Sh29.4 trillion target in sight as TRA kicks off with impressive Q1

Dar es Salaam. The government could find it easy to implement its budget for the financial year 2024/25 as the taxman starts the year on a high note.

Tanzania Revenue Authority (TRA) is required to collect a total of Sh29.415 trillion to partly implement the country’s Sh49.3 trillion budget that was approved by the Parliament in June.

This translates into an average monthly revenue collection of Sh2.45 trillion.

But during the first quarter of the current financial year, the taxman managed to garner a total of Sh7.79 trillion, representing an average monthly collection of Sh2.6 trillion.

Revealing the tax collection figures in Dar es Salaam yesterday, the TRA Commissioner, Mr Yusufu Mwenda said that when he was appointed by President Samia Suluhu Hassan, one of the directives he was given was to ensure the closure of tax evasion loopholes and to collect taxes that are meant to be used in the country.

“Due to these efforts, TRA has managed to exceed its monthly target during this period, with a performance of 104 percent in July, 104percent in August, and in September, the performance increased to 105 percent,” Mwenda said.

He added that in these three months, the tax collections for September this year reached Sh3.18 trillion, an amount that had never been collected before, despite December being a major month that once brought the government Sh3 trillion.

He mentioned that other factors contributing to this success include favourable investment policies which emphasize making taxpayers as partners rather than adversaries.

This has been achieved by listening to and addressing their challenges in a timely manner, a practice that has been implemented over the past three months.

“I want to assure taxpayers that we remain committed to listening to their concerns and meeting them where they are. Through our dedicated ‘Taxpayer Thursday,’ we will promptly address their challenges, ensuring businesses can thrive and expand the tax base, rather than shutting down,” he said.

He added: “We will continue to foster a fair business environment, ensuring no one avoids paying due taxes, while not burdening those obligated to pay. Taxes are essential for our country’s development.”

He urged businessmen and entrepreneurs who are not paying taxes as stipulated in laws to join their fellow taxpayers in paying taxes to create a fair business environment.

He said they have organized to strengthen inspection and audit units to ensure that the few evading taxes are dealt with according to the law.

“I urge them to be patriotic, and we will track them down so they can register as taxpayers. Some do not have taxpayer identification numbers (TIN) but are running these businesses. We do not sell TINs; they are free. Let them apply and start paying taxes. They will be assessed a small amount,” he said.

He noted that large taxpayers have contributed significantly through the services they provide, including the employment of workers, import duties, and more.