Stamp Duty Tanzania: Rates, the 30-Day Rule, Penalties and Zanzibar
How does stamp duty work in Tanzania? On the Mainland, the Stamp Duty Act, Cap. 189 charges duty on listed instruments: 1% on share transfers and on a lease's annual rent, about 1% on land conveyances, and flat sums such as TZS 2,000 for an affidavit. Stamp within 30 days of signing. Late stamping costs a 25% penalty, and an unstamped document is not admissible in evidence.
Stamp duty Tanzania rules reach almost every business file that changes hands: a share transfer, an office lease, a land sale, a mortgage, a power of attorney. The sums are often small next to the deal. The consequences of skipping it are not. An unstamped instrument cannot be produced in court to prove the deal, and registries will not act on it.
This guide sets out the Mainland position under the Stamp Duty Act, Cap. 189 R.E. 2023, as amended by the Finance Act, 2026. It covers the rates, who pays, the deadline, penalties, valuation and payment. A separate section covers Zanzibar, where the Zanzibar Revenue Authority (ZRA) runs its own Act and its own rates. It goes deeper than our shorter note on which business documents attract stamp duty.
What the law says
The charge on the Mainland sits in the Stamp Duty Act, Cap. 189 R.E. 2023, as published by TRA. The Act dates from 1 July 1972. The Tanzania Revenue Authority (TRA) administers it through stamp duty officers. The rates are in the Schedule, and the annual Finance Act changes them, usually from 1 July.
The sections a business meets most often are these:
- Section 25: an instrument executed in Mainland Tanzania must be stamped within thirty days of execution.
- Section 26: an instrument signed outside Mainland Tanzania must be stamped within thirty days of its first arrival.
- Section 29: duty on an amount in foreign currency is worked out at the exchange rate on the date of the instrument.
- Section 41: who bears the duty, unless the parties agree otherwise.
- Section 43: a party may ask a stamp duty officer to adjudicate the duty on an instrument.
- Section 47: an instrument chargeable with duty and not duly stamped is not admitted in evidence.
- Section 50(1)(b): the officer collects the proper duty plus a penalty of 25% of the duty, capped at ten times the duty.
- Section 51: a party who comes forward within one year and shows accident, mistake or urgent necessity can be dealt with under section 50.
- Section 16: the Minister may exempt instruments by notice in the Gazette.
TRA's own stamp duty page summarises the main rates and the 30-day rule. It also warns that the rates may change through the current Finance Act. The older R.E. 2019 text is on the Tax Revenue Appeals Board site and on TanzLII. The section numbers above match in both prints.
Who should read this
- Buyers and sellers of shares in a Tanzanian company, and the company secretaries who register the transfer.
- Businesses signing or renewing office, warehouse, shop or equipment leases.
- Buyers of land and buildings, and lenders taking a mortgage or debenture as security.
- Foreign parents that sign powers of attorney, agreements or board documents abroad for use in Tanzania.
- Finance teams that keep a contracts register and need to show each document was stamped.
- Investors with operations in Zanzibar, where ZRA collects the duty under different rates.
If your file is a share sale, read this with our guides to share transfers in Tanzania and capital gains tax on shares. For land, see capital gains tax on property.
Which documents attract stamp duty in Tanzania?
Duty attaches to the instrument, not the transaction. A deal done orally attracts no duty, but the document that records it does. The table lists the instruments businesses meet most, with the Mainland rate and the Zatra fee register line that records it.
