VAT on Imported Services Tanzania: Who Pays When the Supplier Is Abroad
Who pays VAT on services bought from a foreign supplier in Mainland Tanzania? The buyer does. Section 4(c) of the VAT Act, Cap. 148 makes the purchaser of imported services liable at 18%, but only where it could not recover at least 90% of that VAT as input tax. A fully taxable business normally owes nothing. A partly exempt business self-accounts in its monthly return.
This guide to VAT on imported services in Tanzania covers the reverse charge, place of supply, unregistered buyers, withholding tax, excise, the return, penalties and Zanzibar. A worked example runs a USD 40,000 invoice from a Kenyan supplier through three input-tax positions.
Who should read this
- Finance teams paying foreign software houses, consultants or group head offices from a Mainland account.
- Partly exempt businesses such as banks, lenders, insurers, schools and clinics, where the reverse charge bites hardest.
- Subsidiaries and branches of foreign groups that receive management charges, licence fees or cost recharges from abroad.
- Small businesses that are not VAT-registered and buy subscriptions or online tools from non-resident providers.
The Finance Act 2026 changed three neighbouring rules on 1 July 2026: digital intermediaries became deemed VAT suppliers, excise reached some online services from non-residents, and income tax on non-resident e-service providers rose from 2% to 3%.
What the law says
VAT in Mainland Tanzania runs on the Value Added Tax Act, Cap. 148 R.E. 2023, in the copy published by the Tax Revenue Appeals Board. We read the provisions below in that text on 25 October 2026. Section 3(1) imposes VAT on taxable supplies and taxable imports. Section 5(1) sets the rate at eighteen percent (register line F0239).
Four definitions and sections carry the reverse charge:
- "Imported services" in section 2 means services supplied to a taxable person where the supply is not made in the United Republic, as determined under the Act.
- "Taxable supply", paragraph (b), covers imported services bought in the course of an economic activity. It applies only if the supply would be taxable at a non-zero rate when made locally, and the purchaser would not be entitled to credit for ninety percent or more of the VAT.
- Section 4(c) makes the purchaser liable to pay VAT on a taxable supply of imported services.
- Section 72(2) treats that VAT as both output tax and input tax of the purchaser, provided both sit in the same return.
Section 17(2) sets the value of imported services at the consideration. The tax fraction used for local supplies does not apply, so 18% is charged on top of the fee. Section 74 then limits the input credit for a business that makes both taxable and exempt supplies.
TRA's own VAT page states that taxable supplies imported from outside Mainland Tanzania are subject to VAT. TRA's Taxes and Duties at a Glance 2025/26 lists 18% on the importation of taxable goods and services. Neither page uses the phrase "reverse charge". PwC's Tanzania summary, last reviewed 9 September 2026, does: it says registered businesses account for VAT on imported services through a reverse charge, relevant only where exempt supplies reach 10% or more.
When is a service from abroad an imported service?
Part IV of the Act decides where a service is supplied. Sections 44 to 53 cover supplies made in Mainland Tanzania. A service is an imported service only if those rules place it outside the United Republic and the buyer is a taxable person.
| Situation | Rule | Who accounts for VAT |
|---|---|---|
| Non-resident supplier registered for Mainland VAT sells to a registered customer | s.49: treated as made in Mainland Tanzania, unless the customer is a non-resident buying for a fixed place abroad | The supplier charges 18% on a tax invoice |
| Non-resident with a fixed place in Mainland Tanzania supplies through it | s.52: supply made in Mainland Tanzania | The supplier, through its local registration |
| Unregistered non-resident with no fixed place sells to a taxable person | Not made in the United Republic, so an imported service (s.2) | The buyer, by reverse charge, if its credit entitlement is below 90% (s.4(c)) |
| Non-resident sells to a buyer who is not registered, services performed and used in Mainland Tanzania | s.51(1)(a): supply made in Mainland Tanzania | The non-resident, through a VAT representative (s.68) |
| Non-resident delivers electronic services to an unregistered person in Mainland Tanzania | s.51(1)(c) and (2); GN 478Q of 2022 | The non-resident, under the simplified registration (F0244) |
| Head office or foreign branch supplies benefits to its Mainland branch | s.69: two separate persons; deemed imported services, cost allocation treated as consideration | The Mainland branch, by reverse charge where it applies |
| Land outside Mainland Tanzania, or a service used outside the United Republic | ss.47, 62 and 64 | Usually no Mainland VAT; check the zero-rating conditions |
Most business purchases fall in the third row: a foreign consultancy with no Tanzanian registration or office invoices a Dar es Salaam company. The buyer's input tax position decides the rest.
