Deductible Expenses Tanzania: What the Income Tax Act Lets a Business Deduct
Which business expenses are deductible for income tax in Tanzania? Under section 11(2) of the Income Tax Act, Cap. 332, a business deducts expenditure incurred wholly and exclusively in producing its income. Private spending, capital expenditure, income tax, fines, bribes and distributions are not deductible. Since 1 July 2024 most purchases also need a fiscal receipt. Assets are recovered through capital allowances instead.
This guide explains deductible expenses in Tanzania for companies and individual businesses on the Mainland: the general rule, the exclusions, interest, stock, repairs, donations, bad debts, receipts, losses and Zanzibar, with a worked reconciliation.
Why do accounting profit and taxable income differ?
A company's audited profit follows accounting standards. Its taxable income follows the Income Tax Act. The two start from the same ledger and then part ways, because the Act refuses some costs, delays others and replaces depreciation with its own allowances.
Section 21(1) follows generally accepted accounting principles unless the Act provides otherwise. Each "otherwise" becomes an add-back or a further deduction in the tax computation.
The list sets the 30% tax bill, decides whether a loss exists, and is the first thing a Tanzania Revenue Authority (TRA) auditor tests.
What the law says
The rules sit in Subdivision D of the Income Tax Act, Cap. 332 R.E. 2023, published by TRA. We read sections 4, 7, 11 to 19, 21 to 25 and 28 in that copy for this guide. Sections 11 to 19 kept their numbers in the 2023 revision. The administrative Parts moved, so returns of income are now section 117 and quarterly instalments section 113, not sections 91 and 88 as older material says.
| Subject | Cap. 332 section | Rule in one line |
|---|---|---|
| Charge of tax; alternative minimum tax | s.4(1)(a), (3), (8) | A corporation with a perpetual unrelieved loss for three years pays tax on turnover |
| Employment income and benefits | s.7(2), (3) | Benefits taxed on the employee; vehicle benefit exempt if the employer claims no deduction |
| General principles of deductions | s.11(1), (2), (3) | Wholly and exclusively in the production of income; no consumption, excluded or capital expenditure |
| Fiscal receipt requirement | s.11(4), inserted by Finance Act 2024 s.35 | Spending on goods or services must be supported by a fiscal receipt, with two exceptions |
| Interest | s.12 | Wholly and exclusively test; 7 to 3 debt to equity cap for exempt-controlled entities |
| Trading stock | s.13 | Opening stock plus purchases less closing stock, at the lower of cost and market value |
| Repairs and maintenance | s.14 | Repairs deductible; improvements go to the asset's cost |
| Gifts and donations | s.16 | Listed recipients only; charitable gifts capped at 2% of business income |
| Depreciation allowances | s.17 and Third Schedule | Capital allowances replace accounting depreciation |
| Losses on realisation; carried-forward losses | ss.18, 19 | Realised losses deductible; unrelieved losses roll forward, with a cap after four loss years |
| Accounting basis and timing | ss.21 to 23 | Corporations use accruals; a cost is incurred only on economic performance |
| Bad debts and reversals | s.25 | Debts written off after all reasonable steps are deductible |
| Foreign currency | s.28(2), s.12(6) | Converted at the Bank of Tanzania rate; FX loss on interest-free debt limited to 70% |
Three Finance Acts followed. The Finance Act, 2024 added the fiscal receipt rule and tightened loss relief. The Finance Act, 2025 widened "equity" for the interest cap and doubled the alternative minimum tax rate. The Finance Act, 2026, in force from 1 July 2026, amends sections 10, 33A, 44, 116, 116A, 118 and the First Schedule only. It leaves sections 4, 11 to 19 and 25 and the Third Schedule unchanged.
Who should read this
- Finance teams and directors of Mainland companies preparing or signing the return and the provisional estimate.
- Foreign-owned subsidiaries funded by shareholder loans, because the interest cap applies to them.
- Sole traders and partnerships above TZS 200 million turnover, who file accounts-based returns.
- Businesses in Zanzibar, for the points where Union income tax meets Zanzibar's own revenue system.
