TRA stresses tax compliance

TRA stresses tax compliance

THE Tanzania Revenue Authority (TRA), has appealed to tax payers to adhere to voluntary tax compliance and advised them to utilize online submission of tax returns and ensure they get receipts on all purchased products.

The TRA Director for Board Secretariat and Legal Services, Mr Elisha Shigela 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.

“All business people must ensure that they pay the taxes on time…this will enable the government to render the necessary social services including health, education and others, ” he said.

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He appealed to taxpayers to visit the nearest TRA offices for necessary guidance and also urged traders to ensure that they utilize   Electronic Fiscal Devices (EFDs), while customers should demand receipts for goods they have purchased.

Contravening the directive is an offense and is punishable. A person  convicted for non issuance of EFDs  receipt or  demanding a receipt for  goods  is liable to  pay fine ranging between  30,000/- to 1.5m/-,  he warned.

He urged entrepreneurs   to be trustful when conducting their business in line with government directives. They should also not hesitate to expose big traders who intend to cheat by using small-scale traders and hawkers to avoid paying taxes.

Also, they should report corrupt leaders who would use the opportunity to get quick money from wananchi.

“Government has much trust in you…be honest and expose such cheaters to relevant authorities for necessary action,” he said.

Mr Shigela,who  was in Bukoba Municipality during  celebrations to mark the ‘Taxpayers’ Week’,  noted   that tax evasion is a criminal offense  whereby a person convicted of the offense was liable to a maximum fine of 20m/-. A person who discloses such acts could also get a reward equivalent to 3 per cent of the amount.

He advised business persons to contact TRA offices to get Tax Clearance Certificates (TCC) and Trade Officers to get business licenses.

“I urge you to support the government initiatives by educating people on the importance of paying taxes to speed up the nation’s development. This will be realized through tax compliance.

Meanwhile, TRA in Kagera Region has targeted to collect a total of 105.98bn/-  in 2022/2023 financial year, surpassing the previous target, it has been disclosed.

Kagera Regional TRA Manager, Mr Charles Mkubwa   told the “Daily News   in an interview at his office that the regional revenue target for the 2021/2022 financial year that ended on June 30th, this year was 81.98bn/-.

“Until June 30th, this year TRA managed to collect a total of 94.83bn/-. This is performance rate of 115.67 per cent,” he said.

Expounding, he said the Domestic Revenue Department (DRD), target during 2022/23 financial year was to collect 58.70bn/-, compared to 48.93bn/-   for 2021/22   when the institution managed to collect 51.86bn/-, implying 106 per cent performance.

The  Customs and Exercise Department (CED),  on the other hand,  targeted to collect 47.28 bn/- this financial year compared to 33.08bn/ in the  last financial year, while  TRA   surpassed   the target collecting 42.97bn/-. This is equivalent of 129.89 per cent performance, he said.

Elaborating, Mr Mkumbwa explained that at least 20,569 business people in the region were registered under TIN  programme,   while more efforts were being taken to register more traders.

“TRA in Kagera has   1,843 Electronic Fiscal Devices (EFDs).  During 2021/22 financial year about 361 business people were registered under EFDs programme while the target for 2022/23 financial year was to register 400 traders,” he said.

He attributed the good performance to tax compliance from tax payers, continued education and more usage of Electronic Fiscal Devices (EFDs).

Other strategies include frequent reminders by text messages, adverts through local radios and public vehicle announcements, payment of arrears by government agencies, team spirit by all employees and support from other government institutions.