Section 49 turns on the non-resident being registered. Ask every foreign supplier whether it holds a Mainland VRN. If yes, expect a Tanzanian tax invoice with VAT. If no, the reverse-charge test applies.
Who accounts for VAT on imported services in Tanzania?
The purchaser does, under section 4(c). The foreign supplier does not register, does not charge Tanzanian VAT and does not file a Tanzanian return for that supply. The buyer calculates 18% of the consideration, declares it as output tax, and claims whatever input credit the law allows in the same return.
Three conditions must all be met before a reverse charge arises:
- The buyer is a taxable person, meaning registered or required to be registered for VAT.
- The service would be standard-rated if supplied locally. An imported service that would be exempt locally carries no reverse charge.
- The buyer would not be entitled to credit for at least 90% of the VAT.
Timing follows section 15. VAT on a taxable supply becomes payable at the earlier of the supplier's invoice, receipt of any part of the consideration, or the time of supply. Imported services fall inside "taxable supply" through paragraph (b) of the definition, so we read section 15 as applying to them. In practice the foreign invoice date or the payment date, whichever comes first, fixes the month.
Section 72(6) treats the purchaser as the supplier for adjustment events such as credit notes, so the buyer makes those adjustments itself.
Does a fully taxable business still pay reverse-charge VAT?
No. If the buyer could recover 90% or more of the VAT, paragraph (b) of the definition is not met. The purchase is then not a taxable supply, and section 4(c) does not bite. A manufacturer, trader or exporter whose supplies are all standard-rated or zero-rated normally books no reverse charge.
The 90% test links to section 74. Where input tax relates to both taxable and exempt supplies, the credit equals input tax multiplied by taxable supplies over total supplies. Section 74(4) adds two bright lines. Above 0.90, the business gets full credit. Below 0.10, it gets no credit at all. Between the two, credit is pro rata.
| Buyer's position | Reverse charge? | Input credit | Net VAT cost on a TZS 100m fee |
|---|---|---|---|
| Fully taxable, or ratio above 0.90 | No | Not needed | Nil |
| Partly exempt, ratio 0.60 | Yes, 18% output | 60% of TZS 18m | TZS 7,200,000 |
| Mainly exempt, ratio below 0.10 | Yes, 18% output | None (s.74(4)) | TZS 18,000,000 |
| Service used wholly for exempt supplies | Yes | None (s.72(1)(a)) | TZS 18,000,000 |
PwC notes that imported services are not counted as supplies when the ratio is worked out. Section 74(3) also makes the monthly credit provisional. At the accounting year end, the twelve months are recalculated on annual figures, and the difference goes into the sixth tax period of the next year.
The test applies to the service, not only the company. A mainly taxable business buying a service wholly for an exempt activity may still owe the reverse charge on it.
How is the reverse charge entered on the VAT return?
Section 70(1) requires the return by the 20th day of the month after the tax period. Payment is due the same day (register line F0245). Returns are filed in TRA's IDRAS taxpayer portal, as our VAT return guide explains.
- Output side: declare 18% of the consideration as output tax on imported services for the month in which section 15 makes it payable.
- Input side: claim the allowable credit in the same return. Section 72(2) refuses the credit if the output tax is not declared in that return.
- Partial credit: apply the section 74 ratio to the input side only. The output side is always the full 18%.
- Cash effect: for a partly exempt buyer, the net figure is a real payment against the IDRAS control number.
The foreign supplier issues a commercial invoice, not a Tanzanian tax invoice or EFD receipt. Section 73(3) lists the documents needed for credits on imports of goods and on local supplies. It does not name a document for imported services. Keep the foreign invoice, the contract, proof of payment and the withholding tax receipt together as the evidence file.