Resident individuals with turnover up to TZS 200 million pay presumptive tax on turnover (F0190 to F0194), so their expenses do not reduce it. An individual above the threshold may use cash or accrual accounting; a company must use accruals.
What is the general rule for a deductible expense?
Section 11(2) allows a deduction for expenditure incurred during the year of income "wholly and exclusively in the production of income from the business or investment". Three ideas are packed into that sentence.
- Incurred in the year. Timing follows the accounting basis. A company uses accruals under section 21(3), so the cost counts when the liability is fixed, not when the cash leaves.
- Wholly and exclusively. The spending must serve the business and nothing else. A cost with a private element fails unless the business part can be separated and claimed alone.
- In the production of income. The link is to earning income, not to whether income followed. A failed marketing campaign is still deductible. PwC notes that "business" includes a prospective business, so start-up costs can qualify.
Section 11(1)(b) allows nothing the Act does not provide for. Sections 12 to 19 add or restrict specific items.
Typical deductible costs include wages, business rent, utilities, materials, fuel, professional fees, insurance, advertising, training and business travel.
Which expenses can never be deducted?
Section 11(1)(a) bars consumption expenditure and excluded expenditure. Section 11(3) bars capital expenditure under the general rule. The definitions sit in what is now section 11(5).
| Category | What the Act says | Common examples |
|---|---|---|
| Consumption expenditure | Maintaining the person, family or establishment, or other personal or domestic purposes | A director's household bills, family holidays, personal clothing |
| Capital expenditure | Expenditure securing a benefit lasting longer than twelve months | Buying vehicles, machinery, buildings, software licences for several years |
| Excluded (a) | Tax payable under the Income Tax Act | Corporate income tax, provisional tax |
| Excluded (b) | Bribes and expenditure incurred in corrupt practice | Facilitation payments to officials |
| Excluded (c) | Fines and similar penalties payable to a Government or its political subdivision, of any country | Traffic fines, TRA penalties, council fines |
| Excluded (d) | Expenditure to the extent incurred in deriving exempt amounts or final withholding payments | Costs of earning dividends taxed by final withholding |
| Excluded (e) | Distributions by an entity | Dividends, disguised payments to shareholders |
| Excluded (f) | Withholding tax paid by a withholder | Tax the payer bears on a grossed-up foreign service fee |
Paragraph (c) covers a Government "of any country", so domestic fines are caught. Tax Administration Act penalties, such as the higher of 2.5% of the tax or 15 currency points for a company (NEW-02-06), are therefore added back. Interest on late tax is not named in the list. Whether TRA accepts it as deductible is a point to confirm before relying on it.
Capital expenditure is recovered through the Third Schedule, as our guide to capital allowances in Tanzania explains class by class.
Is an expense deductible without an EFD receipt?
Usually not. Section 35 of the Finance Act, 2024 inserted a new section 11(4) into the Income Tax Act from 1 July 2024. Expenditure on goods or services "shall be supported by fiscal receipt". A fiscal receipt is the receipt from an electronic fiscal device (EFD) or virtual fiscal device issued under the Tax Administration Act.
There are two exceptions:
- The supplier is a non-resident with no permanent establishment in the United Republic.
- The supplier is excluded from issuing fiscal receipts under the Tax Administration Act. The Finance Act text refers to section 36(2) of that Act. In the revised Tax Administration Act the fiscal receipt provision is section 44, and TRA's register entry ties EFD use to annual turnover of TZS 11 million or more (NEW-02-24).
TRA's Taxes and Duties at a Glance 2025/26 repeats the rule under its fiscal receipts heading. Clyde and Co's note of 8 July 2024 and PwC's Worldwide Tax Summaries, reviewed 9 September 2026, read it the same way.
The subsection speaks of goods or services, so a reasonable reading leaves salaries and interest outside it. Rent paid to a landlord obliged to issue receipts is inside it.
The rule has a second edge. A buyer who fails to demand a fiscal receipt commits an offence, with a fine of 20% of the tax evaded or TZS 40,000, whichever is greater (NEW-02-14). Our guide to EFD receipt rules covers what a valid receipt must show.
How much interest can a company deduct?
Section 12(1) allows interest on debt used wholly and exclusively in producing income. Borrowing to pay a dividend fails that test.
