TRA deadline on Sim card tax elapses today

The 14-day ultimatum issued by the Tanzania revenue Authority (TRA) to mobile phone companies to remit the controversial Sim card tax elapses today.

The Finance Act of 2013 imposed a Sh1,000 monthly excise duty on Sim cards, to be deducted by mobile phone companies from customers and remit the same to TRA.

This did not go down well with mobile phone firms and opposition politicians. The firms have yet to start submitting the tax, which became effective on July 1.

In a letter dated September 12, TRA Commissioner General Harry Kitilya (pictured) urged mobile phone companies to remit the cash that the firms were supposed to have deducted from airtime bought by their customers. If they failed to do so, he warned, the money would be collected “in line with the provisions of the law”.

Mr Kitilya also urged mobile phone firms to start remitting excise duty on money transfers at the rate of 0.15 per cent of the amount transferred for amounts more than Sh3,000.
Source: The Citizen, reported from Dar es Salaam, Tanzania
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