Section 73(2) bars any input tax credit after six months from the date of the invoice, fiscal receipt or other evidence (F0245). Section 73(1) allows a claim in the month the VAT became payable or any of the six following periods. For imported services, the same-return rule in section 72(2) means the safe course is to declare both sides together in the month the invoice arrives.
We have not seen TRA's current IDRAS field label for imported services; confirm it before the first filing.
What if the buyer is not VAT-registered?
An unregistered buyer is not a taxable person, so it cannot self-account. The Act moves the liability to the non-resident instead.
Section 51(1) treats three kinds of service to an unregistered customer as made in Mainland Tanzania. These are services performed and used in Mainland Tanzania, broadcasting received at a Mainland address, and electronic services delivered to a person in Mainland Tanzania at the time of delivery. Section 51(2) defines electronic services widely. The list includes web-hosting, software and updates, databases, streaming, online intermediation and online advertising.
The VAT (Registration of Non-Resident Electronic Service Suppliers) Regulations, 2022, GN 478Q came into force on 1 July 2022. They require online registration with no threshold. Location is proved by payment, residence or access proxies, such as a Tanzanian card, billing address or SIM country code. Regulation 6(3) sets the return and payment for the seventh day of the following month.
The Finance Act 2026 added a deemed-supplier rule. From 1 July 2026, a digital intermediary is treated as the supplier for VAT on electronic services sold through it to unregistered persons (register line F0244, citing section 51(2) as amended by Finance Act 2026 section 94). EY's analysis of the Finance Act 2026, published 17 July 2026, describes the same change for platforms and digital marketplaces.
For other services performed in Mainland Tanzania for an unregistered customer, section 68 requires a non-resident with no fixed place to appoint a VAT representative and, if asked, lodge security. The buyer then sees VAT on the invoice.
How does withholding tax interact with VAT on the same invoice?
They are separate taxes on the same payment, under separate Acts. VAT is the buyer's tax under Cap. 148. Withholding tax is the supplier's income tax, collected by the buyer under the Income Tax Act, Cap. 332 R.E. 2023.
The rate on service fees paid to a non-resident is 15% (register line F0212, Cap. 332 section 106 and the First Schedule). Older notes cite section 83, the pre-revision number. TRA's Glance confirms 15% for professional and other services paid to non-residents, and requires withheld tax to be paid by the 7th day of the next month. PwC's withholding table shows the same 15%.
Work done outside Tanzania is not a safe exit. FB Attorneys reported on 6 July 2018 that the Court of Appeal, in Tullow Tanzania BV v TRA, upheld withholding on fees for services rendered abroad and used in Tanzania. The same note says the Finance Act 2016 amended the Act to tax such payments regardless of where the service is performed.
A treaty can cut the 15%. PwC lists treaties in force with Canada, Denmark, Finland, India, Italy, Norway, South Africa, Sweden and Zambia. Kenya and the United Kingdom are not on that list, so domestic 15% applies to the suppliers in our example. Our double tax treaty guide covers claims.
| Point | VAT reverse charge | Withholding tax |
|---|---|---|
| Whose tax | The buyer's own VAT | The supplier's income tax, collected by the buyer |
| Rate | 18% (F0239) | 15% non-resident service fee (F0212) |
| Base | Full consideration (s.17(2)) | Gross payment |
| Applies to fully taxable buyers? | No | Yes |
| Deadline | VAT return by the 20th (s.70) | By the 7th of the next month |
| Recoverable? | Partly, through s.74 | Not by the buyer; the supplier claims foreign credit |
Withholding does not reduce the VAT base, and a gross-up raises both. Our guide to withholding tax on cross-border payments sets out the remittance file, and the foreign supplier payment pack lists what the bank asks for.
Where does excise duty on digital services fit?
From 1 July 2026, the Finance Act 2026 amended the Excise (Management and Tariff) Act, Cap. 147 section 126 to charge excise on specified services that a non-resident delivers through the internet. It applies where the resident customer is not registered for that service (register line NEW-02-36). The Excise (Non-Resident Service Provider) Regulations, 2026, GN 158E set the registration and filing rules.