Section 12(2) then adds a cap for an exempt-controlled resident entity. Its deductible interest cannot exceed the interest on debt at a debt to equity ratio of 7 to 3. Section 12(3) makes an entity exempt-controlled if, at any time in the year, 25% or more of its underlying ownership is held by non-residents, exempt bodies, approved retirement funds, charities or their associates. Most foreign-owned subsidiaries qualify.
- What counts as debt. Section 12(5) excludes non-interest-bearing debt, debt owed to a resident financial institution, and debt owed to a non-resident bank or financial institution on which tax is withheld in Tanzania. Shareholder loans are the usual target.
- What counts as equity. Paid-up share capital, and since the Finance Act 2025 section 48, positive retained earnings. Accumulated losses do not reduce it below share capital.
- Averaging. Section 12(4) averages month-end balances when debt or equity changes.
- No carry forward. The Act contains no rule carrying disallowed interest into later years. Habib Advisory's 2025/26 guide describes the excess as permanently disallowed.
Interest paid to a lender also carries 10% withholding tax (F0208), and related-party rates must meet arm's length pricing. Our guides to thin capitalisation and transfer pricing work through both.
How are trading stock and repairs treated?
Trading stock. Section 13 gives a deduction equal to opening stock plus purchases included in stock during the year, less closing stock. Closing stock is valued at the lower of cost and market value under section 13(4). A write-down to market value resets the cost under section 13(5), so the reduced figure becomes next year's opening value.
A general provision for slow-moving stock that does not value individual items at market is an add-back.
Repairs. Section 14(1) allows the cost of repairing or maintaining a depreciable asset owned and used wholly and exclusively in the business. Section 14(2) denies a deduction for improving the asset. That cost goes into the asset's cost under section 37 and earns capital allowances instead.
Replacing broken roof sheets like for like is a repair. A stronger new roof structure that extends the building's life is an improvement. The Act sets no percentage limit on repairs.
Can a business deduct donations and sponsorships?
Only to the recipients section 16(1) lists. A business may deduct contributions to:
- a charitable institution referred to in section 64(8), or a social development project;
- the Tanzania Education Fund under section 12 of the Education Fund Act;
- a local government authority, as statutory obligations for community development projects;
- the AIDS Trust Fund under the Tanzania Commission for AIDS Act;
- the Government in the fight against COVID-19, until a date the Minister sets by Gazette notice.
Section 16(3) caps the first category at 2% of business income, calculated without the donation. A gift to a club or religious body that is not a recognised charitable institution is not deductible.
A sponsorship bought for advertising is a marketing cost under section 11(2), not a gift. Keep the contract and proof of the exposure.
When is a bad debt deductible, and what about provisions?
Section 25(4) lets an accrual-basis taxpayer deduct a debt claim when it writes the debt off as bad. Section 25(5)(b) sets two conditions for ordinary businesses. The person must have taken all reasonable steps to pursue payment, and must reasonably believe the debt will not be satisfied.
Financial institutions must also show the debt is bad under Bank of Tanzania standards (s.25(5)(a)). A later recovery is income under section 25(1).
A general provision for doubtful debts fails both conditions. Other provisions face section 23(3), which treats an expense as incurred only when all events fixing the liability have occurred, the amount is known with reasonable accuracy, and economic performance has taken place.
- Provisions for leave pay, bonuses and warranty claims are added back until paid or fixed.
- Accruals for services received before year end, such as the audit fee, are deductible.
- Restructuring provisions wait until the payments are due.
How do entertainment and staff benefits interact?
The Act has no separate entertainment rule. Client meals and events pass or fail under section 11(2). A supplier negotiation dinner can qualify; a director's family celebration is consumption expenditure. Record the attendees and purpose with the receipt.
Salaries, allowances and benefits in kind are deductible to the employer. Section 7(2) taxes most of them on the employee through PAYE.
Section 7(3)(e) creates a trade-off. A vehicle benefit is exempt only where the employer claims no deduction for the vehicle, so a company claiming the car's costs must tax the benefit through payroll. Our guide to benefits in kind sets out the Fifth Schedule values.
