WITHHOLDING TAXES

TRA INFORMATION SYSTEMS MATTERS 1

TRA INFORMATION SYSTEMS MATTERS
Scope.

• Processing of Withholding taxes

• Function of Withholding Agent.
• Preparation of Tax Certificates
• Function of Withholdee
• MIS Reports
Automation of Withholding taxes
 Processing of Withholding taxes will involve:
Revenue Gateway System and allied TRA Systems,
 Withholding Agent shall declare tax withheld by
recording/uploading every transactions  on
RGS.
 At the end of the month Withholding Agent
shall cause a certificate be generated by RGS.
 Certificates for each withholdee will base on
every transactions made during the month.
 Certificates shall be put on hold until payment
of tax is detected in the RGS.
 Once payment is made, RGS will update ITAX
system using  withholdee’s TIN
 ITAX will do accounting of such revenue basing
on the TIN location of withholdee.
 Part payments of tax withheld are not allowed.
Whole sum of withheld taxes will be paid to
TRA
 RGS will enable printing services and
simultaneously send email to Withholdee
informing the status of tax withheld and
certificate thereof.
 Withholding agent will be allowed to print
Certificates;
 Withholdee will as well access and print
certificates from RGS on demand.
Withholding statements

 On the other hand, the E-filing system will be

used by Withholding Agents when submitting
semi-annual Withholding statements to TRA
 Statements will show all withholding
deductions made during the period.
 Requirement of signing a return shall be
fulfilled as the system will use signature of
the withholder.
 The signature shall come from the TIN
database using one of the directors of the
entity or of the owner.
 Signature captured during registration of
biometric (AFIS) system will be used.

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Return of Income

 At the end of the year; withholdee shall file to

the Commissioner, a return of income
 Withholdee shall claim all non-final
withholding taxes deducted during the year.
RGS support Decision Making

 Using data available in the RGS (and ITAX),

Commissioner shall make an informed
decision either to allow such claims from
withholdee or not.
 In case of discrepancies detected,
Commissioner may reject claim and add
them back as tax to be paid by issuing an
Adjusted Assessment and serve it to
withholdee as required by the law.
 AGENT
TRA AGENT

AGENT
TRA
AGENT

WITHHOLDEE TRA
 AUTOMATION OF WITHHOLDING TAXES:
Payments, Certificates and Statements
OTHEREND
SYSTEMS
OF
Agent
Agent
Withholde
MONTH: gets
Fills
Withholderin the
sends
Control
Agent#
rWithholder
access
necessary
File
Register
Certificate
andRGS:submit
initiates
consolidate
info for
Statement
to every
WITHHOLDE
payment
Withholdi
payment
tax withheldon Withholding
(6transaction
Months) R
Withholde
ng
RGSto
base on
made Certificate Creates
ecommercial
via email
interface
certificates charge in
bankin a
issued taxpayer
month RGS account
Withholding transform
Payment to
Statement s and
COMMERCIA
BOT
L BANK
validates
the Commission
Commission
er
message updates Withholde
er Issues
Allow/Disallo
ITAX e Profile
REV
Inform
Acknowledg
RGS Acknowledgeme
wAdjusted
tax credit
RGS
updates
Acknowledg
Updates from
ee
Generate
ENU
Withholder
Validates
Payment
withholdee’
Receipt
taxpayerE of
ntTINof
Assessment
on Return
issues
Certificate
as saved
withholdee
to Income
s account
taxpayer
Statement
GAT
No.
Control#
transaction
Withholder
details
EWA
TISS account
WITHHOLDE Y
updates
BOT
E
RGS on
Payment
RGS
activates
printing of
Certificate
Withholdee’
Files Return
WITHHOLDE
WITHHOLDE
s Certificate
of Income:
EE
Claim tax
withheld
 Withholding Taxes
 RGS
 Screen shorts of the RGS under Withholding
Taxes Menu
 https://gateway.tra.go.tz
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Under the Withholding tax Menu, taxpayer will
be able to,
Add transaction batch,

View/edit batch,

Add withholding tax deduction by batch,

Upload withholding taxes deduction,

View/edit withholding taxes deduction,

Generate withholding taxes certificates,

View withholding taxes certificates as

withholder and withholdee, view withholding

taxes due and batches, etc. 18
 Branch creation
 Withholder with Branches should first add
Branches in the RGS
 Under the menu Option
 select add Branch

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Withholding Taxes menu

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Record Withholding Taxes

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Confirm deduction

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Generate Withholding Taxes cert

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 When Generation is complete, you may
Create Order Form (Control Number)

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Register for payment

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View Withholding Taxes Cert

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View Withholding Taxes due

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WITHHOLDING TAXES CODES

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LIVE DEMO

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