaam yesterday, Mr Mwenda underscored the importance of enhancing professionalism among TRA staff to deliver top-notch services.

Advertisement

He stressed that improved staff professionalism will help traders understand that their tax contributions are crucial for national development, rather than merely benefiting the TRA.

“We want Tanzanians to see the importance of using domestic resources to build our country and to be actively engaged in the tax system,” Mr Mwenda said.

The commissioner general revealed that the authority plans to establish a dedicated desk exclusively charged with handling public complaints and grievances about TRA operations.

ALSO READ: Tanzania tax collections hit 27.64tri/-

The TRA chief also launched a special app, dubbed ‘Sikika App’ that allows taxpayers to directly report any complaint related to the authority’s operations.

“This desk will manage issues raised by the business community and address misconduct among our staff. In addition, the newly launched ‘Sikika App’ will enable taxpayers to confidentially report any issues or misunderstandings with TRA staff, ensuring that disputes, especially those related to tax assessments and collections, are handled discreetly,” he noted.

Expounding further, in a deliberate move to enhance communication with the business community, Mr Mwenda plans to personally meet with Kariakoo traders three times a month to work on their grievances.

Moreover, in order to improve cross border trade, Mr Mwenda announced plans to deploy scanning technology at border posts to ensure that goods cleared for transit do not re-enter the local market.

This move targets fraudulent practices by traders who reroute goods intended for neighbouring countries back into Tanzania.

Additionally, the rapid response team will be strengthened to oversee the movement of goods to their final destinations outside the country.

“These new strategies, among others, reflect a comprehensive effort to enhance transparency, accountability and efficiency within the TRA, contributing to a more robust and inclusive tax system,” he explained.

According to the TRA report released last month, the authority collected 27.64tri/- in tax revenue for the 2023/2024 financial year, equivalent to 97.67 per cent of the target of 28.30tri/-.

The tax collection increased by 11.5 per cent compared to the previous 2022/2023 financial year, when TRA recorded 24.14tri/-, up from 22.2tri/-collected in 2021/2022.

The initiatives to increase the tax base are part of the authority’s efforts to meet the target as it expects to collect 29.4tri/- for 2024/2025 financial year.