When taxpayers decry harmful tax incentives

Civil society organisations in the country have called on the Minister for Finance to take immediate action and bring to an end harmful tax incentives.

Tanzania in international tax law : Tax incentives for foreign investment—2  The Citizen Daily

Tanzania in international tax law : Tax incentives for foreign investment—1  The Citizen Daily

As discussed in the previous article investment tax incentives in Tanzania are offered to lead and priority sectors including agriculture, Air Aviation, Commercial buildings, Banks, Export oriented projects, Manufacturing, Natural Resources e.g. Timber, Beekeeping, Fisheries, Tourism and Tour Operations, Radio and Television Broadcasting, Transportation etc. In this article we look at tax incentives offered in the agriculture and manufacturing sectors.

Last week we covered some aspects of tax incentives including the fact tax incentives in Tanzania are not consolidated into one tax law but rather spread into various laws including the Income Tax Act, 2004; Value Added Tax Act, 2014;

The division among experts on the reason for dwindling Foreign Direct Investments (FDIs) in the mining sector and its impact on the export industry is disturbing. It is not surprising, though. It is clear testimony that experts think and act in line with their beliefs, traditions and values.

Today (June 12) is ‘Budget Day’ in the five East African Community countries Kenya, Uganda, Rwanda, Burundi and Tanzania. It’s the day when the respective Finance ministers table their Govt. budgets for debate in their National Assemblies.

Tanzania needs to continue strengthening its tax reforms and administration to enable corporate organisations to pay taxes, it has been suggested.

>Last week we dwelt on the concept of return and risk on investment in securities (i.e. shares and bonds) listed in the stock market. We learnt that the return on an investment consists of dividend, interest, rent or other income added to the increase in the value of the asset over a set period.