THE UNITED REPUBLIC OF TANZANIA THE TAX REVENUE …

1 THE UNITED REPUBLIC OF TANZANIA _____ THE TAX REVENUE APPEALS ACT _____ chapter 408 ____ revised edition 2006 This edition of the Tax REVENUE Appeals Act, Cap. 408 incorporates all amendments up to 30th November, 2006 and is printed under the authority of Section 4 of the Laws Revision Act, Dar es Salaam J. P. Mwanyika ---------------------, 2006 Attorney General 2 chapter 408 _____ THE TAX REVENUE APPEALS ACT _____ [PRINCIPAL LEGISLATION] ARRANGEMENT OF SECTIONS Section Title PART I PRELIMINARY PROVISIONS 1. Short title. 2. Application. 3. Interpretation. PART II ESTABLISHMENT OF THE TAX REVENUE APPEALS BOARD AND THE TAX REVENUE APPEALS TRIBUNAL 4. Establishment and composition of the Board. 5. Tenure of office of Chairman etc., and members. 6. Secretary of the Board. 7. Jurisdiction of the Board. 8. Establishment and composition of the Tribunal. 9. Tenure of office of Chairman, etc.

2 , and members. 10. Registrar of the Tribunal. 11. Jurisdiction of the Tribunal. PART III OBJECTION TO TAX ASSESSMENT 12. Notice of objection to assessment. 13. Powers of the Commissioner-General on receipt of notice of objection. 14. Application of appeal procedure to other decisions, etc., of Commissioner-General. 15. Finality of assessment. PART IV APPEALS GENERALLY 16. Right of appeal to the Board and to the Tribunal. 17. Powers of the Board and the Tribunal. PART V PROCEEDINGS OF THE BOARD AND TRIBUNAL 3 18. Procedure on hearing. 19. Appeals affecting two or more persons. 20. Opinion of members. 21. Disclosure of interest. 22. Hearing. 23. Witnesses. 24. Enforcement of the decisions of the Board and Tribunal. 25. appeal to Court of appeal . 26. Costs. PART VI OFFENCES AND PENALTIES 27. Offences and penalties. PART VII FINANCIAL AND MISCELLANEOUS PROVISIONS 28. Sources of funds of the Board and the Tribunal. 29. Accounts and audit.

3 30. Remuneration. PART VIII GENERAL PROVISIONS 31. Indemnity of the Chairman, etc., members of the Board and the Tribunal. 32. Seal of the Board or the Tribunal. 33. Minister may make rules. 34. Transitional provisions. 35. Savings. 4 chapter 408 THE TAX REVENUE APPEALS ACT An Act to provide for the establishment of the Tax REVENUE Appeals Board and the Tax REVENUE Appeals Tribunal and to provide for related matters [1st June, 2001] [ No. 126 of 2001] Acts Nos. 15 of 2000 15 of 2004 13 of 2005 6 of 2006 PART I PRELIMINARY PROVISIONS Short title 1. This Act may be cited as the Tax REVENUE Appeals Act. Application 2. This Act shall apply to Mainland TANZANIA as well as to TANZANIA Zanzibar. Interpretation 3. In this Act unless the context requires otherwise "Act" means the Tax REVENUE Appeals Act; "appellant" means any person who lodges an appeal before the Board or the Tribunal; assessment means an assessment of tax as determined or ascertained in each of the respective tax law; "Board" means the Tax REVENUE Appeals Board established under section 4(1); Cap.

4 399 "Commissioner-General" means the Commissioner-General appointed under Section 15 of the TANZANIA REVENUE Authority Act and includes any person appointed as Commissioner in respect of any tax; Cap. 2 "Court of appeal " means the Court of appeal established by Article 117(1) of the Constitution of the UNITED REPUBLIC ; "High Court" means the High Court of TANZANIA or the High Court of Zanzibar; "member" in respect of members of the Board, or the Tribunal means the Chairman, Vice-Chairman and other members appointed under sections 4(2)(c) and 8(2)(c); "Minister" means the Minister responsible for finance; "party" means a person or his duly authorised agent who refers a matter or dispute to the Board or lodges an appeal in the Tribunal and includes the Commissioner-General or a person authorised on that behalf; "Register" means the Register kept by the Registrar into which all complaints are entered; "Registrar" means the Registrar of the Tax REVENUE Appeals Tribunal appointed under section 6(1).

5 " REVENUE " means taxes, duties, fees, levies, fines or other monies imposed by or collected under the law or the specified provisions of the laws set out in the First Schedule to the TANZANIA REVENUE Authority Act; 5 Cap. 399 ''Secretary" means the Secretary of the Tax REVENUE Appeals Board; "tax" means any REVENUE collected or due under any written law; "Tribunal" means the Tax REVENUE Appeals Tribunal established under section 8(1). PART II ESTABLISHMENT OF THE TAX REVENUE APPEALS BOARD AND TAX REVENUE APPEALS TRIBUNAL Establish- ment and composi- tion of the Board (1) There is established a Board to be known as the Tax REVENUE Appeals Board. (2) The Board shall consist of (a) a Chairman who shall be appointed by the Minister; (b) two Vice-Chairmen who shall be appointed by the Minister one of whom shall be from TANZANIA Zanzibar, (c) four other members who shall be appointed by the Minister from each region who shall sit in the Board for the purposes of hearing and determining any appeal originating in the region from which they are appointed.