School fees or rent paid for a shareholder who does not work in the business are not employment costs. TRA may treat them as distributions, which are excluded expenditure.
How are foreign exchange gains and losses treated?
Section 28(2) converts foreign currency amounts into shillings at the Bank of Tanzania rate applying when the amount is taken into account.
Section 12(6) adds a specific limit. A realised foreign exchange loss on an interest-free debt obligation is deductible only to the extent attributable to no more than 70% of that obligation. A foreign parent that funds its subsidiary with an interest-free loan therefore sees 30% of any exchange loss on repayment disallowed permanently.
Unrealised translation losses on open balances are uncertain. Sections 18 and 40 treat losses on liabilities through realisation rules, and we found no TRA guidance on claiming them before settlement.
How do losses and the minimum tax fit in?
When deductions exceed income, the result is a tax loss. Section 19 lets a person carry an unrelieved loss forward without a time limit. Section 19(3) ring-fences some losses, so a foreign-source investment loss offsets only foreign-source investment income.
The Finance Act 2024, section 36, changed "thirty" to "forty" in section 19(2). After four consecutive years of unrelieved losses, brought-forward losses may not reduce income below 40% of income before relief. In practice only 60% of the year's income can be sheltered. Agriculture, health and education businesses are excluded by the proviso.
A corporation with a perpetual unrelieved loss in the current and two previous years pays alternative minimum tax under section 4, at 1% of turnover since the Finance Act 2025 (F0198). The same three sectors are excluded, and tea processing until 30 June 2027.
For a loss-making company, each add-back shrinks the loss and can decide whether the minimum tax trigger is met. See our guides to tax loss carry forward and alternative minimum tax.
How does this work in Zanzibar?
Income tax is a Union tax. Section 2 of Cap. 332 says the Act "shall apply to Mainland Tanzania as well as Tanzania Zanzibar". A company in Zanzibar therefore uses the same deduction rules and files its income tax return with TRA, which runs offices in Zanzibar for Union taxes.
The Zanzibar Revenue Authority presentation hosted by the Addis Tax Initiative describes the same split. TRA administers Union taxes in Zanzibar, and ZRA administers non-Union taxes such as Zanzibar VAT and hotel levy.
| Point | Mainland Tanzania | Zanzibar |
|---|---|---|
| Deduction rules | Cap. 332 ss.11 to 19, 25 | Same Act, applied by s.2 |
| Corporate rate | 30% (F0196) | 30% (F0196) |
| Return filed with | TRA | TRA |
| Fiscal receipts | TRA EFD or VFD receipts | Suppliers may issue ZRA fiscal receipts; whether these satisfy s.11(4) is not confirmed |
| VAT and local levies | TRA VAT; council levies | ZRA VAT and levies; deductible as costs where not recoverable |
The receipt row is the practical gap: we found no official statement on whether a ZRA receipt meets section 11(4). Ask TRA in writing. Our guide to Union and non-Union taxes explains the wider split.
Worked example: reconciling a TZS 1.2 billion profit
The facts are hypothetical. Mbezi Foods Ltd, a resident Mainland company 40% owned by a Kenyan parent, is exempt-controlled. Its year ended on 30 June 2026 with audited profit before tax of TZS 1,200,000,000 and a TZS 300,000,000 loss brought forward.
