The Tanzania Revenue Authority (TRA) has started the 2026/27 financial year on a strong footing, collecting TZS 3.245 trillion in July, exceeding its monthly target by TZS 274 billion.
Finance Minister Khamis Mussa Omar praised the authority’s performance, saying the results had strengthened confidence that TRA could surpass the government’s annual domestic revenue target of more than TZS 42 trillion.
Mr Omar made the remarks in Kizimkazi, Zanzibar, where he laid the foundation stone for a new TRA office building that will cost an estimated TZS 3.6 billion upon completion.
The minister said improved revenue collection was critical to the government’s ability to finance development projects and deliver essential services to citizens.
According to TRA Commissioner General Yusuph Mwenda, the authority had been assigned a July collection target of TZS 2.971 trillion, but collected TZS 3.245 trillion, equivalent to 109 per cent of the target.
The collection also represented a 21 per cent increase, indicating improved revenue performance at the start of the new financial year.
“Through your good leadership, Honourable Minister of Finance, and our cooperation with taxpayers, we assure you that we will surpass that target,” Mr Mwenda said.
He attributed the performance to cooperation among the government, Parliament and taxpayers, particularly efforts to strengthen compliance and improve engagement with the business community.
Mr Mwenda said TRA collected TZS 325 billion in July for direct allocation to 11 funds supporting infrastructure development.
The funds contribute to projects in areas including roads, water and tourism, demonstrating the link between tax payments and government development programmes.
For citizens, sustained revenue collection provides an important source of financing for public services and infrastructure without relying entirely on external sources.
Mr Omar said the government was targeting more than 74 per cent self-financing through domestic revenue during the 2026/27 financial year.
He said the strategy would strengthen the country’s capacity to finance development priorities, including roads, energy, water, healthcare and education.
The Kizimkazi office is among 49 TRA offices being constructed across the country at a total estimated cost of more than TZS 32 billion.
The government says the investment is aimed at bringing tax services closer to citizens and businesses, improving working conditions for TRA employees and making it easier for taxpayers to comply with their obligations.
Mr Omar directed TRA to strengthen cooperation with the Zanzibar Revenue Authority (ZRA), particularly in the use of office infrastructure in Zanzibar.
He said closer cooperation between the two revenue authorities would help ensure taxpayers receive comprehensive services without unnecessary inconvenience.
Mr Omar urged businesses and individuals to pay taxes on time, accurately and voluntarily, while assuring taxpayers that the government would continue working to improve tax services and address challenges affecting compliance.
He said paying taxes should be viewed as a civic responsibility that contributes directly to national development.
Kusini District Commissioner Othman Ali Maulid called on TRA and ZRA to balance revenue collection with quality service delivery.
He urged the authorities to listen to concerns raised by citizens and businesses and address them promptly.
Speaking on behalf of Zanzibar’s hotel and tourism operators, Henry Kaunda thanked TRA and ZRA for engaging with businesses and helping resolve challenges affecting the sector.
He called for continued taxpayer education to enable businesses to better understand their obligations and improve voluntary compliance.
