EFDs: TRA reviving trader, buyer penalty

08Dec 2021
By Guardian Reporter
Dar es Salaam
The Guardian
EFDs: TRA reviving trader, buyer penalty

​​​​​​​STIFF penalties for not issuing or demanding receipts electronic receipts will be imposed, up to 1.5m/- to 4.5m/- for traders who do not issue EFD receipts and 30,000/- to 1.5m/- for customers who do not demand receipts..

Hamidu Shabani, the EFD supervisor for the Kariakoo Tax Region, says that the Tanzania Revenue Authority (TRA) has reinvigorated its campaign to mobilise traders to use electronic fiscal devices (EFDs).

He urged buyers of goods and services to demand receipts whenever they make purchases, telling a traders group in the Kariakoo area on Monday that the exercise is sustainable and will cover all city suburbs.

“The exercise aims to make sure traders issue receipts, starting from factories where the goods are manufactured up to the shops where they are sold and to make sure buyers demand receipts,” he stated.

Rehema Mbilinyi, a Kariakoo based trader pleased with the exercise, called on the government to group traders paying Value Added Tax (VAT) on basis of different VAT rates.

This would remove the problem of some traders issuing undervalued receipts or not issuing them at all in fear of being incorporated into VAT, she said, in remarks cited by the TRA supervisor..

In her view, big traders should be charged 18 per cent VAT as usual, and those in the middle category paying 10 per cent. Newly registered traders should be charged five per cent, the trader had intimated.

Sylvanus Nyigu, another Kariakoo trader, said the EFD reviving exercise will reduce shortcomings emerging in the issuance of, or demand for, such receipts.

TRA conducts frequent campaigns to educate traders on various tax issues, mobilising EFDs installation and use, while reminding taxpayers to meet their tax obligations in time, the supervisor added.