YOUR BUSINESS IS OUR BUSINESS : Taxing native brews, not only ‘mama-ntilies’

What you need to know:

  • The third newspiece – also too coincidentally published on the very same day – was on tax revenue collection performance by the Government’s premier revenues body, the Tanzania Revenue Authority (TRA).

Three news reports published in two different ki-Swahili Daily newspapers in Dar es Salaam on September 5 this year set me a-thinking… Perhaps somewhat too coincidentally, two of the reports were on ways and means of boosting public revenue collections via the accustomed taxation route.

The third newspiece – also too coincidentally published on the very same day – was on tax revenue collection performance by the Government’s premier revenues body, the Tanzania Revenue Authority (TRA).

Starting with this last first, if I may… TRA revealed that it exceeded the set revenue collection target for August this year! According to the Authority’s Director of Services & Taxpayer Education, Richard Kayombo, TRA collected a total of Sh1.158 trillion in August 2016, compared to the Sh923 billion it collected in August last year. [See ‘TRA yakusanya tril.1.158/= August.’ Page 9, Nipashe: September 5, 2016].

That sum was also over and above the target collection of Sh1.152 trillion which was set for this August, exceeding that target by a relatively comfortable (so to speak) Sh6 billion – and exceeding the August 2015 actual collection by a whopping Sh235 billion! But, perhaps the beauty of it all is that the higher collection that exceeded both this year’s set target and the actual collection a year ago is attributed to improved tax collection strategies devised by the Revenue Authority.

Unfortunately, however, details of the strategies that led to such commendable results haven’t been released for public consumption in terms of facilitating independent analysis and verification as to their authenticity and efficacy! But, no matter… What now matters here’s that the same newspaper published on the same day on page 25 a report headlined ‘Mataptap kuwa chanzo cha mapato.’ Reportedly, the Idukilo Ward Councilor, Sala Marco, urged the Kishapu District Council in Shinyanga Region to seriously consider henceforth taxing local alcoholic brews (‘Mataptap’ in ki-Swahili) – instead of continuing to tax, harry and harass cooked food vendors (Mama/Baba Lishe) and petty traders in vegetables and suchlike.

After all, President John Pombe Magufuli has time and again called upon Local Government Authorities to accord breathing and business operating space to petty traders by not suffocating their income-generating opportunities through petty taxes and similar trade barriers! Apparently, as the authorities do that – ostensibly to swell public coffers – brewers and imbibers of traditional/native/local drinks operate untaxed, virtually going laughing all the way to the nearest Pombe Shop! So, here’s a golden opportunity for the taxation authorities countrywide (including TRA, perhaps?) to broaden their tax base by taking a Leaf out of the Book of Kishapu District Council on taxing ‘Mataptap’… Cheers! Oh, I nearly forgot about the third report – also published on September 5 this year – regarding the same subject-matter: taxation! Titled ‘Mashirika ya Dini yatozwe kodi’ [See page 6 of Tanzania Daima: Sept. 5, 2016], the writer of the report – one ‘Danson Kaijage,’ reporting from the nation’s new-found capital Dodoma – seemed to be trampling upon ground that even Angels fear to tread!

Steeling myself against all odds, I went on to guardedly read the story. Then, much to my great relief, I found that the source of the report is NOT an out-and-out atheist, or an excommunicated troublemaker, but a practising Man of the Cloth! Reportedly, Bishop Joseph Bundala of the Tanzania Methodist Church (Dodoma Diocese) reportedly urged the Government of President Magufuli to start taxing imports for and/or by Religious institutions regardless… The Good Fellow also went further than that, urging the Govt. to also impose, assess and collect value-added tax (VAT) on religions offerings at the altar, specifically ‘Sasaka’ in ki-Swahili! While the Bishop’s objective and reasoning on this is commendable – to swell public coffers for national socio-economic development – I cannot see the Bishop’s proposals being taken up with alacrity – if at all! Admittedly, there may be considerable cheating by some religious organizations routinely abusing the tax exemptions they’ve been enjoying for years. But, how do you abruptly jettison everything, impose tax on Religion – and effectively enforce same?

I don’t know... Do you? Cheers! [[email protected]].