| Instrument | Mainland rate | Register ID |
|---|---|---|
| Conveyance or transfer on sale (land, buildings, other property) | Nil up to TZS 20,000; 0.5% of the first TZS 100,000, then 1% of the value above | F0262, F0476 |
| Conveyance of agricultural land | 0.5% of the value (from 1 July 2026; was TZS 500) | F0263, F0477 |
| Transfer of shares | 1% of the value of the shares | F0264 |
| Lease, sublease or agreement to let | 1% of the annual reserved rent, any duration | F0265, F0478 |
| Transfer (assignment) of a lease | As a conveyance: 0.5% of the first TZS 100,000, then 1% | NEW-02-27 |
| Surrender of a lease without consideration | TZS 2,000 (was TZS 1,000) | F0272 |
| Exchange of property | 0.5% of the first TZS 100,000, then 1% | F0266 |
| Mortgage deed; debenture | Register: 1% of the instrument, maximum TZS 10,000; debenture as for a mortgage of the same amount | F0274 |
| Affidavit or declaration; agreement; power of attorney | TZS 2,000 each | F0267 |
| Memorandum and articles of association | TZS 10,000 each | NEW-02-26 |
| Partnership deed | TZS 5,000 (capital up to TZS 1,000,000); TZS 10,000 above | F0268 |
| Cheque; bill of exchange | TZS 500 per cheque; TZS 5,000 per bill | F0271, F0269 |
Register IDs refer to the Zatra government fee and rate register. The share, lease, affidavit, agreement, power of attorney and memorandum rates also appear on TRA's stamp duty page. The Finance Act 2026 changes are confirmed by the EY analysis of the Finance Act, 2026. The mortgage and debenture line needs care: PwC's tax summary describes 1% of the consideration for most instruments including debentures, so confirm the cap with TRA before you rely on it.
Powers of attorney carry their own registration rules as well as duty. See our guide to power of attorney in Tanzania. A mortgage or debenture granted by a company must also be registered with BRELA, covered in registration of charges.
Who pays stamp duty, the buyer or the seller?
Section 41 answers this, and it starts with the words "in the absence of an agreement to the contrary". The parties can shift the cost by contract. Where the contract is silent, the Act places the duty as follows.
| Instrument | Who bears the duty (s.41) |
|---|---|
| Conveyance, including a reconveyance of mortgaged property | The grantee (buyer) |
| Lease or agreement to lease | The lessee or intended lessee |
| Counterpart of a lease | The lessor |
| Mortgage deed | The mortgagor (borrower) |
| Exchange of property | The parties in equal shares |
| Transfer of shares | The purchaser or transferee |
| Receipt or acknowledgement of debt | The person giving it |
An agreement between the parties binds them, not TRA. If the party who agreed to pay does not, the document stays unstamped and the evidence problem falls on whoever later needs to rely on it. Lenders and buyers therefore usually insist on seeing the stamped original at completion.
How long do you have to stamp a document?
Thirty days. Section 25 requires an instrument executed in Mainland Tanzania to be stamped within thirty days of execution. Section 26 gives an instrument executed abroad thirty days from its first arrival in Mainland Tanzania. A board resolution signed in London or a share transfer signed in Nairobi therefore starts its clock when it lands in Dar es Salaam.
TRA's page adds a useful rule. If you present the instrument to a proper officer for adjudication under section 43 within the 30 days, the time from presentation until you are told the duty is left out of the count. Ask for adjudication early when the value is open to argument, such as unlisted shares.
Keep proof of the date of first arrival for documents signed abroad. A courier receipt or a dated covering email is enough in most files. Without it, the officer may count from the date of signing.
What happens if a document is not stamped?
Three consequences follow, and they stack.
First, the evidence bar. Section 47 provides that no instrument chargeable with duty is admitted in evidence for any purpose unless it is duly stamped. A court or tribunal can admit it only once the duty and a penalty are paid. In a dispute over a lease or a share sale, that is the moment the cost of skipping duty becomes visible.
Second, the late penalty. Under section 50(1)(b), the stamp duty officer collects the proper duty plus a penalty of 25% of the duty payable. The penalty cannot exceed ten times the proper duty or the deficient portion (register NEW-02-25). Section 51 lets a party who comes forward of their own motion within one year, and shows accident, mistake or urgent necessity, be dealt with on the same basis.
