The Finance Act, 2022

This section says the Act may be cited as the Finance Act, 2022.

This Act comes into operation on 1 July 2022.

This Part is to be read together with the Animal Diseases Act.

Section 3(2) of the principal Act is amended by adding the words “and prescribe the use of” in paragraph (g).

This Part is to be read together with the Bank of Tanzania Act, which is called the principal Act.

The Bank’s advances under sections 35 and 34 must stay within a cap of 18% of each Government’s budgeted domestic revenues.

This section amends section 36(1) of the principal Act by inserting the word “domestic” between “budgeted” and “revenues.”

This Part is to be read together with the Business Names (Registration) Act, which is called the principal Act.

This provision adds a new definition of “beneficial owner” into section 2 of the principal Act.

Section 4 is amended so that paragraph (a) now applies to every firm with a place of business in Tanzania.

This section amends section 6(1) of the principal Act by changing the wording in paragraph (d).

A person commits an offence if they fail to provide the Registrar certain beneficial ownership information about a partnership, and conviction can lead to a fine.

Certain listed authorities may access beneficial ownership information held by the Registrar.

This section says this Part must be read together with the Cashewnut Industry Act.

The export levy collected under subsection (1) must be split: 50% to the Ministry for agriculture for the agricultural input subsidy and development fund, and 50% to the Consolidated Fund.

This Part must be read together with the Companies Act, which is called the principal Act.

This section replaces the definition of “beneficial owner” in section 2 of the principal Act with the meaning given under the Anti-Money Laundering Act.

This amendment replaces section 115(5) so that a company, and any officer in default, may be fined if the company fails to comply with certain subsections.

Section 116(4) is changed so the fine is no longer a “default fine” and becomes a fine of at least 100,000 shillings and up to 1,000,000 shillings.

The liquidator must keep accounting records and underlying documents about a company’s dissolution for at least 10 years from the date of dissolution.

This Part is to be read together with the Copyright and Neighbouring Rights Act.

The principal Act is amended by replacing “Society” and “Society’s” with “Office” and “Office’s”.

This provision inserts definitions for “collective management” and “collective management organisation” in section 4 of the principal Act.

Section 46 is amended by replacing its marginal note with “Administration neighbouring rights”.

This section amends the principal Act by repealing section 47 and replacing it with new text titled “Functions of Office.”

The Copyright Office has functions to protect copyright interests, maintain registers, publish rights information, handle royalties, issue and supervise licences for collective management organisations, support collecting organisations, deal with anti-piracy, and advise the Minister.

This section amends section 48 of the principal Act by changing the wording on royalties and replacing “registering” with “licensing”.

This section amends the principal Act by inserting a new provision about the imposition of a copyright levy after section 48.

A copyright levy of 1.5% is imposed on certain audio/video recording and playback devices, and the Minister must make regulations for how it is collected and accounted for.

This section inserts a new Part dealing with the collective management of copyright.

Collective management organisations must have a licence from the Office to operate in Tanzania, and the Office cannot license the same rights bundle and works category if another organisation is already licensed. Operating without a licence is an offence punishable by a fine.

Collective management organisations must carry out the listed functions, including promoting creativity, public awareness, royalty payments, fee charging with Office approval, reciprocal agreements, member support, and acting for members.

The Office must license a collective management organisation if the listed conditions are met.

A collective management organisation must send the Office an annual operations report and audited accounts soon after each financial year ends.

An aggrieved person may appeal to the Office, and may also appeal to the Minister, each within 30 days of the relevant decision or act.

The Minister may make regulations for this Part about licence application, issuance, cancellation, and procedures for management collective organisations on royalty collection and distribution rules.

This section says this Part must be read together with the Dairy Industry Act, which it calls the principal Act.

This provision changes section 10(s) by replacing one authority name with another.

This Part must be read together with the Excise (Management and Tariff) Act, called the principal Act.

Section 16(3) is deleted from the principal Act.

This section amends section 18 of the principal Act by deleting subsection (5).

This provision changes section 124 of the principal Act by replacing one description of covered cable-related operators and networks with a broader one that includes cable, terrestrial infrastructure, satellite, or other technology.

This section changes section 125(1) by replacing paragraph (e) with a new wording about pay-to-view using provider infrastructure and supplied technology.

The principal Act is amended in the Fourth Schedule by adding a new item below Heading 05.01.

This Part must be read together with the Export Tax Act.