The excise sits on the non-resident provider. As our excise on digital services guide found, GN 158E sets no reverse charge for the buyer. A Mainland business may see excise priced into a subscription but does not book it in its own return.
The provider may also owe income tax on payments from individuals not in business. The rate rose from 2% to 3% on 1 July 2026 (register line F0203). That return and payment fall on the 20th of the following month.
What are the penalties for getting it wrong?
Penalties sit in the Tax Administration Act, Cap. 438 R.E. 2023. TRA summarises them on its interest, penalties and offences page.
| Failure | Consequence | Basis | Register ID |
|---|---|---|---|
| Reverse charge not declared or paid by the 20th | Higher of 2.5% of unpaid tax or 15 currency points (TZS 300,000) for a body corporate, per month or part month | TAA s.89 | NEW-02-06 |
| Tax paid late | Interest at the statutory rate, compounded monthly | TAA s.87 | NEW-02-08 |
| Statutory rate value | 8.75% for the third quarter of 2026 | TAA s.3; Bank of Tanzania | NEW-02-09 |
| Return understates output tax | 50% of the shortfall, or 75% if knowing or reckless; less 10% for voluntary disclosure | TAA s.90(2) and (3) | NEW-02-11 |
| Records not kept | 10 currency points (TZS 200,000) per month for a body corporate | TAA s.88 | NEW-02-07 |
| Input credit claimed late | Credit lost after six months | VAT Act s.73(2) | F0245 |
| Withholding not deducted or paid | TRA may pursue the payer for the tax, plus interest and penalty | Cap. 332 and TAA | F0212 |
A common audit finding is a partly exempt business that never declared the reverse charge on group recharges. See our note on TRA penalties and interest.
An objection must be lodged within 30 days of service and is admitted only after paying the greater of the tax not in dispute or one third of the assessed tax (NEW-02-19, TAA s.62). Zatra routes any appeal to the Board through an advocate.
How does this work in Zanzibar?
VAT is not a Union matter. Zanzibar runs its own VAT law through the Zanzibar Revenue Authority (ZRA), and Cap. 148 applies only to Mainland Tanzania. Income tax, including withholding on service fees, is a Union tax administered by TRA on both sides. Our note on Union and non-Union taxes explains the split.
| Point | Mainland Tanzania | Zanzibar | Status |
|---|---|---|---|
| VAT law and authority | VAT Act, Cap. 148; TRA | VAT Act No. 4 of 1998 as amended; ZRA | Settled |
| Standard rate | 18% (F0239) | 15% (F0246) | Settled |
| Non-resident electronic services to unregistered persons | 18%, simplified registration (F0244) | 18%, registration on ZIDRAS regardless of turnover | Settled per ZRA page |
| Non-resident e-services to registered customers | Reverse charge if credit below 90% | Reverse charge by the recipient, per ZRA guidance | Verify the Zanzibar section |
| Other imported services | Reverse charge if credit below 90% | Not confirmed this session | Confirm with ZRA |
| Withholding on non-resident fees | 15%, TRA (F0212) | 15%, TRA | Settled |
ZRA's page on VAT on digital services cites sections 4A and 4B of the Zanzibar VAT Act, added in 2024. It says collection and remittance to ZRA begin on 1 January 2027. Our comparison of the Zanzibar and Mainland VAT regimes covers rates and thresholds.
Worked example: a USD 40,000 software and consulting invoice from Kenya
A Dar es Salaam company pays a Nairobi software house USD 40,000 for a system build and three months of consulting. The supplier has no Tanzanian registration and no office here. The contract is silent on gross-up. We use TZS 2,500 to USD 1 for illustration only, so the fee is TZS 100,000,000.