6 (3) A person may be appointed to be (a) Chairman if he is a principal legal officer or a person having adequate knowledge of taxation; (b) member of the Board if he has knowledge of, and experience in, taxation, commercial or financial matters. (4) Where any appointment relates to a person from TANZANIA Zanzibar, the Minister shall consult the Minister responsible for finance in the Revolutionary Government of Zanzibar. Tenure of office of Chairman, etc., and members (1) Subject to subsection (2), the office of Chairman, Vice-Chairman and member of the Board shall become vacant upon the occurrence of any one of the following events (a) resignation; (b) in relation to a member other than a Chairman and Vice-Chairman, absence without a reasonable cause from three consecutive sessions of the Board; (c) death or inability to perform his functions by reason of sickness; (d) conviction of an offence against section 21(3) of this Act.

7 (2) A member of the Board shall, unless his appointment is sooner terminated, hold office for a term of three years and shall be eligible for re-appointment for one additional term. Secretary of the Board (1) The Minister shall appoint a suitable person, being a senior public officer, to be the Secretary of the Board. (2) The Secretary of the Board shall perform all administrative functions as provided for under this Act and as may be assigned to him by the Chairman of the Board. Jurisdiction of the Board 7. The Board shall, subject to Section 12 have sole original jurisdiction in all proceedings of a civil nature in respect of disputes arising 6 from REVENUE laws administered by the TANZANIA REVENUE Authority. Establish- ment and composi- tion of the Tribunal (1) There is established a Tribunal to be known as the Tax REVENUE Appeals Tribunal.

8 (2) The Tribunal shall consist of (a) a Chairman who shall be appointed by the President after consultation with the Chief Justice; (b) two Vice-Chairmen who shall be appointed by the President, one of whom shall be from TANZANIA Zanzibar; (c) four other members who shall be appointed by the Minister; (3) A person may be appointed to be (a) Chairman if he is a judge of the High Court; (b) member of the Tribunal if he has knowledge of, and experience in, taxation, commercial or financial matters. (4) Where any appointment relates to a person from TANZANIA Zanzibar, the appointing authority shall consult the President of Zanzibar. Tenure of office of Chairman, etc., and members (1) Subject to subsection (2), the office of Chairman, Vice-Chairman or member of the Tribunal shall become vacant upon the occurrence of any one of the following events (a) resignation; (b) in relation to a member other than a Chairman or Vice-Chairman, absence without a reasonable cause from three consecutive sessions of the Tribunal; (c) death or inability to perform his functions by reason of sickness; (d) cessation to be a judge, and, in the case of a Vice-Chairman and a member, cessation to practise on disciplinary grounds confirmed by the body authorised by law to take disciplinary measures against a person possessing qualification in relation to which such Vice-Chairman or a member was qualified to be appointed as such; (e) conviction of an offence against section 21(3) of this Act.

9 (2) A member of the Tribunal shall, unless his appointment is sooner terminated, hold office for three years and shall be eligible for re-appointment for one additional term. Registrar of the Tribunal (1) The Minister shall appoint a public officer, being a senior lawyer to be the Registrar of the Tribunal. (2) The Registrar shall perform all administrative functions as provided for under this Act and as may be assigned to him by the Chairman of the Tribunal. Jurisdiction of the Tribunal (1) The Tribunal shall have sole jurisdiction in all appeals arising from decision of the Board on disputes on which original jurisdiction is conferred on the Board. (2) Notwithstanding subsection (1), the Tribunal shall exercise general powers of supervision over the Board in the exercise of its powers 7 under this Act and may in that respect, call for and inspect the records of any proceedings before the Board and may revise any decision thereof.

10 PART III OBJECTION TO TAX ASSESSMENT Notice of objection to assessment Acts Nos: 15 of 2004 13 of 2005 s. 14 (1) Any person who disputes an assessment made upon him may, by notice in writing to the Commissioner General, object to the assessment. (2) A notice of objection shall contain a statement in precise form, of grounds in respect of which the objection to an assessment is made, and shall be filed with the Commissioner General within thirty days from the date of service of the notice of the assessment. (3) Where a notice of objection to an assessment is given, the person objecting shall, pending the final determination of the objection to an assessment by the Commissioner General in accordance with section 13, pay the amount of tax which is not in dispute or one third of the assessed tax, whichever amount is greater. (4) The Commissioner General may, upon being satisfied that there exist good reasons warranting reduction or waiver of tax payable in accordance with the requirement of subsection (3), direct that a lesser amount be paid or waive the required tax deposit.