This section amends the Schedule by inserting new material immediately after item 2, but the inserted text is not shown here.

This provision changes a Schedule entry by replacing “USD 16” with “USD 10” in item 2, third column.

This Part must be read together with the Local Government Finance Act, which is called the principal Act.

This section changes a Schedule item from 5% to 3% and adds “a cess on seeds” to the Schedule.

This section amends the principal Act’s Schedule by adding new text after subitem 23 in item 1 of Part I.

This tariff entry lists sugar confectionary items and shows nil old and new rates in Tshs.

Section heading for No. 5 of The Finance Act 2022.

Lists tariff headings for chocolate and other cocoa preparations, including filled, not filled, locally produced, and imported items.

This tariff line lists imported bakers’ wares and related products, including sweet biscuits locally produced, with a duty/rate column showing nil entries and a final Tshs label.

This provision amends tariff text by adding an exception for plastics used solely by exporters of horticultural products and by inserting new text before Heading 85.23.

This tariff line sets rates for electric accumulators and related lead-acid accumulators, including separate rates for locally produced and imported goods.

This section says this Part must be read together with the Electronic and Postal Communications Act.

This section adds a provision about fees on television decoder subscription charges.

A fee is imposed at a rate of 500 to 2,000 shillings, and the Minister must make regulations about how it is collected and accounted for after consulting the Minister responsible for finance.

This Part must be read together with the Energy and Water Utilities Regulatory Authority Act, called the principal Act.

This section amends section 7(1)(b) of the principal Act by changing one word in subparagraph (ii) and deleting words in subparagraph (iii).

This provision begins a definition or item listing for copper waste or scrap metals of Heading 72.04.

The rate is 30% of the commodity f.o.b. value or 150 USD per tonne, whichever is greater.

This Part must be read together with the Fertilizers Act, which is called the principal Act.

This section amends section 28 of the principal Act by deleting a specific phrase.

This section says this Part must be read together with the Foreign Vehicles Transit Charges Act.

This amendment adds a proviso saying the charge applies only to a round trip to a destination within Mainland Tanzania.

This section says this Part must be read together with the Gaming Act, which is called the principal Act.

This section adds definitions for “winning” and “withholding agent” in the principal Act.

This section amends section 31 of the principal Act, including adding “monthly” in one phrase and making Tax Administration Act provisions apply to gaming tax.

This section changes gaming tax rates and puts the gaming licencee on withholding, remitting, and reporting duties.

This section says this Part must be read together with the Government Loans, Guarantees and Grants Act.

The Minister’s authority under this section must be exercised so borrowing does not exceed the threshold from debt sustainability indicators analysis.

This section amends section 19 of the principal Act by changing a title and replacing the list of committee members.

This section amends the principal Act by repealing section 20 and replacing it with new text.

The person responsible for debt management in the Ministry must constitute the National Committee Secretariat, following any regulations that prescribe how this must be done.

This section says this Part must be read together with the Hides, Skins and Leather Trade Act, which is called the principal Act.

This section amends the definitions of “hide” and “skin” in section 3 by excluding trophy as defined in the Wildlife Conservation Act.

This Part must be read together with the Income Tax Act, which is called the principal Act.

This section amends the definition of “business” and adds new definitions for “digital market place,” “electronic service,” and “alternative financing arrangement.”

This section amends section 10(3)(b) of the principal Act by changing punctuation and adding a new subparagraph for special strategic investments approved by the National Investment Steering Committee under the Tanzania Investment Act.

The section changes the definition of “equity” in section 12(5).

Section 62 amends section 32 of the principal Act to say that, for certain approved alternative financing arrangements paid as cost plus margin, the margin is treated like interest.

This section amends the principal Act by inserting a new Division VI after section 65S, titled “Transportation.”

Resident persons engaged in transporting passengers or goods must calculate income and expenses under specified parts of the Finance Act, and the affected persons must comply with electronic receipt-issuing methods prescribed by the Commissioner.

This provision amends section 66(4) by adding the words “whether physically or through any electronic means” after “United Republic” in paragraph (b).

This provision amends section 69 of the principal Act by adding two new categories of payments to the existing text.

This section amends section 74(1)(b) of the principal Act by inserting additional words about distributions by a resident financial institution and section 75(6).

This section amends the principal Act by adding a new provision about tax credit for business or investment operating in both Mainland Tanzania and Tanzania Zanzibar.

