Tuesday, April 26, 2016

Zanzibar advised to adopt price database

DAILYNEWS Reporters in Dodoma
THE Ministry of Finance and Planning has advised the Zanzibar Revolutionary Government to incorporate the Import Export Commodity Database (IECDB) to avoid double taxation for goods imported in the country through Zanzibar.

Deputy Finance Minister Ashatu Kijaji told the National Assembly here that the Tanzania Revenue Authority (TRA) had been re-charging tax for goods originating from Zanzibar because the Island government has not incorporated the IECDB system in revenue collection.
She was responding to a question by Jamal Ali (Magomeni-CCM), who wanted to know the procedures used to evaluate tax by the revenue bodies when receiving different goods from Zanzibar.
The deputy minister pointed out that the IECDB system was the most appropriate because it keeps price data for different goods imported in the country and used by TRA as sample and reference while evaluating proper tax liability.
She said that wherever relevant documents are presented at the Central Processing Office on imported goods, including those through Zanzibar, the value for the concerned good is fed in the IECDB system to get the actual tax a customer is required to pay.
According to the deputy minister, in case the tax paid is less, the system would reveal the deficit in the database and evaluate the balance to be paid.
The deputy minister, however, pointed out that goods produced in Zanzibar and shipped to Tanzania Mainland are not subjected to ta

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