Tanzania asked to raise mining tax

The International Monetary Fund (IMF) has urged the Tanzanian Government to increase tax onmaquina utilizadas en una planta concentradora mining activities as a strategy to boost revenue collections to meet its budgetary obligations. The mining sector contributes about 52 per cent of country's exports, but it only accounts for three per cent of the country's Gross Domestic Product (GDP).

"Strengthening Value Added Tax (VAT) compliance and enhancing the taxation of the mining sector will be a big boost to revenue mobilization," said the IMF Executive Board assessment of the economy through Article IV Consultation instrument with the Government last week. The board reiterated its stance on broadening of the tax base, reducing exemptions and improving public financial management. In a move to boost the country's income, the Deputy Minister for Energy and Minerals, Mr Adam Malima said, the Government has decided to review the mining's tax exemption package with a view to collect more income for the country's developments. Deputy Minister Malima said the Government and mining firm's experts are already reviewing the sector's tax exemptions package with a view to creating a mutually beneficial situation...