- The Court of Appeal of Tanzania ruled that performance grants are subject to VAT.
- The case involved Mwenga Hydro Limited and the Commissioner General of TRA.
- The grant from the Rural Energy Agency was considered a revenue subsidy, not a capital injection.
- The VAT assessment on the grant was upheld, and the appeal was dismissed.
Source: kpmg.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.
Latest Posts in "Tanzania"
- Tanzania Finance Act 2025: VAT, Income Tax, and Excise Duty Amendments
- Navigating VAT Challenges: Insights from Jacks (Tanzania) Limited v. Tanzania Revenue Authority Case
- Strict VAT Compliance Deadlines: Lessons from Illovo Case on Input VAT Claims
- Tanzania Reduces Standard VAT Rate to 16% for B2C Purchases via Banks and E-Payments
- Tanzania Postpones Implementation of 16% VAT Rate for B2C Transactions Until Further Notice