| Line | TZS | Basis |
|---|---|---|
| Profit before tax per accounts | 1,200,000,000 | Audited accounts |
| Add: accounting depreciation | 310,000,000 | Replaced by capital allowances, s.17 |
| Add: increase in general bad debt provision | 45,000,000 | Not written off, s.25(5)(b); s.23(3) |
| Add: purchases without fiscal receipts from EFD-obliged suppliers | 36,000,000 | s.11(4) |
| Add: TRA late filing penalty and traffic fines | 7,500,000 | Excluded expenditure (c) |
| Add: school fees for a non-working shareholder's children | 24,000,000 | Distribution, excluded expenditure (e) |
| Add: interest above the 7 to 3 cap | 40,000,000 | s.12(2) |
| Add: new roof structure expensed as repairs | 30,000,000 | Improvement, s.14(2) |
| Add: donation to approved charity, expensed | 50,000,000 | Re-deducted below within the s.16(3) cap |
| Less: capital allowances, including the roof | (260,000,000) | Third Schedule |
| Income before donation | 1,482,500,000 | |
| Less: donation allowed, 2% of 1,482,500,000 | (29,650,000) | s.16(3) |
| Income before losses | 1,452,850,000 | |
| Less: loss brought forward | (300,000,000) | s.19; 40% floor not triggered |
| Taxable income | 1,152,850,000 | |
| Corporate tax at 30% (F0196) | 345,855,000 | First Schedule para 3(1) |
The interest line. The parent's loan averaged TZS 3,000,000,000 and carried interest of TZS 180,000,000. A resident bank loan is excluded from "debt" by section 12(5). Equity is paid-up capital of TZS 500,000,000 plus positive retained earnings of TZS 500,000,000. The permitted debt is 7/3 of TZS 1,000,000,000, or TZS 2,333,333,333. Allowed interest is that share of TZS 180,000,000, which is TZS 140,000,000, leaving TZS 40,000,000 disallowed. This pro rata method is the common reading; confirm it for your facts.
The 40% floor. Even after four loss years, the floor would be TZS 581,140,000, so the full loss would still fit.
What the add-backs cost. The disallowed items total TZS 192,500,000 before depreciation and donations. At 30%, they add TZS 57,750,000 of tax. The missing fiscal receipts alone cost TZS 10,800,000.
Payment. After four provisional instalments, the return and balance are due by 31 December 2026. A late return carries the higher of 2.5% of the unpaid tax or TZS 300,000 for each month (NEW-02-06), plus interest (NEW-02-08). If TRA later finds a shortfall, a penalty of 50% to 75% of it may apply (NEW-02-11).
What to do now
- Map the ledger. Tag each expense account as deductible, add-back or timing difference before year end, not when the return is due.
- Chase fiscal receipts. Report purchases without an EFD or VFD receipt monthly and get them issued.
- Separate private costs. Move directors' and shareholders' personal spending to loan accounts or payroll, with PAYE where it is a benefit.
- Test the interest cap. Compute monthly debt and equity balances for any shareholder or related-party loan and record the 7 to 3 calculation.
- Document bad debts. Keep demand letters, collection agency reports and board approval for each write-off.
- Split repairs from improvements. Review large maintenance invoices and move improvements to the fixed asset register.
- Check donations. Confirm the recipient is a listed body and that charitable gifts stay within 2% of business income.
- Run the loss and minimum tax test. Count consecutive loss years before filing, so the 40% floor and the alternative minimum tax do not surprise you.
Key dates and deadlines
| When | What | Basis |
|---|---|---|
| Within 3 months from the start of the year of income | Statement of estimated tax payable | Cap. 332 s.114; TRA Glance 2025/26 item 9 |
| Last day of months 3, 6, 9 and 12 | Provisional tax instalments | Cap. 332 s.113; TRA Glance 2025/26 item 9 |
| Each purchase | Obtain a fiscal receipt | Cap. 332 s.11(4); TAA |
| 7 days after the end of each month | Withholding tax on interest and other payments | Cap. 332; TRA withholding guidance |
| Within 6 months after the end of the year of income | Final return of income and payment of the balance | Cap. 332 s.117; TRA Glance 2025/26 item 9 |
| 1 July 2024 | Fiscal receipt rule and 40% loss floor took effect | Finance Act 2024 ss.35, 36 |
| 1 July 2025 | Retained earnings join equity; minimum tax rises to 1% | Finance Act 2025 ss.48, 60 |
| 1 July 2026 | Finance Act 2026 in force; no change to deduction sections | Finance Act 2026 Part IX |
For the return itself, our guide to the corporate income tax return lists the schedules, and the guide to provisional tax covers the estimate.
How Zatra helps
Zatra's tax advisory and planning service reviews the ledger, builds the add-back schedule and tests interest, losses and the minimum tax before the estimate is filed. Our tax and regulatory compliance service prepares and files the provisional and final returns. Where TRA has already raised an assessment, our TRA audit and dispute support prepares the response. Packages are on our pricing page.
