This Act was repealed on 2014-12-31 by Value Added Tax Act.
This is the version of this Act as it was when it was repealed.
Value Added Tax Act
Tanzania
Value Added Tax Act
Chapter 148
- Published in Tanzania Government Gazette
- Commenced on 1 July 1998
- [This is the version of this document as it was at 31 July 2002 to 1 December 2002.]
- [Note: This legislation was revised and consolidated as at 31 July 2002 and 30 November 2019 by the Attorney General's Office, in compliance with the Laws Revision Act No. 7 of 1994, the Revised Laws and Annual Revision Act (Chapter 356 (R.L.)), and the Interpretation of Laws and General Clauses Act No. 30 of 1972. All subsequent amendments have been researched and applied by Laws.Africa for TANZLII.]
- [Amended by Finance Act, 2002 (Act 18 of 2002) on 1 July 2002]
- [Repealed by Value Added Tax Act (Act 5 of 2014) on 31 December 2014]
Part I – Preliminary provisions (ss. 1-2)
1. Short title
This Act may be cited as the Value Added Tax Act.2. Interpretation
In this Act, unless the context requires otherwise—"agent" means a person who acts on behalf of another person in business;"Appeals Tribunal" means the Value Added Tax Appeals Tribunal established under section 54;"authorised officer" means any officer acting under the authority of the Commissioner-General for the purposes of this Act;"authority" means the Tanzania Revenue Authority;"business" includes any form of trade or commercial activity;"Certificate of Registration" means a certificate issued under section 20 of this Act;"Commissioner" means a person appointed as such under section 51;"Commissioner General" means the Commissioner-General of the Tanzania Revenue Authority;"Company" means a company as defined in the Companies Act1;"Customs Laws" includes the East African Customs and Transfer Tax Management Act and any enactment relating to the customs or to the importation, exportation, or carriage coastwise, of goods, and any subsidiary legislation made under the authority of those Acts or those enactments;"due date" means the date on which returns are due for lodgement or any tax, penalty, or other amount payable under this Act, or other date prescribed by the Commissioner, for lodgment of returns or payment of tax, penalty or any other amount;"exempt supplies" means supplies of goods or services described in the Second Schedule to this Act;"export" has the meaning assigned to it under First Schedule;"gaming machine" means a machine in respect of which the following conditions are satisfied—(a)it is constructed or adapted for playing a game of chance by means of it; and(b)a player pays to play the machine (except where he has an opportunity to play without payment as the result of having previously played successfully), either by inserting a coin or token into the machine or in some other way; and(c)the element of chance in the game is provided by means of the machine;"Government" means the Government of the United Republic and includes Local Authorities in Mainland Tanzania;"Government Agency" means any Ministry or Department of the Union Government, Tribunal, specially appointed Commission, extra-Ministerial organ, any Local Government Authority, any organisation designated by an establishing statute to be an agency of the Government or any organisation whose running costs are funded by the Government;"import" means to bring, or to cause to be brought into Mainland Tanzania;"input tax" has the meaning assigned to it under section 16;"Minister" means the Minister responsible for finance;"output tax" means the tax chargeable on a taxable supply;"prescribed accounting period" means such accounting period as may be prescribed in section 26 or by regulations;"proper officer" means any officer whose right or duty is to require the performance of, or to perform, the act referred to him under this Act;"public officer" includes every officer vested with responsibilities of performing duties of a public nature, whether under the immediate control of the President or not, and includes an officer under the control of a department of Government local authority, or public corporation;"recipient" in relation to any supply of goods or services, means the person to whom the supply is made;"residential buildings" means dwellings built or used to accommodate persons for private and not business purposes;"tax" means the Value Added Tax imposed by this Act;"tax invoice" means a document issued in accordance with section 29 and regulations made under this Act;"taxable person" means person registered or required to be registered under the provisions of this Act;"taxable supplies" has the meaning assigned to it under section 5 and does not include exempt supplies;"taxable turnover" means that part of the turnover of a business applicable to taxable supplies;"taxable value" means the value of a supply as determined in accordance with section 13, 14 and 15;"VAT" means the Value Added Tax imposed by this Act.Part II – Imposition of and liability to Value Added Tax (ss. 3-15)
3. Imposition of VAT
4. Scope of VAT
5. Taxable supplies
6. Time of supply
7. Place of supply
8. Rate of VAT
9. Zero-rating
10. Exemptions
11. Special reliefs
The persons and organisations listed in the Third Schedule to this Act shall be entitled to relief from VAT within the limits and conditions prescribed in that Schedule subject to procedures which may be determined by the Minister.12. Amendment of the Schedules
The Minister may after consultation with the Authority by order published in the Gazette, amend, vary, add to replace the Schedule to this Act.13. Taxable value
14. Taxable value of imported goods or services
15. ***
[Repealed by Act No. 14 of 2001 s. 28]Part III – Input tax (ss. 16-17)
16. Tax deductions and credits
17. Payment and repayment of tax
Part IV – Registration and deregistration (ss. 18-23)
18. Register
The Commissioner shall maintain a register in which he shall record such particulars of the taxable persons and their businesses and any other information which he may require from taxable persons when applying for registration.19. Registration