Third, offences. TRA's page lists offences such as misstating facts in an instrument and failing to produce documents on request. On conviction these carry a fine of up to TZS 50,000, imprisonment of up to two years, or both. Prosecution and any challenge to it go to an advocate.
| Situation | Consequence | Source |
|---|---|---|
| Stamped within 30 days | Duty only | Cap. 189 s.25, s.26 |
| Presented late to the stamp duty officer | Duty plus 25% of the duty, capped at ten times the duty | s.50(1)(b); register NEW-02-25 |
| Late by accident, mistake or urgent necessity, within one year | Officer may receive the duty and proceed under s.50 | s.51 |
| Tendered in evidence unstamped | Not admitted until duty and penalty are paid; instrument impounded | s.47, s.48 |
| Offences under the Act | Fine up to TZS 50,000, prison up to two years, or both | TRA stamp duty page |
How is the value fixed for land and shares?
Ad valorem duty is only as good as the value it is charged on. Section 37 requires every fact affecting the duty to be set out in the instrument. Understating the price is an offence, and TRA can look past the stated figure.
Land and buildings. On a transfer of a right of occupancy, the value used for duty and for capital gains tax is, in practice, the valuation approved by the Chief Government Valuer. The office works under the Valuation and Valuers Registration Act, 2016 (No. 7 of 2016). Where the approved value is higher than the price in the sale agreement, expect duty on the higher figure. TRA's capital gains page confirms that the Registrar of Titles will not register a transfer without TRA's certificate. Transfer duties and valuation fees count as costs when the seller works out the gain.
Shares. TRA's page charges 1% of "the value of the shares approved by the Board". For listed securities, section 30 values stock by its average price on the date of the instrument. For private companies, expect TRA to test the agreed price against net assets or a recent valuation. Bring the latest audited accounts and any valuation report when you lodge the transfer.
Foreign currency. Section 29 converts amounts stated in foreign currency at the exchange rate on the date of the instrument. A lease priced in US dollars is therefore stamped in shillings at that day's rate.
How do you pay stamp duty to TRA?
TRA's stamp duty page does not set out a payment procedure, so this section describes current practice. Confirm the steps with your TRA tax office before you file.
- Lodge the instrument with the stamp duty officer at the TRA domestic revenue office for the area, with the parties' TINs and supporting documents.
- Receive the assessment. The officer computes the duty, and any penalty if the 30 days have passed.
- Pay against a control number issued for the assessment, through a bank or mobile money channel on the government payment gateway.
- Collect the stamped instrument with the duty endorsed or the stamp affixed, and keep the receipt with it.
Do not confuse stamp duty with TRA's Electronic Tax Stamps. ETS marks excisable goods such as beverages and cigarettes; it is not a system for stamping documents. We cover it in electronic tax stamps in Tanzania. We found no gazetted electronic stamp duty system for instruments on the Mainland at the date of this guide.
What did the Finance Act 2026 change?
The Finance Act, 2026 (Act No. 2 of 2026) was assented on 30 June 2026 and took effect on 1 July 2026. It made these stamp duty changes, as recorded in the EY analysis and the Zatra register:
- The definition of "lease" now includes movable property. Equipment, vehicle and machinery leases now attract 1% of the annual rent (F0265).
- Conveyance of agricultural land moved from a flat TZS 500 to 0.5% of the value (F0263, F0477).
- Duty on a cheque rose from TZS 100 to TZS 500 (F0271).
- A bill of exchange now carries TZS 5,000 (F0269).
- Bill of sale duty rose, with the maximum lifted from TZS 10,000 to TZS 100,000 (F0270).
- A partnership deed is TZS 5,000 where capital is up to TZS 1,000,000 and TZS 10,000 above (F0268).
- Surrender of a lease rose from TZS 1,000 to TZS 2,000 (F0272).
The headline rates on share transfers, ordinary conveyances and leases of land did not change. The movable property change matters most to businesses: an equipment lease signed after 1 July 2026 now needs stamping like a property lease.
Are any instruments exempt?
The Act has no broad business exemption. Section 16 lets the Minister exempt an instrument, or a class of instruments, by notice in the Gazette. Section 17 lets the Commissioner General accept a fixed sum in lieu of duty on some classes of instrument.
Other statutes add specific reliefs. The Companies Act, Cap. 212 contains a section headed "exemption of certain documents from stamp duty on winding up", relevant in a liquidation. Project agreements and special economic zone incentives may also carry reliefs. Ask for the Gazette notice number before treating any document as exempt, and keep it on file with the instrument.
