Build property tax database, Finance ministry orders TRA

04Oct 2019
By Guardian Reporter
The Guardian
Build property tax database, Finance ministry orders TRA

FINANCE and Planning deputy minister Dr Ashatu Kijaji has directed the Tanzania Revenue Authority (TRA) to prepare a list of all houses in the country, showing the owners, on the basis of which a database will be prepared to simplify tax collection.

Dr Kijaji said this yesterday during an inspection visit at the TRA Kinondoni Tax Region offices in Dar es Salaam.

She said in order to control losses of revenue in property tax collection TRA must work day and night to ensure that the database is completed. It would then be used to remind taxpayers through sms messages on the need for timely payment of the tax dues, which will help in the collection of property tax.

Dr Kijaji also directed TRA to design a special strategy that would assist in increasing the tax base – from the slightly over 2.7 million taxpayers registered at present.

In order to lighten the burden for current taxpayers, more efforts are needed to widen the tax base and increase the number of tax payers, she said.

TRA needs to prepare a strategic plan that will show in what manner after two years the authority will have increased the number of tax payers by two million, she specified.

In doing so, the ministry and TRA will have responded to the challenge thrown by President John Magufuli, urging the two principal actors to work together to lessen the burden for existing taxpayers, she stated.

TRA was similarly tasked with preparing and delivering data showing increase of the number of taxpayers arising from the exercise of providing IDs to informal sector traders around the country.

“The aim in issuing the IDs was to increase the taxpayer base, hence it is vital to know how many new taxpayers we have from the IDs exercise,” she emphasized.

Earlier, welcoming the Deputy Minister for Finance and Planning, the TRA Manager for the Kinondoni Tax Region, Massawe Masatu, said that inspite of the challenges they face, the region collected more than 713bn/- in FY 2018/19 against the 794bn/- target set earlier, for which the deputy minister expressed her appreciation.

The public must cooperate with TRA officials who do their work professionally and TRA needs to take steps against any persons seen to be hindering tax collections, she added