All tax payers are expected to pay dues- Mkuya

All tax payers are obliged to pay dues as specified under the country’s financial regulations without discrimination or favour of individuals or political parties.

The Deputy Minister for Finance and Economic Affairs, Saada Mkuya

The Deputy Minister for Finance and Economic Affairs, Saada Mkuya

The Deputy Minister for Finance and Economic Affairs, Saada Mkuya made the clarification in the House yesterday while responding to a supplementary question posed by Rev Peter Msigwa (Iringa Urban – Chadema) who demanded clarification on property tax paid by Chama Cha Mapinduzi (CCM) on its structures and assets.

“We know that most structures and stadia owned by CCM, irrespective of the introduction of the multi-party system. But it seems no property taxes are paid,” alleged Msigwa.

The Deputy Minister denied the allegations insisting that revenue collection in Tanzania was not discriminatory. “Two types of revenue collection systems include the one managed by the central government and that managed by local governments.

The central government collects revenue as stipulated in the Income Tax Act Section 332 which covers Income Tax and Value Added Tax (VAT), Excise Duty and taxes for vehicles, airports, ports among others. Likewise local government authorities collect revenue according to the established regulations,” Saada explained.

She said according to the Act, anyone paying taxes must have an income obtained through employment or business. However, according to amendments endorsed by the parliamentary Act of 2012/13, not every person doing business is required to pay taxes except those whose annual earnings amounting to over 4m/-.

“The Tax payer’s Identification Number (TIN) is issued by the Tanzania Revenue Authority (TRA) to anyone doing business to facilitate payment of taxes. Up to end of July this year, the number of people with TINs stood at 1,199,942, VAT at 21,659, these figures do not include employed tax payers whose remissions come through their employers,” she clarified.

Commenting on efficiency in collection of revenue, the deputy minister said the introduction and application of the Electronic Fiscal Devices (EFDs) has increased revenue collection. ends/anna

Source Tanzania Daily News

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