Tanzania has historically been an attractive centre for trade due to its strategic location along the continent’s east coast. Today, the country is seen as one of Africa’s most dynamic and diverse markets, and although its economy remains highly dependent on agricultural output, the development of tourism and the discovery of natural gas in recent years should help offset the country’s depen
As many nations in sub-Saharan Africa rely largely on tax revenues to fund spending, governments have been known to be displeased with businesses that delay recouping investments and consequently graduate into the income taxpayers’ group. However, imposing income tax on businesses yet to recoup their initial investment would deter investors. The Income Tax Act, 2004 allows businesses to recoup…
Tanzania has a broad taxation system covering income taxes, value-added tax (VAT), stamp duty, and Customs and excise duties. These are governed by laws that provide for the charge, assessment and collection of taxes. The Tanzania Revenue Authority (TRA) may conduct tax audits of individuals and entities to confirm that they are compliant and paying the correct taxes. Corporations Standard…
Viewpoint:Joseph Sheffu, Country Managing Partner, EY As part of its economic transformation in the 2000s, Tanzania recognised that a robust and reliable financial reporting framework, in both the public and private sectors, would play a vital role in mitigating fiscal and fiduciary risks, thereby stimulating further local and foreign direct investments. On July 1, 2004, the National Board of…
In conjunction with EY, this chapter explores the taxation system and Tanzania’s efforts to build an investor-friendly environment. It also contains a viewpoint with Joseph Sheffu, Country Managing Partner, EY.…