A business sold as a going concern still produces stamped instruments: the share transfer or the asset conveyance. VAT relief on the sale does not remove stamp duty. See our guide to transfer of a going concern.
How does stamp duty work in Zanzibar?
Zanzibar is a separate tax jurisdiction for stamp duty. The Stamp Duty Act No. 7 of 2017 applies, and ZRA collects the duty through its ZIDRAS portal. TRA stamping does not cover an instrument that is chargeable in Zanzibar, and the reverse is also true.
The Zanzibar Act follows the same 30-day pattern. Section 54 requires stamping within thirty days of execution, counted from the latest signature. An instrument signed outside Zanzibar has thirty days from its first receipt there. Section 50 bars an unstamped instrument from evidence and from registration. Section 7(4) charges a person who fails to stamp double the duty, plus a fine of up to TZS 500,000.
| Item | Mainland (TRA, Cap. 189) | Zanzibar (ZRA, Act No. 7 of 2017) |
|---|---|---|
| Conveyance of property | 0.5% of first TZS 100,000, then 1% | 1%, paid by buyer or transferee |
| Transfer of shares | 1% of value | 1%; listed shares traded on an exchange 0.5% |
| Lease | 1% of annual reserved rent | Land lease 1%; other leases 0.5% |
| Debenture or mortgage | Register cap TZS 10,000 (confirm) | Debenture 0.5%, maximum TZS 500,000 |
| Affidavit; power of attorney | TZS 2,000 each | TZS 5,000 each |
| Agreement | TZS 2,000 | 0.5%, paid by the first person executing |
| Deadline | 30 days from execution or arrival | 30 days from last signature or receipt |
| Late or unstamped | Duty plus 25%, capped at ten times the duty | Double the duty plus a fine up to TZS 500,000 |
Zanzibar rates come from ZRA's stamp duty page and the First Schedule of the consolidated Act. Note the agreement rate. A commercial contract that costs TZS 2,000 to stamp on the Mainland is charged 0.5% of its value in Zanzibar. Hotel and tourism investors sign many such contracts, so budget for it.
Worked example: a share transfer and a commercial lease
Share transfer. Kilima Holdings buys 200,000 shares in a Dar es Salaam logistics company from a departing founder. The agreed price is TZS 4,500 per share. TRA accepts a value of TZS 5,000 per share, based on the latest audited net assets.
| Step | Figure (TZS) |
|---|---|
| Value accepted: 200,000 shares x TZS 5,000 | 1,000,000,000 |
| Stamp duty at 1% (F0264), paid by the transferee | 10,000,000 |
| If lodged after 30 days: penalty at 25% of duty (NEW-02-25) | 2,500,000 |
| Total if late | 12,500,000 |
The duty is on TRA's value, not the TZS 900,000,000 contract price. The founder's capital gains tax is a separate charge. Expect BRELA to ask for the stamped instrument and TRA's clearance before it records the transfer.
Commercial lease. A trading company signs a five-year lease of a warehouse in Kurasini. Rent is TZS 6,000,000 a month, fixed for the term.
| Step | Figure (TZS) |
|---|---|
| Annual reserved rent: 6,000,000 x 12 | 72,000,000 |
| Stamp duty at 1% of annual rent (F0265, F0478), paid by the lessee | 720,000 |
| Counterpart signed by the lessor | Duty as the Schedule sets for a counterpart; ask the officer |
| If stamped late: penalty at 25% of duty | 180,000 |
The duty is charged once on the annual rent, not on the rent for all five years. If the same rent were USD 2,400 a month, section 29 converts it at the rate on the date of signing. At an illustrative rate of TZS 2,500 to the dollar, the annual rent is TZS 72,000,000 and the duty is the same TZS 720,000. Where rent escalates each year, ask the officer which year's rent is used. The landlord's tax on the rent is separate; see rental income tax in Tanzania.
