TRA enhances systems to boost large taxpayer compliance

THE Tanzania Revenue Authority (TRA) is intensifying efforts to improve infrastructure and systems
Tanzania Revenue Authority (TRA) Commisioner General Yusuph Juma Mwenda

DODOMA: THE Tanzania Revenue Authority (TRA) is intensifying efforts to improve infrastructure and systems aimed at strengthening tax collection among large taxpayers.

This initiative is part of a broader strategy to enhance compliance, increase revenue and support the nation’s economic growth and stability.

TRA Commissioner General Yusuph Mwenda highlighted these efforts during the opening of a seminar for large taxpayers held yesterday.

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He emphasised that large taxpayers contribute between 60 and 70 per cent of Tanzania’s revenue, with last year’s collections reaching an impressive 11tri/- .

“This year, the TRA is tasked with collecting over 30.4tri/-, a significant increase from the previous year.

To achieve this target, it is imperative that we address the challenges within our current systems and ensure they are compatible with the systems of our stakeholders.

Enhancing our operational efficiency is crucial to meeting our goals,” Mwenda stated.

He further expressed optimism that the seminar’s educational initiatives would play a crucial role in boosting revenue collection.

Mwenda underscored the importance of continuing to combat tax evasion, reaffirming the TRA’s commitment to penalising offenders.

“The government is determined to impose penalties on those engaging in tax evasion through fraudulent schemes.

Such practices are legally unacceptable and with these measures, the TRA aims to significantly enhance national revenue and ensure compliance with tax laws across the country.”

TRA’s Acting Commissioner for Large Taxpayers, Michael Muhoja, reiterated the agency’s focus on upgrading its systems to overcome existing challenges.

“Our priority is to ensure that our systems are in sync with those of other entities we work with, to streamline operations and enhance overall efficiency,” Muhoja explained.

He also highlighted the TRA’s commitment to increasing public awareness about tax obligations, noting that this is expected to significantly boost revenue collection.

“We believe that by providing comprehensive education to taxpayers, we can achieve higher compliance and, consequently, greater revenue for the country,” Muhoja added.

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In line with this, Muhoja emphasised the agency’s firm stance on combating tax evasion, stressing that the government, through the TRA, is resolved to impose strict penalties on offenders.

“This is not just a matter of policy; it is a legal requirement,” he noted.

Tax and Corporate Affairs Manager at AngloGold Ashanti, Godvictor Lyimo, praised the seminar for providing valuable insights into how stakeholders can contribute to enhancing tax compliance.

“The role of education and awareness in fostering a culture of compliance cannot be overstated.

The knowledge shared at this seminar is vital for helping businesses understand their responsibilities and the impact of their contributions to national revenue,” Lyimo remarked.

He acknowledged the TRA’s efforts in raising awareness about tax compliance, noting that such initiatives are key to fostering a culture of responsibility among taxpayers.

“Education is a powerful tool and the TRA’s commitment to educating taxpayers will certainly contribute to more effective tax collection.

By empowering taxpayers with the right knowledge and understanding of their obligations, we can foster a culture of compliance that benefits not just the government, but also the broader economy,” he stated