Tax, penalties and interest are paid to TRA at the official amount against a control number, separate from Zatra's professional fee and never marked up. See our government fees handbook.
Zatra prepares and coordinates the file; it does not decide or guarantee any authority's outcome. TRA decides assessments and objections. An objection must be lodged within 30 days and is admitted only after the deposit is paid (NEW-02-19). An appeal to the Tax Revenue Appeals Board, a prosecution, a seizure or a formal legal opinion goes to an advocate on our team.
Sources and status
Accurate as at 25 October 2026. Statutory text is from TRA's copy of Cap. 332 R.E. 2023 and the Finance Acts 2024 to 2026; rates are from the Zatra fee register at 26 September 2026.
- The Income Tax Act, Cap. 332 R.E. 2023: TRA; ss.2, 4, 7, 11 to 19, 21 to 25, 28. Accessed 25 Oct 2026.
- The Finance Act, 2024, No. 6 of 2024: TRA copy, assented 30 Jun 2024; ss.35, 36. Accessed 25 Oct 2026.
- The Finance Act, 2025, No. 11 of 2025: TRA copy, assented 30 Jun 2025; ss.48, 60. Accessed 25 Oct 2026.
- The Finance Act, 2026: TRA copy, assented 30 Jun 2026; Part IX ss.21 to 27. Accessed 25 Oct 2026.
- Taxes and Duties at a Glance 2025/26: TRA, July 2025; items 1, 8 and 9. Accessed 25 Oct 2026.
- Tanzania: corporate deductions: PwC Worldwide Tax Summaries, reviewed 9 Sep 2026. Accessed 25 Oct 2026.
- Tanzania Tax Update: Highlights of the Finance Act 2024: Clyde and Co, 8 Jul 2024. Accessed 25 Oct 2026.
- Tanzania Tax Update: Finance Act 2025 highlights: Clyde and Co, 3 Jul 2025. Accessed 25 Oct 2026.
- Tanzania Tax Guide 2025/2026: Habib Advisory, 2025. Accessed 25 Oct 2026.
- Tanzania Tax Guide 2025/26: RSM Tanzania, 2025. Accessed 25 Oct 2026.
- Zanzibar Revenue Authority presentation: Addis Tax Initiative, undated. Accessed 25 Oct 2026.
- Tanzania Government Fees 2026 register: Zatra Handbook 06, fees at 26 Sep 2026; F0190 to F0194, F0196, F0198, F0208, NEW-02-06, NEW-02-08, NEW-02-11, NEW-02-14, NEW-02-19, NEW-02-24. Accessed 25 Oct 2026.
Figures to confirm before you act
- The consolidated text of section 11(4) and (5) after the Finance Act 2024, against the Government Printer's next revised edition.
- Which suppliers are excluded from issuing fiscal receipts under the revised Tax Administration Act, and the turnover limit on the date of purchase.
- Whether a ZRA fiscal receipt from a Zanzibar supplier satisfies section 11(4).
- Whether TRA accepts interest on late tax as deductible.
- TRA's treatment of unrealised foreign exchange losses on open balances.
- The calculation method TRA applies to the 7 to 3 interest cap for your loan profile.
- The amount on the authority's control number on the day of payment.
This article is general information based on official sources available at the date of publication. It is not legal, tax or financial advice. Laws and notices change. Verify with the issuing authority or consult Zatra before acting.
Frequently asked questions
Are VAT amounts part of a deductible expense?
Input VAT that a registered business recovers through its VAT return is not a cost, so it is not deducted for income tax. VAT that cannot be recovered, for example by an unregistered business or on exempt supplies, forms part of the expense and follows the same deduction rules.
Can a company deduct the cost of a director's car?
Yes, if the car is used in the business, through capital allowances and running costs. The private use benefit is then taxable on the director through PAYE, because the section 7(3)(e) exemption applies only where the company claims no deduction for the vehicle.
Are pre-trading expenses deductible?
Revenue costs incurred to set up a business can qualify, since the Act treats a prospective business as a business. Incorporation and licence fees with lasting benefit lean towards capital. Keep receipts from the start and carry any resulting loss forward.
Do management fees paid to a foreign parent qualify?