Land, for comparison. A conveyance of a plot sold for TZS 300,000,000 costs 0.5% of the first TZS 100,000 (TZS 500) plus 1% of the remaining TZS 299,900,000 (TZS 2,999,000). The total is TZS 2,999,500 under register F0262, assuming the Chief Government Valuer approves that value.
What to do now
- List your instruments: share transfers, leases, mortgages, debentures, powers of attorney and agreements signed in the last twelve months, with their dates.
- Check the stamp on each and note any that were never presented to TRA or ZRA.
- Agree who pays in every new contract, in a clause that names the party and the deadline.
- Stamp inside 30 days of signing, or of arrival for documents signed abroad, and keep the courier record.
- Prepare the value: audited accounts for shares, the approved valuation for land, the rent schedule for leases.
- Regularise late documents before a dispute arises, using section 51 where the delay was accidental.
- Store stamped originals with the receipts, since registries, banks and courts ask for both.
Key dates and deadlines
| When | What | Source |
|---|---|---|
| 1 July 2026 | Finance Act 2026 stamp duty changes take effect | Finance Act 2026; EY alert |
| Within 30 days of signing in Mainland Tanzania | Stamp the instrument with TRA | Cap. 189 s.25 |
| Within 30 days of first arrival on the Mainland | Stamp an instrument signed abroad | Cap. 189 s.26 |
| Within one year of signing | Last point for the section 51 accident or mistake route | Cap. 189 s.51 |
| Within 30 days of the last signature in Zanzibar | Stamp the instrument with ZRA | Zanzibar Act No. 7 of 2017 s.54 |
| Before transfer registration | Stamped transfer and TRA certificate to BRELA or the Registrar of Titles | TRA capital gains page |
How Zatra helps
Zatra reviews contract and share files for stamping gaps, prepares the value support TRA asks for, and lodges instruments for assessment on the Mainland and with ZRA. Our tax compliance team handles assessments and payment, and our share transfer and restructuring team runs the BRELA side of a sale. For leases and equipment finance, tax advisory checks the duty before signing.
Disputes over value, impounded instruments, prosecutions and legal opinions go to an advocate, with Zatra preparing the file. Zatra prepares and files documents; Zatra does not decide or guarantee any authority's outcome.
Costs come in two buckets. Stamp duty, penalties and registry fees are government charges, paid to TRA, ZRA or the registry at the official rate against a control number. They are separate from Zatra's professional fee, which we quote in writing before work starts. To begin, contact Zatra with the instrument and its date of signing.
Sources and status
Accurate as at 12 November 2026.
- The Stamp Duty Act, Cap. 189 R.E. 2023. Tanzania Revenue Authority, 2023 revised edition. Accessed 12 Nov 2026.
- Stamp Duty. Tanzania Revenue Authority, web page, 2026. Accessed 12 Nov 2026.
- The Finance Act, 2026, Act No. 2 of 2026. Tanzania Revenue Authority copy, assented 30 June 2026. Accessed 12 Nov 2026.
- The Stamp Duty Act R.E. 2019. Tax Revenue Appeals Board, 2019 revised edition. Accessed 12 Nov 2026.
- Stamp Duty Act, Chapter 189. TanzLII, version as at 30 November 2019. Accessed 12 Nov 2026.
- Capital Gain from Realisation of Interest in Land or Buildings. Tanzania Revenue Authority, web page, 2026. Accessed 12 Nov 2026.
- Valuation and Valuers Registration Act, 2016 (No. 7 of 2016). FAOLEX via UNEP LEAP, 2016 text. Accessed 12 Nov 2026.
- Companies Act, Cap. 212. TanzLII, 2002 text. Accessed 12 Nov 2026.
- Stamp Duty. Zanzibar Revenue Authority, web page, 2026. Accessed 12 Nov 2026.
- The Stamp Duty Act No. 7 of 2017, consolidated. Zanzibar Revenue Authority, 2023 consolidation. Accessed 12 Nov 2026.
- Tanzanian Finance Act, 2026 analysis. EY Global Tax News, 17 July 2026. Accessed 12 Nov 2026.
- Tanzania: Corporate other taxes. PwC Worldwide Tax Summaries, reviewed 9 September 2026. Accessed 12 Nov 2026.
