Gondwe G.E. and others, 1996, Tanzania—Selected Issues and Statistical Appendix, IMF Staff Country Report No. 96/133, Washington: IMF.
International Monetary Fund, 2000, Tanzania: Report on the GDDS Multisector Statistic Mission Prepared by the Statistics Department, Washington D.C.
International Monetary Fund, 2002, Tanzania: Report on the Observance of Standards and Codes—Fiscal Transparency Module, IMF Country Report No. 02/59, Washington: IMF (also available on http://www.imf.org/external/np/rosc)
Utz, Robert, 2002, Review of Fiscal Performance FY 2001/02: An External Evaluation, (presented at the Public Expenditure Review Meetings, May 9-10, 2002), Washington: World Bank.
Valentine, Theodore, 2002 Revisiting and Revising Tanzania’s Medium-Term Pay Reform Strategy: Final Report Public Service Reform Program (Dar es Salam.
Prepared by Annalisa Fedelino.
The fiscal year runs from July to June. While, to the extent possible, data cover the 1990s, the analysis will focus on the second half of the decade.
For an overview of liberalization and reforms in the first half of the 1990s, see Gondwe and others (1996). For recent progress in privatization, see Section V.
During the central planning period, revenue targets were usually met by using discretionary measures for public enterprises. See also Gondwe and others (1996).
This conclusion is tentative, since the availability of data on nonmonetary GDP is limited, and their accuracy doubtful.
This ratio is generally used as a measure of VAT performance and is defined as VAT revenue to GDP divided by the VAT rate. Tanzania’s efficiency ratio on nonpetroleum products of 16 means that a 1 point increase in the VAT rate would yield an increase of about 0.16 percentage point of GDP in VAT revenue (Ebrill and others, 2001).
The mining sector is exempted from paying taxes on petroleum, with the exception, as of July 2002, of excise duties, which are nonetheless refundable.
This measure was, however, accompanied by an increase in petroleum excises, so as to preserve the revenue base.
The number of tax bands was reduced from 12 to 5; the top rate was lowered to 30 percent, the same level as for the corporate income tax; and all cash allowances were made subject to income tax.
For details on income tax brackets and rates, see Statistical Appendix Table .
This tax is an advance payment on income tax (Statistical Appendix Table ).
The development budget basically consists of a list of sectoral projects, including their amounts and donor source. While part of the project funds are used for current outlays related to the specific project, all project amounts are classified under development expenditure.
While the 1998/99 Audit Report was published in December 2000, 18 months after the end of that fiscal year—or twice as long as the 9 months required by law—the tabling of the 2001/02 accounts in the National Assembly is expected by March-April 2003.
Debt and debt dynamics in Tanzania are covered in Section IV.
During 1998/99-1999/2000, the budget had to bear the costs of bank recapitalization (almost 3 percent of GDP over the period).