| Line | Fully taxable buyer | Partly exempt (ratio 0.60) | Mainly exempt (ratio 0.08) |
|---|---|---|---|
| Fee (consideration) | TZS 100,000,000 | TZS 100,000,000 | TZS 100,000,000 |
| Withholding tax 15% (F0212), remitted by the 7th | TZS 15,000,000 | TZS 15,000,000 | TZS 15,000,000 |
| Paid to supplier | TZS 85,000,000 | TZS 85,000,000 | TZS 85,000,000 |
| Reverse-charge output VAT 18% (F0239) | Nil | TZS 18,000,000 | TZS 18,000,000 |
| Input credit (s.74) | Nil | TZS 10,800,000 | Nil |
| Net VAT paid by the 20th | Nil | TZS 7,200,000 | TZS 18,000,000 |
| Total cost to the buyer | TZS 100,000,000 | TZS 107,200,000 | TZS 118,000,000 |
In USD terms, the reverse charge is USD 7,200 before credit. The partly exempt buyer recovers USD 4,320 and bears USD 2,880. The mainly exempt buyer, such as a lender whose supplies are mostly exempt financial services, bears the full USD 7,200.
Now suppose the contract says the supplier must receive USD 40,000 net. The buyer grosses up: 40,000 ÷ 0.85 = USD 47,058.82. Withholding becomes USD 7,058.82. The reverse-charge base also rises, to 18% of USD 47,058.82, which is USD 8,470.59. Gross-up clauses cost more than the headline withholding.
A UK supplier gives the same answer, as no UK treaty appears on PwC's in-force list. An Indian supplier may qualify for PwC's listed 0% treaty rate on technical fees, with a residence certificate and TRA's acceptance.
If the invoice is dated 10 October 2026 and paid on 15 October, withholding is due by 7 November and the October VAT return by 20 November 2026.
What to do now
- List every foreign supplier. Pull twelve months of foreign payments, including group recharges, software subscriptions and cloud bills.
- Ask for the Mainland VRN. Separate suppliers who charge Tanzanian VAT from those who do not.
- Fix your ratio. Work out taxable over total supplies for the last year under section 74 and record the result.
- Map each service to its use. Note whether it serves taxable, exempt or mixed supplies, since that drives the 90% test.
- Declare both sides together. Put reverse-charge output and the allowed input in the same monthly return, by the 20th.
- Withhold and remit by the 7th. Deduct 15% from non-resident fees unless a treaty claim is documented and accepted.
- Review contract tax clauses. Check gross-up, VAT and excise wording before signing new foreign service agreements.
- Correct past months. Where reverse charge was missed, quantify it and consider voluntary disclosure, which reduces the section 90 penalty.
Key dates and deadlines
| Date or period | Event | Source |
|---|---|---|
| 1 July 2022 | GN 478Q simplified registration for non-resident e-service suppliers in force | GN 478Q reg 1 |
| 1 July 2026 | Digital intermediary deemed supplier; excise on non-resident online services; 3% income tax on non-resident e-services | Finance Act 2026; F0244, NEW-02-36, F0203 |
| 7th of the next month | Withholding tax on non-resident fees paid to TRA | TRA Glance 2025/26 item 9.0(b) |
| 7th of the next month | VAT return and payment by registered non-resident e-service suppliers | GN 478Q reg 6(3) |
| 20th of the next month | VAT return with reverse charge, and payment | VAT Act s.70(1); F0245 |
| Six months from invoice | Input credit lapses | VAT Act s.73(2) |
| Sixth tax period of the next year | Annual section 74 adjustment | VAT Act s.74(3) |
| 30 days from service | Objection to an assessment | TAA s.62; NEW-02-19 |
| 1 January 2027 | ZRA collection of VAT on non-resident digital services begins | ZRA digital services page |
How Zatra helps
Zatra reviews foreign service payments, works out the section 74 ratio, and sets up the monthly reverse-charge and withholding routine. Where months were missed, we quantify the exposure and prepare a disclosure file. Our tax and regulatory compliance team runs the filings. Our tax advisory desk reviews contract tax clauses and group recharges. Our TRA audit and dispute team handles audit queries.
Costs come in two separate buckets. VAT, withholding tax, interest and penalties are paid to TRA or ZRA at the official amount against the authority's control number. Zatra's professional fee is quoted on its own line and never mixed with them. Zatra prepares and coordinates, but does not decide or guarantee any authority's outcome. Objections before the Tax Revenue Appeals Board, prosecution, seizure, other disputes and formal legal opinions go to an advocate.