Figures to confirm before you act
- The mortgage and debenture rate and cap (register F0274 shows a TZS 10,000 cap; PwC describes 1% of the consideration).
- The Schedule article numbers in the R.E. 2023 print, which our online copies did not reproduce in full.
- The amounts in the section 47 proviso for documents admitted in court, which read low in the printed text.
- Which year's rent TRA uses for a lease with annual escalation, and the duty on a lease counterpart.
- The current TRA lodging and control number procedure for stamp duty, which TRA's page does not describe.
- The basis of "total value" for Zanzibar land leases, and the Zanzibar mortgage deed rate.
- Whether the Chief Government Valuer's approval is required for every Mainland land transfer or only above set values.
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
Does an employment contract need stamp duty in Tanzania?
An employment contract is an agreement, and TRA lists agreements at TZS 2,000 on the Mainland. Many employers do not stamp them in practice. Stamp the contracts of senior staff and any contract you may need to produce before the Commission for Mediation and Arbitration or a court.
Can I stamp a document years after it was signed?
Yes. The officer collects the duty plus the 25% penalty, capped at ten times the duty. The sooner you present it, the simpler the file. Waiting until a court case forces it exposes you to an impounded document and delay at the hearing.
Is a digitally signed agreement subject to stamp duty?
The Act charges instruments, and a written agreement remains an instrument however it is signed. Registries and banks usually want a wet-ink original with the stamp. Print and stamp the signed version, or ask the stamp duty officer how they will endorse an electronic original.
Does a share allotment attract the 1% transfer duty?
No. An allotment of new shares is not a transfer from one holder to another, so the transfer article does not apply. The resolutions and return of allotment still go to BRELA, and any agreement behind the subscription is charged as an agreement.
Who stamps a lease when the landlord prepares it?
The person who drafts it does not decide liability. Section 41 places the duty on the lessee unless the lease says otherwise. Tenants should check the clause before signing, since some landlord forms shift all costs, including the counterpart duty, onto the tenant.
Do I pay stamp duty twice for a Zanzibar property owned by a Mainland company?
Duty follows the instrument and the place it is chargeable, not the owner's registered office. A conveyance of land in Zanzibar is stamped with ZRA. A share transfer in a Mainland company is stamped with TRA. Take advice where one document covers assets in both places.
Is the TZS 2,000 rate for a power of attorney the only cost?
No. A power of attorney dealing with land or used before a registry may also need registration, with its own fee, and notarisation or apostille if signed abroad. Our power of attorney guide lists those steps.
Can TRA reject the price written in my share transfer?
Yes. TRA charges duty on the value it accepts, and section 37 requires all facts affecting duty to appear in the instrument. Expect questions where the price is below net asset value or the parties are related. Keep a valuation or board paper that explains the price.
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 Stamp Duty Act, Cap. 189 R.E. 2023: Tanzania Revenue Authority, 2023 revised edition. Accessed 2026-11-12.
- Stamp Duty: Tanzania Revenue Authority, web page, 2026. Accessed 2026-11-12.
- The Finance Act, 2026, Act No. 2 of 2026: Tanzania Revenue Authority copy, assented 30 June 2026. Accessed 2026-11-12.
- The Stamp Duty Act R.E. 2019: Tax Revenue Appeals Board, 2019 revised edition. Accessed 2026-11-12.
- Capital Gain from Realisation of Interest in Land or Buildings: Tanzania Revenue Authority, web page, 2026. Accessed 2026-11-12.
- Stamp Duty (Zanzibar): Zanzibar Revenue Authority, web page, 2026. Accessed 2026-11-12.
- The Stamp Duty Act No. 7 of 2017, consolidated: Zanzibar Revenue Authority, 2023 consolidation. Accessed 2026-11-12.
- Tanzanian Finance Act, 2026 analysis: EY Global Tax News, 17 July 2026. Accessed 2026-11-12.
- Tanzania: Corporate other taxes: PwC Worldwide Tax Summaries, reviewed 9 September 2026. Accessed 2026-11-12.
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/.