Tanzanian President Samia Suluhu Hassan officially opened the Tanzania Revenue Authority’s (TRA) new regional office in Simiyu today, underscoring the government’s commitment to strengthening domestic revenue collection as a foundation for economic self-reliance.
In her address, President Samia called on Tanzanians to adopt a culture of voluntary tax compliance, emphasizing that increased tax revenues are essential for funding critical social services and reducing dependency on foreign aid.
“Economic independence is achieved through citizens’ tax contributions,” she said. “Taxes finance essential public goods such as water, electricity, and healthcare. While the government still relies on borrowing for large infrastructure projects, building a robust tax base remains the priority.”
The president directed the TRA to continue employing taxpayer-friendly collection methods and increase outreach and education to improve compliance. However, she cautioned that enforcement measures would target habitual defaulters.
The inauguration of the Simiyu TRA building, constructed at a cost of approximately TZS 9.83 billion ($4.1 million), is part of a broader national initiative involving TZS 116 billion ($48 million) investment in TRA infrastructure across Tanzania.
These investments aim to enhance service delivery, improve operational efficiency, and boost overall tax revenue.
TRA Commissioner General Yusuph Juma Mwenda highlighted the agency’s recent performance, noting that TRA exceeded its revenue collection target by 5% in the first 11 months of the 2024/2025 fiscal year, collecting TZS 28.861 trillion against a target of TZS 27.841 trillion.
“With the addition of nearly 1,900 new staff and modernized facilities, we are well-positioned to sustain growth in domestic revenues,” Mwenda stated. He expressed confidence that TRA will surpass its annual collection goals by the end of June.
Tanzania’s push to enhance tax compliance aligns with broader East African efforts to expand domestic resource mobilization and reduce reliance on external financing amid a challenging global economic environment.