The Tanzania Revenue Authority (TRA) has recorded a historic performance in the 2025/26 financial year after collecting TZS 37.96 trillion, surpassing its annual target of TZS 36.07 trillion and strengthening government efforts to finance national development priorities.
According to the annual performance report for the year ended June 2026, the authority achieved 105.24 percent of its target, reflecting strong growth in domestic revenue mobilisation and improved efficiency in tax administration.
The performance represents an increase of 17.61 percent compared to TZS 32.27 trillion collected in the 2024/25 financial year.
The results highlight a continued upward trend in government revenue collection, supported by ongoing reforms, expansion of the tax base, and improved compliance among taxpayers.
TRA maintained consistent overperformance throughout the year, meeting and exceeding its monthly targets for 24 consecutive months from July 2024 to June 2026.
Monthly performance data shows steady growth across all reporting periods, with notable peaks in key revenue months such as December 2025, March 2026, April 2026, and June 2026.
December 2025 recorded the highest monthly collection in TRA history at TZS 4.13 trillion, surpassing the previous record of TZS 3.58 trillion collected in December 2024.
On average, monthly revenue collection rose to TZS 3.16 trillion in 2025/26, compared to TZS 2.69 trillion in the previous year, reflecting improved efficiency in tax systems and an expanding taxpayer base.
A key driver of this performance was the expansion of the taxpayer register. During the year under review, TRA registered 1,400,810 new taxpayers, bringing the total number of registered taxpayers to 8,564,172 as of June 2026. This represents a 19.56 percent increase compared to the previous year.
This growth was supported by improved digital systems, particularly the upgraded Internal Domestic Revenue Administration System (IDRAS), which became operational in February 2026.
The system has been integrated with 52 public institutions and 30 private sector entities, enabling faster data sharing and improved monitoring of tax compliance. Plans are underway to connect an additional 50 institutions by December 2026.
TRA also recorded significant progress in improving the business environment through faster resolution of taxpayer challenges.
Through its business facilitation desk, the authority resolved 68,650 business-related issues, resulting in additional compliance gains and revenue recovery worth TZS 508.89 billion.
In addition, 113 tax disputes worth TZS 851.3 billion were resolved outside court, reducing litigation costs and strengthening trust between taxpayers and the authority.
Operational efficiency at ports and border points also improved significantly. Cargo clearance time reduced from between five and seven days in 2024/25 to between two and three days in 2025/26, following improvements in customs systems and enhanced coordination among stakeholders.
On enforcement, TRA intensified efforts to combat tax evasion and smuggling, intercepting 384 cases involving goods valued at TZS 9.84 billion.
The authority also strengthened oversight of tax exemptions, reviewing 19,112 applications and rejecting 2,121 that did not meet required conditions.
Under the IDRAS system, compliance improved significantly, with a high number of tax returns submitted across key categories, including 995,792 PAYE returns, 469,009 VAT returns, 193,172 corporate tax returns, and 2,431 excise duty returns.
To strengthen operations, the government approved the recruitment of 4,490 new employees, bringing TRA’s workforce to 8,791 staff.
The authority also received over 100 new vehicles to support field operations and enforcement activities.
Staff performance and discipline remained a priority. During the year, 49 employees were recognised for outstanding performance, while 33 staff members were found with disciplinary issues.
Out of these, 10 were demoted and 3 were dismissed as part of efforts to strengthen integrity and accountability within the institution.
Beyond revenue collection, TRA United SC, the authority’s football club, finished fifth out of 16 teams in the national Premier League, reflecting continued investment in staff welfare and institutional cohesion.
Overall, the 2025/26 performance reflects strong progress in Tanzania’s tax administration system, driven by digital transformation, expanded taxpayer registration, improved compliance, and strengthened enforcement.
The sustained overperformance underscores TRA’s growing capacity to support national development through reliable domestic revenue collection.