20. Certificate of Registration and Taxpayer Identification Numbers, etc.
21. Cancellation of registration
22. Business carried on in divisions or branches or by unincorporated bodies, etc.
23. Changes in business circumstances
Part V – Accounting for tax and lodging of returns (ss. 24-30)
24. Accounting for tax
Unless otherwise provided under this Act, a taxable person shall record each supply made and account for tax on it at the time of supply.25. Records and accounts
26. Tax returns
27. Late lodgement of returns
28. Interest on overdue tax and repayment
29. Tax invoices and receipts
30. Special methods of accounting
Part VI – Failure to pay VAT (ss. 31-34)
31. Recovery of tax, penalties, and interest
Any tax or interest or penalty payable under this Act, may be recovered as civil debt in the court of a Resident Magistrate at the instance of the Commissioner-General.32. Attachment of debts
33. Requirement to make early payment
34. Recovery of debts by distress
Part VII – Enforcement (ss. 35-43)
35. Security
36. Taking of samples
37. Furnishing of information and production of documents
38. Access to official information
Notwithstanding any provisions of any other law, where the Commissioner considers it necessary for the performance of his functions under this Act, he may by notice in writing require any public officer—39. Power to enter, inspect, etc.
40. Obstruction of an officer
Person who—41. Impersonation of an officer
A person who impersonates an officer commits an offence and upon conviction is liable to a fine not exceeding five hundred thousand shillings or to imprisonment for a term not less than three months but not exceeding five years, or to both the fine and imprisonment.42. Limitation of liability of officers and staff
Notwithstanding the provisions of any other law, no action or other proceeding shall lie or be instituted against any member or officer of the Authority for or in respect of any act or thing done or omitted to be done in good faith in the exercise or purported exercise of his functions and powers conferred by or under this Act.43. Assessment of tax
Part VIII – Offences and penalties (ss. 44-51)
44. Failure to register, etc.
45. Failure to pay tax or lodge returns
Any taxable person who fails to submit a return or pay tax by the due date commits an offence and upon conviction is liable to pay a fine not exceeding two hundred thousand shillings or to imprisonment for a term not less than two months but not more than twelve months or to both the fine and imprisonment.46. False returns and statements
Any person who, in purported compliance with any requirement under this Act, knowingly makes a return or other declaration, furnishes any document or information or makes any statement, whether in writing or otherwise, that is false in any material particular commits an offence and upon conviction is liable to a fine not exceeding five hundred thousand shillings or to imprisonment for a term not less than three months but not exceeding two years, or to both the fine and imprisonment.47. Fraudulent evasion or recovery
48. Publication of list of persons who commit offences
49. Compounding of offences
50. Detention of goods
51. Offence by body corporate
Where any offence under this Act or any regulations made under it has been committed by a body of persons, whether corporate or unincorporated, any person who, at the time of the commission of the offence, was concerned with the management of the affairs of the body of persons as director, partner, agent or an officer, shall be guilty of the offence.Part IX – Administration (ss. 52-54)
52. Functions, responsibilities and powers of the Commissioner-General and Commissioner
53. Authorised officers to have protection of police officers, and power of arrest
54. Powers in respect of imported and export goods
Notwithstanding the provisions of this Act, an authorised officer may exercise all the powers exercised by the officer in charge provided in Customs Laws in respect of imported and export goods.Part X – Appeals (ss. 55-57)
55. ***
[Repealed by Act No. 15 of 2000 s. 37][ss. 54]56. ***
[Repealed by Act No. 15 of 2000 s. 37][ss. 55]57. ***
[Repealed by Act No. 15 of 2000 s. 37][ss. 56]Part XI – Miscellaneous provisions (ss. 58-75)
58. Tax shown on an invoice
Any amount shown on an invoice, a receipt, or similar document, as VAT chargeable on a supply of goods or services shall be recoverable as VAT due from the person issuing the invoice, regardless as to whether—59. Agents