Sources and status
Accurate as at 25 October 2026.
- Value Added Tax Act, Cap. 148 R.E. 2023: TRAB copy; ss.2 to 17, 49 to 52, 68 to 74 read. Accessed 25 Oct 2026.
- GN 478Q of 2022: TRA copy, 1 Jul 2022. Accessed 25 Oct 2026.
- TRA VAT page: undated. Accessed 25 Oct 2026.
- TRA Taxes and Duties at a Glance 2025/26: July 2025. Accessed 25 Oct 2026.
- Income Tax Act, Cap. 332 R.E. 2023: TRA copy; arrangement read. Accessed 25 Oct 2026.
- Tax Administration Act, Cap. 438 R.E. 2023: TRA copy. Accessed 25 Oct 2026.
- GN 158E of 2026: TRA copy, in force 1 Jul 2026. Accessed 25 Oct 2026.
- ZRA VAT on digital services: guidance of Apr 2026. Accessed 25 Oct 2026.
- PwC Tanzania other taxes, withholding taxes and treaties: last reviewed 9 Sep 2026. Accessed 25 Oct 2026.
- EY Finance Act 2026 analysis: 17 Jul 2026. Accessed 25 Oct 2026.
- FB Attorneys legal update on Tullow v TRA: 6 Jul 2018. Accessed 25 Oct 2026.
- Zatra fee register lines F0239, F0244, F0245, F0246, F0212, F0203, NEW-02-36, NEW-02-06 to NEW-02-09, NEW-02-11, NEW-02-19: fees at 26 Sep 2026. Accessed 25 Oct 2026.
Figures to confirm before you act
- Amendments after the revised edition: the TRAB text is R.E. 2023; check the Finance Acts 2024 to 2026 for changes to ss.2, 4, 49 to 52 and 74
- Timing: our reading that s.15 fixes the month for imported services; confirm with TRA for prepayments
- IDRAS fields: where the return places reverse-charge output and input
- Evidence: which documents TRA accepts in place of a tax invoice for imported services
- Withholding section: s.106 per the fee register; the R.E. 2023 operative text was not read this session
- Treaties: TRA's live list of agreements in force, including any East African treaty
- Statutory interest rate: 8.75% is the third-quarter 2026 value; confirm the current quarter
- Zanzibar: the section governing imported services other than electronic services
- Exchange rate: the example uses TZS 2,500 to USD 1 for illustration; use the rate TRA prescribes on the day
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 reverse-charge VAT apply to goods bought from abroad?
No. Goods carry import VAT at the border under section 8, collected by TRA on the customs entry with duty. The reverse charge under section 4(c) covers services only. A contract mixing equipment and installation may need splitting so each part gets the right treatment.
Is a payment to our parent company for shared services an imported service?
Usually yes, if the parent has no Mainland VAT registration. Management fees, IT recharges and licence fees are services. A partly exempt subsidiary self-accounts for them, and transfer pricing rules also apply to the amount charged between related parties.
Can we claim the reverse-charge VAT as a refund?
No refund arises from the reverse charge itself. The output and input sit in the same return, so a fully creditable amount nets to nil. Only the unrecoverable share is paid. Refunds arise from excess credits on other purchases, under sections 85 to 88.
What if a foreign supplier adds its own country's VAT to the invoice?
Foreign VAT is not Tanzanian input tax and cannot be claimed in the Mainland return. Ask the supplier to apply its export rules and reissue the invoice. The Tanzanian reverse charge, where it applies, is calculated on the fee net of foreign VAT.
Do services bought from a Zanzibar company count as imported for Mainland VAT?
The Act defines imported services as supplies not made in the United Republic, and Zanzibar is part of it. Supplies between Zanzibar and the Mainland follow separate rules in the Act and the Zanzibar law. Take advice on the specific contract before invoicing.
Our business turnover is below the VAT threshold. Do we owe anything?
