Tanzania: "Control Tower Companies Steal Billions In The State"



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SOME local tour operators are suspected of having dissolved their registered companies, opting to use proxy safari companies in continuous snowshoes to avoid paying taxes.

Between 4 and 20 July 2018, agents of the Tanzanian Revenue Authority (TRA) who camped at the Loduare Gate discovered over 500 independent operators who were conducting business under the guise of the names of 39 legitimate businesses.

Loduare Gate is the entrance to the Ngorongoro Conservation Area and Serengeti. National Park. Mr. Elija Mwandumbya, TRA's Tax Administration Commissioner, revealed that during the two-week surveillance mission at the door, they discovered that most passenger vehicles bore the label of Legitimate businesses but were actually operated by independents. 19659005] Without revealing the actual amounts, Mr. Mwandumbya declared through these rackets that the government was losing billions of shillings because the freelancers were not paying taxes, but were simply paying ticketing fees. "Twenty-two hundred people and companies are engaged in tourism, including tour operators and hotels, of which 1403 are based in the North Zone."

However, 500 operators are not listed anywhere, yet they earn as much, For his part, Mr. Jovinus Rugemalira, TRA's tax assistant at the Loduare gate, said that many freelance drivers who brought visitors to the parks sometimes recorded false information regarding the number of visitors to the park. their vehicles or the length of their stay in these destinations.

"The majority does not have a contract of employment with the companies they claim to represent, so we make sure that the companies", a- he declared.

One of the independent tour guides, Mr. Reginald Matemu, said, "We are anxious to pay. Mr. Matemu congratulated the TRA officials for conducting the inspection by stealth without alerting foreign visitors in the vehicles.

] Tanzania has over 250 travel agencies that are listed with the Tanzanian Tour Operators Association (TATO) in Arusha.

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