Magufuli unhappy with TRA tax base, performance

02Apr 2019
The Guardian Reporter
DAR ES SALAAM
The Guardian
Magufuli unhappy with TRA tax base, performance

PRESIDENT John Magufuli yesterday expressed his dissatisfaction with the performance of the Tanzania Revenue Authority (TRA) asking it to work on expanding the tax base from the current 2.7percent.

The president said TRA has the ability to persuade more Tanzanians to pay tax by creating an enabling environment and creating taxable yields revenue sources.

 

He made this appeal when speaking at the State House at a swearing in ceremony for the Deputy Permanent Secretary for the Ministry of Finance and Planning Adolf Ndunguru as well as TRA deputy commissioner Msafiri Mbibo. Dr Magufuli took a swipe at TRA for underperformance, attributing it to lack of proper communications within the agency, poor allocation of staff and outright corruption.

 

Tanzania’s current tax base stands at just 12.8 per cent tax base against a population of over 50 million, compared to Kenya which has an 18.5 percent taxable base against a population of 40 million.

 

“When you visit our borders, you will see that businessmen are closing their businesses and open them on the other side of the country,” said President Magufuli.

 

The Head of State also expressed his dissatisfaction with the heaping of tax cases in courts of law, saying it is delaying a huge amount of taxes to be paid.

 

The event to swear in top officials was attended by Vice President Samia Suluhu Hassan, Foreign Affairs Minister Prof Palamagamba Kabudi, Deputy Finance and Planning Minister Dr Ashatu Kijaji, permanent secretaries and heads of security and defense agencies.

 

President Magufuli hailed Dr Kijaji for following on budget funds allocated to various projects. He directed the newly appointed officials to go and change some shortfalls at their new portfolios including removing officials who impede progress.

 

In her remarks, Vice President Samia said the two officials are expected to perform better in their duty stations, having been appointed into institutions that are key in national economic development.

 

In another event, President Magufuli and First Lady Janeth Magufuli paid their last respects and offered condolences to Iringa Urban MP Peter Msigwa on the death of her sister Tryphosa Sanga who died last week in a car accident in Dar es Salaam. 

 

 

 

 

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