Tanzania’s Finance Bill 2026, presented to Parliament on 24 June 2026 by Finance Minister Ambassador Khamis Mussa Omar, takes effect on 1 July 2026 and amends 26 laws to implement the 2026/27 budget tax measures. The Parliamentary Budget Committee dropped the proposed 1% withholding tax on agricultural produce, the proposed 5% excise on motorcycles and on gambling stakes, softened excise duties on imported used vehicles, cut the SME presumptive tax to 4.0% from 4.5%, confirmed mining Framework Agreement tax incentives during the construction phase, and introduced a new 0.5% stamp duty on agricultural land transfers.
The most significant changes include the complete removal of the proposed 1% withholding tax on agricultural produce purchases, a softening of excise duties on imported used vehicles across all age brackets, the removal of a proposed excise on motorcycles and on gambling stakes, a cut in the SME presumptive tax rate to 4.0% from the 4.5% originally proposed, and the introduction of a legal framework for tax incentives to mining investors holding Framework Agreements with the government. The Finance Bill 2026 amends 26 separate pieces of legislation to give legal effect to the 2026/27 Government Budget approved by Parliament by 385 of 393 votes on 23 June 2026.
Read more at: https://www.tanzaniainvest.com/economy/finance-bill-2026-tax-changes