60. VAT representatives
61. Supplies by bankrupt or deceased, etc.
62. Transfer of a going concern
63. Advertised prices to include VAT
64. Tax adjustments of contracts
Where, after the making of a contract for the supply of goods or services and before the goods are delivered or services are rendered—65. Priority of VAT debts in bankruptcy
Where an individual has been declared bankrupt, any tax, fines or interest due under this Act shall have priority over other debts proven against the bankrupt.[s. 64]66. Evidence by certificate
A certificate of the Commissioner that—67. Schemes for obtaining undue tax benefits
68. Service of notices, etc.
69. Regulations
The Minister may make regulations where he is required or permitted by the Act, and where it is necessary or expedient to make regulations for carrying out or giving effect to this Act.[s. 68]70. Repayments and remissions
Where any VAT not due to the Commissioner-General under this Act is paid to him, or VAT due is not charged and paid by a taxable person, because of misunderstanding arising from incorrect or misleading advice by an officer, the Commissioner-General may repay or remit the VAT.[s. 69]71. Transitional arrangements
72. Repeal and savings
73. Amendment of Cap. 105
[Amends the Hotel Levy Act.][s. 72]74. Amendment of Cap. 104
[Amends of the Entertainment Tax Act.][s. 73]75. Amendment of Cap. 189
[Amends of the Stamp Duty Act.]History of this document
31 December 2014
Repealed by
Value Added Tax Act
01 July 2013 amendment not yet applied
Amended by
Finance Act, 2013
01 July 2012 amendment not yet applied
Amended by
Finance Act, 2012
28 October 2011 amendment not yet applied
01 July 2011 amendment not yet applied
Amended by
Finance Act, 2011
20 August 2010 amendment not yet applied
01 July 2010 amendment not yet applied
Amended by
Finance Act, 2010
01 July 2009 amendment not yet applied
Amended by
Finance Act, 2009
01 July 2008 amendment not yet applied
Amended by
Finance Act, 2008
01 July 2007 amendment not yet applied
Amended by
Finance Act, 2007
01 July 2006 amendment not yet applied
Amended by
Finance Act, 2006
01 July 2005 amendment not yet applied
Amended by
Finance Act, 2005
22 April 2005 amendment not yet applied
01 August 2003 amendment not yet applied
01 July 2003 amendment not yet applied
Amended by
Finance Act, 2003
23 May 2003 amendment not yet applied
02 December 2002 amendment not yet applied
31 July 2002 this version
Consolidation
01 July 2002
Amended by
Finance Act, 2002
01 July 1998
Commenced
Cited documents 7
Act 7
1. | Companies Act | 1015 citations |
2. | Stamp Duty Act | 205 citations |
3. | Tanzania Revenue Authority Act | 50 citations |
4. | Public Finance Act | 41 citations |
5. | Export Processing Zones Act | 29 citations |
6. | Hotels Act | 15 citations |
7. | Entertainments Tax Act | 5 citations |
Documents citing this one 67
Judgment 41
Gazette 13
Government Notice 8
Act 4
1. | Tanzania Investment Act | 238 citations |
2. | Entertainments Tax Act | 5 citations |
3. | Export Tax Act | 4 citations |
4. | Education Fund Act | 2 citations |
Journal 1
1. | Law Reformer Journal, Vol. 2, 2009, Number 1 |