World Library  
Flag as Inappropriate
Email this Article

Taxation in Tanzania

Article Id: WHEBN0009933909
Reproduction Date:

Title: Taxation in Tanzania  
Author: World Heritage Encyclopedia
Language: English
Subject: Economy of Tanzania, Taxation in Canada, Tanzanian shilling, Tourism in Tanzania, Transport in Tanzania
Collection: Income Taxes, Taxation by Country, Taxation in Tanzania
Publisher: World Heritage Encyclopedia
Publication
Date:
 

Taxation in Tanzania

In Tanzania the Income Tax Act, 2004 came into effect in July 2004. This act restructured the income tax system in line with modern requirements and repealed the previous Income Tax Act, 1973. Tax is levied on income from employment, income from business and income from investment. Taxable persons include entities and individuals. An entity can be a corporation or a trust, and a corporation is loosely defined to mean any incorporated or unincorporated body of persons or association. For partnerships the individuals within the partnership are taxed on their share of the income. Taxation is on worldwide income for residents (or for individuals, of residents of more than two years) while taxation of non-residents is on Tanzanian source income only. The corporate tax rate is 30%. The individual tax threshold is Tsh 1,200,000 per annum, and the rates are from 15% to a top rate of 30%. Various provisional and final withholding taxes are applied to ease the collection of tax.

Both the Income Tax Act, 2004 itself and a comprehensive interactive guide to income tax for Tanzanian residents is provided on the website of the Ministry of Finance and Economic Affairs of Tanzania (see guide).[1]

In Tanzania the Income Tax Act, 2004 came into effect in July 2004. This act restructured the income tax system in line with modern requirements and repealed the previous Income Tax Act, 1973. Tax is levied on income from employment, income from business and income from investment. Taxable persons include entities and individuals. An entity can be a corporation or a trust, and a corporation is loosely defined to mean any incorporated or unincorporated body of persons or association. For partnerships the individuals within the partnership are taxed on their share of the income. Taxation is on worldwide income for residents (or for individuals, of residents of more than two years) while taxation of non-residents is on Tanzanian source income only. The corporate tax rate is 30%. The individual tax threshold is Tsh 1,620,000 per annum, and the rates are from 14% to a top rate of 30%. Various provisional and final withholding taxes are applied to ease the collection of tax.

Both the Income Tax Act, 2004 itself and a comprehensive interactive guide to income tax for Tanzanian residents is provided on the website of the Ministry of Finance and Economic Affairs of Tanzania.

References

  1. ^ MOF.go.tz

External links

  • Tanzania Revenue Authority
  • Ministry of Finance and Economic Affairs
This article was sourced from Creative Commons Attribution-ShareAlike License; additional terms may apply. World Heritage Encyclopedia content is assembled from numerous content providers, Open Access Publishing, and in compliance with The Fair Access to Science and Technology Research Act (FASTR), Wikimedia Foundation, Inc., Public Library of Science, The Encyclopedia of Life, Open Book Publishers (OBP), PubMed, U.S. National Library of Medicine, National Center for Biotechnology Information, U.S. National Library of Medicine, National Institutes of Health (NIH), U.S. Department of Health & Human Services, and USA.gov, which sources content from all federal, state, local, tribal, and territorial government publication portals (.gov, .mil, .edu). Funding for USA.gov and content contributors is made possible from the U.S. Congress, E-Government Act of 2002.
 
Crowd sourced content that is contributed to World Heritage Encyclopedia is peer reviewed and edited by our editorial staff to ensure quality scholarly research articles.
 
By using this site, you agree to the Terms of Use and Privacy Policy. World Heritage Encyclopedia™ is a registered trademark of the World Public Library Association, a non-profit organization.
 


Copyright © World Library Foundation. All rights reserved. eBooks from Project Gutenberg are sponsored by the World Library Foundation,
a 501c(4) Member's Support Non-Profit Organization, and is NOT affiliated with any governmental agency or department.