Global Tax Alert | 22 August 2013
Tanzania requires business licenses in place by 31 December 2013
Tanzania’s Ministry of Industry and Trade recently issued the procedures necessary for businesses to register for or renew their business licenses on or before 31 December 2013.
In the Finance Act 2011, the Government of Tanzania reintroduced an annual Business License fee. However, the implementation was not effective on 1 January 2012 as provided in the Finance Act 2011, due to the fact that Government had to establish efficient and effective procedures to control the collection.
Prior to the Finance Act 2011, the Government of Tanzania had abolished fees for Business Licenses as a measure to improve the business environment, investment climate and to remove bottlenecks considered unfavorable in the business environment for the years 2004 to 2011.
In July 2013, the Permanent Secretary in the Ministry of Industry and Trade of Tanzania issued the General Public Notice in respect of the procedures for obtaining Business Licenses as per the Business Licensing Act No. 25 of 1972. All business people in Tanzania are required to renew their Business License on or before 31 December 2013.
Those with valid Business Licenses are advised to return to the relevant issuing authority to obtain the new Business License from those authorities. Going forward, the Business License shall be valid for a renewable period of twelve months.
Businesses not complying with this new procedure for obtaining a new Business License on or before 31 December 2013 will be subject to penalties and interest on late payment, effective from 1 January 2014.
For additional information with respect to this Alert, please contact the following:
Ernst & Young (Tanzania), Dar es Salaam
- • Silke Mattern
+255 22 266 7227
- • Eva Mwangoka
+255 22 266 7368
EYG no. CM3750