A resident person who is not a partnership may claim a tax credit for the year of income for income tax paid on taxable business or investment income in Mainland Tanzania or Tanzania Zanzibar.

This provision amends section 82(2) of the principal Act by deleting one paragraph, renaming the remaining paragraphs, and adding a new paragraph about certain bond interest.

This provision amends section 86(1) of the principal Act by removing the word “and” and the semicolon at the end of paragraph (f), and by deleting paragraph (g).

This section amends the principal Act by adding a new provision after section 90, titled “Tax payment on income realised through…”.

A non-resident person receiving certain digital marketplace service payments sourced in Tanzania must pay income tax at 2% of the gross payment and file a return with the Commissioner by the 7th day of the following month.

This section amends section 92(b) by inserting “or 90A” after “90(1)”.

The First Schedule of the principal Act is amended to exclude certain professional and service income from “business” and to replace the turnover tax table.

This provision sets out tax rates and fixed tax amounts for different turnover bands and vehicle categories, and allows the Minister to determine applicable rates in consultation with the responsible finance minister.

This section amends the Second Schedule by adding new items about amounts derived from gains on certain transfers involving mineral rights, mineral information, free carried interest shares, and shares to the Government/Treasury Registrar.

This text appears to add a new subitem to item 2 listing certain goods and HS codes.

This provision amends item 3 by deleting a phrase in subitems 8 and 9 and adding text after figure “08.10” in the third column of a subitem.

This text appears to amend item 42 by adding “S/N” immediately after it.

This provision amends item 4 by inserting a comma and tariff figure 3926.90.10 after 5608.11.00, and by adding new text after subitem 5.

This text amends item 6 by adding a new subitem after subitem 10, relating to fishing hooks, reels and lines under the listed HS codes.

This section amends earlier items by replacing item 18, adding a date phrase to item 22, and deleting/substituting item 27.

This section describes supplies of double refined edible oil, related raw materials, packaging materials, and sisal ropes for a stated one-year period.

This provision describes an import category for machinery used by local hides-and-skins manufacturers and registered abattoirs in Mainland Tanzania, subject to certification by the Ministry responsible for livestock or fishery.

This provision mentions imports of specified cold rooms and refrigerated trucks by certified people engaged in livestock, fishery, or agriculture.

This provision lists certain imported goods and says they must be used solely and directly for manufacturing fertilizers, with certification from the Ministry responsible for industries.

This provision refers to an import of specified soil testing equipment certified by the Ministry responsible for agriculture.

The provision lists certain imported agricultural and measuring equipment, subject to certification by the Ministry responsible for agriculture.

This provision refers to an import of meteorological equipment and machinery by the Tanzania Meteorological Authority.

This text refers to raw materials and HS codes connected to a manufacturer of gas cylinders, apparently tied to signing a performance agreement with the Government of the United Republic.

This Part must be read together with the Insurance Act, which is called the principal Act here.

This section amends the principal Act by inserting new text immediately after section 133.

A person must not import goods or operate certain markets, buildings, vessels, ferries, or pantoons without insurance cover.

This Part must be read together with the Land Act, which is called the principal Act.

The law changes the interest rate on unpaid land rent and gives ministers power to exempt some or all accrued interest.

This Part is to be read together with the Land Transport Regulatory Authority Act.

This provision amends section 5(1)(c) of the principal Act by replacing one word and deleting a phrase.

This section says this Part must be read together with the Local Government (District Authorities) Act.

Each district authority must establish a one-stop centre to help coordinate and promote business in its area.

This Part is to be read together with the Local Government (Urban Authorities) Act.

Each urban authority must establish a one-stop centre to coordinate and support business in its area, and the Minister may make regulations to help implement that rule.

This Part is to be read together with the Mining Act, which is called the principal Act.

This provision amends section 87(1) of the principal Act to add rates for gold sold at refinery centers and coal used as industrial raw material.

This section says this Part must be read together with the National Payment Systems Act, which is called the principal Act.

Section 46A is amended to rename the levy, replace “mobile money transfer” with “electronic money,” change the figure 10,000 to 4,000, and exempt salary payments by employers from the section.

This Part must be read together with the Occupational Safety and Health Act, which is called the principal Act.

This section amends section 17(3) by inserting the words “within seven days” before “upon fulfilling.”

This Part is to be read together with the Ports Act, which is called the principal Act here.

