KAGERA: THE Tanzania Revenue Authority (TRA) in Kagera Region has managed to collect a total of 281.28bn/-between 2020/2021 and 2022/2023 financial year, implying 101.1 per cent performance.
TRA’s Regional Manager, Mr Ayoub Mwita told the ‘Daily News’ that the target was to collect 278.37bn/- in the period under review, while the authority surpassed the target by collecting a total of 281.28bn/-. This was equivalent to 101.1 per cent of the target, he said.
During 2020/2021 TRA had a target of collecting 71.06bn/-, however, the actual collections stood at 73.32bn/- (approx.. 103.2 per cent). During 2021/2022 the target was to collect 81.98bn/- but the collections stood at 94.83bn/-, which is equivalent to 115.7 per cent.
During 2022/2023 TRA set a target of collecting 125.33bn/- , the actual collections stood at 113.13bn/- (approx.. 90.3 percent performance, he said.
He attributed the good performance to the team work among TRA workers and voluntary payment of taxes by traders. He also appealed to Tanzanians to pay taxes as required by the law to enhance economic development and avoid unnecessary inconveniences that may occur due to non-compliance.
“The government needs more efficiency in revenue collection and any identified gap should be sealed. The government has come up with strategies to ensure that all sources of revenue are identified, promote the use of electronic payment and maintain transparency in tax collection,” he said.
He added; “All business people must ensure that they pay taxes on time. This will enable the government to render the necessary social services including health, education, infrastructure and water services.
We need to maintain and attract more traders to pay tax using Electronic Fiscal Device (EFD) machines. Let us be innovative through better service delivery,” he said.
Mr Mwita further revealed that the region has about 23,450 registered traders with TIN, while those who possess EFD machines were 4,261 (approx. 18.1 per cent). “We are also targeting to register 1,200 new traders in the 2023/24 financial year to expand the tax base,” he said.
He explained that during 2023/2024 financial year, TRA has targeted to collect about 118.3bn/- and that in the first quarter (July-September 2023) the authority had already collected 28.3bn/- (approx. 99.3 per cent).
He warned that tax evasion is a criminal offence and that a person convicted of the felony was liable to a maximum fine of 20m/-. A person who discloses such acts could also pocket a reward equivalent to 3 per cent of the amount, he said.
He advised business persons to contact TRA offices to get Tax Clearance Certificates and Trade Officers to get business licences.
“I urge you to support the government initiatives by educating people on the importance of paying tax to speed up the nation’s development. This will be realised through tax compliance,” he said.
Tanzanian tax payers, especially the large tax payers must ensure they pay taxes to TRA on time and as required for the country’s development reiterating the need for tax payers to ensure that they develop good relationship with the authority to avoid disorder once they fail to settle down their taxes as required.
Under Section 83 of the Tax Administration Act, 2015 any person who fails to pay any tax on, or before the date on which the tax is payable commits an offence and is liable to pay tax in excess of 50 currency points, to a fine not less than 25 currency points and not more than 100 currency points or imprisonment for a term not less than three months and not more than one year, or to both.