In force 💡 FYI Compliance

Tanzania swaps a VAT Act section 11 proviso for a condition the Minister can set by Gazette order

This page records one dated change. For the rules in Tanzania as they stand today, see the Tanzania guide →

Jurisdiction
Tanzania
Tax
VAT
Change type
Compliance
Status
In force
Impact
FYI
Announced
30 June 2026
Effective
1 July 2026
Instrument
TZ-FA-2026
Authority
Parliament of the United Republic of Tanzania (Bunge)
Systems
Reporting
Verified
Fetched from official source · high confidence
Who this affects

Anyone whose position under section 11 of the VAT Act already depends on the conditions listed there — the population is unchanged for now. What changes is that the Minister gains a standing power to add a further condition by Gazette order at any time, without a further amendment to the Act.

What to do

If you defer VAT on imported capital goods in Tanzania, note that approval now carries a further condition the Minister may prescribe by Gazette order, and that the proviso at the end of section 11(1) has been deleted. Watch for the order; no such order has been identified.

Reporting

The change

Section 93 of Tanzania’s Finance Act, 2026 (Act No. 2 of 2026) amends section 11 of the Value Added Tax Act (Cap. 148), which governs the deferral of value added tax on imported capital goods. It deletes the proviso appearing at the end of subsection (1), and adds a new paragraph (e) to the conditions on which the Commissioner General approves a deferral application, providing that, where applicable, the person has fulfilled the requirements as the Minister may, by order published in the Gazette, prescribe.

What changed in detail

Section 93 of Tanzania’s Finance Act, 2026 (Act No. 2 of 2026) amends section 11 of the Value Added Tax Act (Cap. 148) in two moves: it deletes the proviso that had appeared at the end of subsection (1), and it adds a new paragraph (e) to the list of conditions in that subsection, stating that, where applicable, the person has fulfilled the requirements as the Minister may, by order published in the Gazette, prescribe. The change took effect 1 July 2026.

What it means

This is a small edit with an open-ended effect: it removes one fixed condition and replaces it with a delegated power. Nothing changes on the ground until the Minister actually issues a Gazette order under the new paragraph (e) — the Finance Act itself does not say what that order will require. The honest reading is that Tanzania has handed the Minister a lever over section 11 whose content is not yet known; the thing worth monitoring is not this amendment but whatever Gazette notice follows it.

Proof

“(e) where applicable, the person has fulfilled the requirements as the Minister may, by order published in the Gazette, prescribe.”.
The Finance Act, 2026 (Act No. 2 of 2026) — Parliament of the United Republic of Tanzania (Bunge) · captured 31 August 2026
Screenshot of Parliament of the United Republic of Tanzania (Bunge) captured 31 August 2026, showing the quoted passage Source snapshot of the official page. Open full size ↗

Archived from the official distribution · polis.bunge.go.tz

Sources

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