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Tanzania Introduces 16% VAT on B2C Online Payments via Approved Platforms

    The Tanzania Revenue Authority (TRA) has introduced a 16% VAT rate for B2C online purchases made through banks or approved electronic payment platforms, effective 1 September 2025. This reduced rate applies when the supply is subject to the standard VAT rate, the transaction occurs in Mainland Tanzania, the buyer is not VAT-registered, and payment is made through an authorized system. The standard 18% VAT rate remains for other transactions. This measure aims to promote electronic payments and improve tax compliance.

Source: regfollower.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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