The Tanzania Revenue Authority must collect wharfage revenue and deposit it into a bank account at the Bank of Tanzania; the Paymaster General must disburse the revenue to the Authority.

This section says this Part must be read together with the Tanzania Investment Act, which is called the principal Act.

This section amends section 20(8) so that fiscal incentives must be granted according to the relevant tax law.

This Part must be read together with the Tanzania Revenue Authority Act, which is called the principal Act.

This provision amends wording in section 23A by replacing “national policy” with “fiscal policy” and “Zanzibar Government” with “Revolutionary Government of Zanzibar”.

The amendment says the Authority must retain certain custom processing fee amounts for a stated one-year period.

A Board member under section 10(1)(a) to (e) may attend Board meetings in person or through a duly appointed proxy.

This section says this Part must be read together with the Tanzania Shipping Agencies Act, which it calls the principal Act.

Section 5 of the principal Act is amended by replacing the semicolon and “and” at the end of paragraph (g) with a full stop and deleting paragraph (h).

This section amends section 7 of the principal Act so that the Corporation has the exclusive mandate to carry out clearing and forwarding functions for certain imports and exports.

This provision amends section 12(1) of the principal Act by replacing one word and deleting certain words in paragraphs (b) and (c).

This Part must be read together with the Tax Administration Act, which is called the principal Act.

This provision amends the definition of “fiscal device” in section 3(3) of the principal Act.

This amendment requires the Commissioner General to issue a Taxpayer Identification Number to qualifying Tanzanian citizens and link it to the National Identification Number. It also says a registered person with a branch in Tanzania Zanzibar must use a Zanzibar-issued registration number.

This section amends the principal Act by repealing section 28 and replacing it with new text on licensing of tax consultants.

The Commissioner General may license an individual to act as a tax consultant, and a licensed tax consultant may act for a taxpayer, subject to the stated conditions. Unlicensed individuals generally must not represent a person or communicate with the Commissioner General on that person’s behalf, except as otherwise provided.

The principal Act is amended so that section 35(10) now refers to 1st July, 2022 instead of 1st July, 2021.

This section amends the principal Act by inserting new text immediately after section 37.

Taxpayers who are required to file returns must file them electronically by the due date, unless the Commissioner General allows another method in special circumstances.

This provision amends the principal Act by inserting a new section after section 45, titled “Registration and monitoring of storage facility.”

People who set up a storage facility for business goods must register it with the Commissioner General.

This section amends the principal Act’s section 65 and notes an amendment to section 82.

This amendment says a person who fails to comply with a tax law provision commits an offence and may be liable on conviction.

This section amends section 87 by replacing subsection (1)(b) and changing wording in subsection (4).

A person who must be registered or licensed under a tax law must apply within the prescribed or notified period, or commits an offence.

This section amends the principal Act by inserting new material immediately after section 91, titled “Excise duty offences Cap. 147”.

A person who breaks excise licensing, record-keeping, entry, or permission rules commits an offence and can be fined, jailed, or both.

This section says this Part must be read together with the Tax Revenues Appeals Act, which it calls the principal Act.

This section amends section 22 of the principal Act by deleting certain words in subsection (7) and replacing “mediation” with “amicable settlement” in subsection (8).

This Part must be read together with the Trustee Incorporation Act, which is called the principal Act here.

Section 1A is amended so that “beneficial owner” is no longer defined here and instead takes its meaning from the Anti-Money Laundering Act.

Trustees must notify the Administrator General within one month when specified trustee or beneficial-owner details change, and failure to comply is an offence punishable by a fine.

This section says this Part must be read together with the Value Added Tax Act, which is called the principal Act.

This provision adds a definition for “alternative financing product” in section 2.

The Minister must grant VAT exemption for certain approved strategic national investment goods or services, but only with Cabinet approval and by Gazette order.

This section amends section 11(10) of the principal Act by adding specified words after “Union.”

If a non-resident person cannot practicably appoint a tax representative because of business circumstances, the person must apply to the Commissioner for registration under the prescribed procedures.

This section amends the principal Act by replacing references to “section 70” and 69(1) with “section 68”.

This section amends the principal Act to add a new paragraph about prescribing how loans are dealt with, including alternative financing products approved by the Bank of Tanzania.

This section says this Part must be read together with the Vocational Education Training Act.

This section amends section 19(1) of the principal Act by adding intern students under the Tanzania Employment Service Agency program and renaming a paragraph.