Market traders in Tanzania launched a nationwide strike against tax hassles this week with pockets of resistance to government peace overtures still evident by Thursday.
This week’s strike began at Kariakoo and later spread to other urban markets across the country, indicating rising discontent over alleged harassment by government revenue collectors especially when inspecting compliance with requirements for electronic fiscal device (EFD) receipts and electronic tax stamps for transactions.
Their attention now appears to be focused on July 1, when the Tanzania Revenue Authority (TRA) is expected to introduce a more efficient system involving proper receipts and invoices for traders to be assessed more accurately on what they owe in taxes.
After a meeting between the traders’ leaders and Prime Minister Kassim Majaliwa in Dodoma, government spokesperson Thobias Makoba on Thursday announced interventions to end the go-slow.
These include Tanzania Ports Authority adding an inland container depot to clear cargo imported by market traders for domestic sale; and TRA to set up a mechanism for monitoring local sales of eight specific imports under a cap prices schedule.
But, while traders in Dodoma, Mbeya, Mwanza, Geita, Njombe, Mtwara, Songwe, Iringa, and Arusha also joined their Dar es Salaam counterparts in a strong show of unity, the strike overall remained a slow-burner, compared with Kenya’s tax riots.
Read: Kariakoo market boycott a win for democracy in Dar
Police have been deployed in Mwanza as traders’ strike in Tanzania continues for a third day and has expanded to other regions, including Dodoma, Mbeya, and Iringa.
Police say the street patrols are to ensure safety of traders who’ve chosen to open their shops despite the strike pic.twitter.com/IRSQjZynGH
— TheCitizenTz (@TheCitizenTz) June 26, 2024
Revenue disruption
Concluding the National Assembly’s discussion of Tanzania’s 2024/2025 budget on Wednesday, Finance Minister Mwigulu Nchemba said some of the demands raised by the traders, if accommodated immediately, would disrupt the government’s expenditure plans for the coming fiscal year.
These include a proposed VAT reduction from 18 percent to 12 percent which, according to Dr Nchemba, would blow a Tsh600 billion ($228.57 million) hole in the Tsh49.35 trillion ($18.98 billion) budget.
Likewise, removing some service levies would hurt district and town councils, which depend on the levies to fulfil their social responsibilities, the minister added.
The budget, which includes a domestic revenues component of more than two-thirds (67.4 percent) totalling Tsh33.25 trillion ($12.79 billion), was approved by parliament late Wednesday. A supporting Finance Bill is still being discussed in the House.
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Tanzania: Exim to Raise Fund for Mental Health Facilities Upgrades
EXIM Bank to raise 300m/- over the next three years for financing essential services and infrastructure upgrades in mental health facilities.
The bank’s Head of Marketing and Communications Stanley Kafu unveiled this when introducing Exim Bima Festival 2024 as a platform for bringing together individuals, organisations and various sectors for raising the funds.
“Exim’s initiative aligns with the government’s broader goals to ensure that every citizen has access to quality healthcare, including mental health services,” he said.
The initiative, which is one of the events for celebrating the bank’s 27th anniversary is scheduled for Wednesday this week in Dar es Salaam.
Mr Kafu highlights that this year’s festival is not only about raising awareness of the importance of insurance in the society but also focuses on enhancing access to mental health services and improving the overall well-being of the nation.
Statistics from the Ministry of Health shows a staggering 82 per cent increase in mental health cases over the past decade.
Mental cases have risen from 386,358 in 2012 to 2,102,726 in 2021, making the need for mental health services more urgent than ever.
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Unfortunately, the country’s ability to address this growing challenge is hindered by a shortage of mental health professionals, infrastructure, medical equipment and essential medication.
For example, out of the 28 regions in the country, only five have facilities that provide adequate mental health services.
The most affected group is the youth aged 15 to 39, who represent the nation’s workforce, underscoring the need for intensified efforts to safeguard this generation for Tanzania’s future well-being and development.
Mr Kafu said by improving mental health services, Exim aims to contribute to the creation of a network of communities that can access care quickly and affordably.
Exim Insurance Department Manager Tike Mwakyoma said they are appreciating the support from partners in the insurance industry, who have stood by them since the last festival.
“Let’s continue this unity for the development of all Tanzanians and our nation as a whole,” the manager said.
Source: allafrica.com
