- The Tanzanian Ministry of Finance and Planning presented the national budget for 2025 to 2026.
- The budget includes changes to VAT, income tax, and labor policy effective from July 1, 2025.
- New VAT exemptions include reinsurance transactions.
- VAT exemption for gaming supplies is repealed.
- Specified textiles are zero-rated for one year.
- Specified fertilizers are zero-rated for three years.
- VAT is extended to online marketing platforms and nonresident online payment service providers.
- Reduced VAT rate of 16 percent on B2C online purchases.
- A new VAT collection agency will collect 3 percent VAT on payments to registered vendors.
- The measures aim to modernize tax administration and broaden the tax base, especially in the digital sector.
Source: globalvatcompliance.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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