They qualify if the services were received and priced at arm's length. TRA will ask for the agreement, evidence of the services and transfer pricing documentation. The payer also withholds tax on the fee before paying.
Is a deduction lost if the supplier issues the fiscal receipt late?
The Act requires the expenditure to be supported by a fiscal receipt, and sets no date for when the receipt must exist. A receipt obtained before the return is filed gives the strongest position. Get late receipts before an audit starts.
Can staff party and welfare costs be deducted?
Yes, as staff costs incurred to run the business, if supported by fiscal receipts. Items given to individual employees may be taxable benefits, unless they fall within an exclusion such as items impracticable to allocate under section 7(3)(i).
What happens if TRA disallows an expense after the return is filed?
TRA issues an adjusted assessment with the extra tax, interest from the original due date and possibly a shortfall penalty. The company may object within 30 days, paying the required deposit first, and keep records to prove the deduction.
Sources & regulators
Verify before filing: Rates, forms and thresholds move by Finance Act, Government Notice and portal revision. Confirm the live schedule on the mandate-holder portal before you budget or submit. Law-firm alerts and Big Four notes are discovery only.
- The Income Tax Act, Cap. 332 R.E. 2023: Tanzania Revenue Authority copy, Revised Edition 2023; ss.2, 4, 7, 11 to 19, 21 to 25, 28 and arrangement of sections read 25 Oct 2026; primary source. Accessed 2026-10-25.
- The Finance Act, 2024 (Act No. 6 of 2024): Tanzania Revenue Authority copy, assented 30 Jun 2024; s.35 inserting s.11(4) fiscal receipts and s.36 amending s.19(2); primary source. Accessed 2026-10-25.
- The Finance Act, 2025 (Act No. 11 of 2025): Tanzania Revenue Authority copy, assented 30 Jun 2025; s.48 (equity includes positive retained earnings) and s.60(d)(ii) (minimum tax 0.5 to 1); primary source. Accessed 2026-10-25.
- The Finance Act, 2026: Tanzania Revenue Authority copy, assented 30 Jun 2026, in force 1 Jul 2026; Part IX ss.21 to 27, no amendment to ss.4, 11 to 19, 25; primary source. Accessed 2026-10-25.
- TRA: Taxes and Duties at a Glance 2025/2026: Tanzania Revenue Authority, July 2025; items 1, 8 (fiscal receipts) and 9 (returns and instalments); primary source. Accessed 2026-10-25.
- PwC Worldwide Tax Summaries: Tanzania corporate deductions: PwC, page last reviewed 9 Sep 2026; independent source. Accessed 2026-10-25.
- Clyde & Co: Tanzania Tax Update, Highlights of the Finance Act 2024: Clyde & Co law firm note, 8 Jul 2024; fiscal receipts for deductions and 60% loss relief; independent source. Accessed 2026-10-25.
- Clyde & Co: Tanzania Tax Update, Finance Act 2025 highlights: Clyde & Co law firm note, 3 Jul 2025; thin capitalisation equity and minimum tax at 1%; independent source. Accessed 2026-10-25.
- Habib Advisory: Tanzania Tax Guide 2025/2026: Habib Advisory, 2025/26 edition published 2025; s.11 fiscal receipts and s.12 interest cap; independent source. Accessed 2026-10-25.
- RSM Tanzania: Tanzania Tax Guide 2025/26: RSM Tanzania, 2025/26 edition published 2025; fiscal receipt exceptions and corporate rates; independent source. Accessed 2026-10-25.
- Zanzibar Revenue Authority presentation (Addis Tax Initiative): Ahmed Saadat, ZRA Research and Planning, undated presentation hosted by the Addis Tax Initiative, read 25 Oct 2026; TRA administers Union taxes, ZRA non-Union taxes; independent host. Accessed 2026-10-25.
Disclaimer
This article is informational orientation. It is not legal, tax or investment advice and not a government decision. Tanzanian instruments move by Act, Government Notice, Finance Act and portal revision. If a sentence here disagrees with the live mandate-holder, the mandate-holder wins. Zatra Consultants Limited does not issue licences, permits, tax clearances or approvals, and gives no assurance of any regulatory or banking outcome. Professional fees are published only on /pricing/.