Tanzania: Japan Commits to TCP with TRA on Oil, Gas Taxation Capacity

Posted on :Friday , 25th March 2016

JAPAN has expressed its commitment to a new technical cooperation project with Tanzania Revenue Authority (TRA) in enhancing training programmes on minerals, oil and gas taxation.

The new pledge came after the completion of the four-year project dubbed 'Project for Enhancement of Taxation Training in Tanzania, which reached its climax yesterday.

TRA has with Japan International Cooperation Agency (JICA) support been implementing the 3.5 million US dollar (7bn/-) project since February 2012 with the aim of enhancing the technical capacity of TRA personnel, according to Acting Director of Human Resources and Administration Department Victor Kimaro.

According to him, the project was being implemented through strengthening of the training capacity of TRA arm -- the Institute of Tax Administration (ITA).

The Chief Representative of JICA Tanzania, Mr Toshio Nagase, said after proper implementation of the four-year project; Japan has decided to start a new technical cooperation project in Japanese fiscal year 2016 through the agency.

"JICA headquarters will send a project designing mission within this year.

Thereby, the relationship between TRA and JICA would be further deepened while tax administration system will further be improved," he noted.

Mr Nagase pointed out that in a move geared towards mobilisation of domestic resources through tax reforms, Phase Two of the project would focus on new areas like oil and gas in order to widen the tax base and streamline tax administration.

The JICA chief representative commended the Fifth Phase Government move to reduce donor dependence in the coming budget. According to Mr Kimaro, numerous achievements had been attained during the four years of cooperation between TRA and JICA.

"In total, 608 TRA staff has been trained so far in the project, including the 373 who were trained in specialised training courses at ITA; 31 in countryfocused training programmes in Japan and 54 in training of trainers' courses.

The remaining 150 have been trained through seminars and workshops on international taxation, Base-Erosion and Profit Shifting (BEPS) and on taxation of oil and gas," he explained.

ITA Rector Professor Isaya Jairo observed that with the recent discovery of oil and gas in the country, the second phase of the project scheduled for this year would help more TRA personnel to attain important skills on taxation of oil and gas.

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