You cannot self-account if you are not registered. A non-resident selling you electronic services must register under GN 478Q and charge 18%. You still withhold 15% income tax on non-resident service fees, because withholding does not depend on VAT registration.
Does a treaty change the VAT position?
No. Double tax treaties deal with income tax only. A treaty may cut the 15% withholding on technical fees, but the reverse-charge VAT under the VAT Act applies whatever the supplier's country of residence.
Who signs off a disputed reverse-charge assessment?
An objection goes to the Commissioner General within 30 days, with the required deposit paid. If the objection fails, an appeal lies to the Tax Revenue Appeals Board and then the Tribunal. Zatra prepares the file; an advocate represents the company before the Board.
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 Value Added Tax Act, Cap. 148 R.E. 2023: Tax Revenue Appeals Board copy, Revised Edition 2023; ss.2, 3, 4(c), 5, 15, 17(2), 49, 51, 52, 68, 69, 70, 72, 73 and 74 read 25 Oct 2026; primary source. Accessed 2026-10-25.
- VAT (Registration of Non-Resident Electronic Service Suppliers) Regulations, 2022, GN 478Q: Ministry of Finance, published by TRA, in force 1 Jul 2022; regs 1, 4, 5, 6(3) and 9 read 25 Oct 2026; primary source. Accessed 2026-10-25.
- TRA: Value Added Tax (VAT): Tanzania Revenue Authority web page, undated, read 25 Oct 2026; imported supplies taxable, 20th deadline, six-month input rule; primary source. Accessed 2026-10-25.
- TRA: Taxes and Duties at a Glance 2025/2026: Tanzania Revenue Authority, July 2025; 15% non-resident service fees, withholding due by the 7th, 18% on imported services, Zanzibar 15%; primary source. Accessed 2026-10-25.
- The Income Tax Act, Cap. 332 R.E. 2023: Tanzania Revenue Authority copy, Revised Edition 2023, printed 2025; arrangement of sections read 25 Oct 2026 (withholding s.106, final withholding s.111); primary source. Accessed 2026-10-25.
- The Tax Administration Act, Cap. 438 R.E. 2023: Tanzania Revenue Authority copy, Revised Edition 2023; ss.62, 87, 88, 89 and 90 per the Zatra fee register of 26 Sep 2026; primary source. Accessed 2026-10-25.
- TRA: Interest, penalties and offences: Tanzania Revenue Authority, live page 2026, read 25 Oct 2026; primary source. Accessed 2026-10-25.
- The Excise (Non-Resident Service Provider) Regulations, 2026, GN 158E: Ministry of Finance, published by TRA, GN 158E of 30 Jun 2026, in force 1 Jul 2026; primary source. Accessed 2026-10-25.
- ZRA: VAT on Digital Service in Zanzibar: Zanzibar Revenue Authority, live page, guidance of Apr 2026, read 25 Oct 2026; 18% rate, ZIDRAS registration, reverse charge for registered recipients, collection from 1 Jan 2027; primary source. Accessed 2026-10-25.
- PwC Worldwide Tax Summaries: Tanzania, Corporate, Other taxes: PwC, last reviewed 9 Sep 2026; reverse charge where exempt supplies are 10% or more; independent source. Accessed 2026-10-25.
- PwC Worldwide Tax Summaries: Tanzania, Corporate, Withholding taxes: PwC, last reviewed 9 Sep 2026; 15% non-resident service fees and treaty rates; independent source. Accessed 2026-10-25.
- PwC Worldwide Tax Summaries: Tanzania, Foreign tax relief and tax treaties: PwC, last reviewed 9 Sep 2026; nine treaties in force; independent source. Accessed 2026-10-25.
- EY: Tanzanian Finance Act, 2026 analysis: EY Tax News Update, 17 Jul 2026; digital intermediaries, excise on non-resident electronic services, 2% to 3%; independent source. Accessed 2026-10-25.
- FB Attorneys: Legal Update, 6 July 2018 (Tullow Tanzania BV v TRA): FB Attorneys, law firm note, 6 Jul 2018; Court of Appeal Civil Appeal No. 24 of 2018 on withholding for services rendered abroad; independent source. 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/.