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The Tax Reserve Certificates Act

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©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.321
CHAPTER 374
THE TAX RESERVE CERTIFICATES ACT
[PRINCIPAL LEGISLATION]
Arrangement of Sections
Section Title
1. Short title.
2. Interpretation.
3. Issue of certificates.
4. Purchase of certificates.
5. Registration of Purchase and transfer.
6. Satisfaction of tax by certificates.
7. Interest.
8. Certificates not normally transferable.
9. Maximum holdings.
10. Redemption by registered holder.
11. Redemption by Commissioner.
12. Issue of duplicate certificates.
13. Devolution of powers and duties of Accountant General.
14. Surrender for certificates of less value.
15. Proceeds of certificates to form part of general revenue.
16. Certificates to be deemed cheques.
17. Regulations.
18. No derogation from Act.

lue.
15. Proceeds of certificates to form part of general revenue.
16. Certificates to be deemed cheques.
17. Regulations.
18. No derogation from Act.

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.322
1. This Act may be cited as the Tax Reserve Certificates Act. 2. In this Act, unless the context otherwise requires-
“Accountant General” in relation to any power or duty to be
exercised or performed under this Act, includes any person to
whom that power or duty has been delegated under section 13;
“Act” means the Income Tax Act;
“Commissioner” means the Commissioner General
appointed under the Tanzania Revenue Authority Act;
“Minister” means the Minister responsible for finance;
“prescribed” means prescribed by regulations made under
section 17;
“registered holder” means a person registered as the holder
of a certificate pursuant to section 5;
“tax” means income tax and surtax charged under the Act. 3. The Minister may issue, and may regulate the issue of tax
reserve certificates in any form and of the denominations and
subject to any conditions which he may prescribe. 4. A person, on making application in the prescribed manner
to the Accountant General and on paying an amount equal to
its face value, shall be entitled to purchase certificates.

cation in the prescribed manner
to the Accountant General and on paying an amount equal to
its face value, shall be entitled to purchase certificates.

Short title
Interpretation
Act No. 16 of 1983 s. 56
Cap. 332
Cap. 399
Issue of
certificates
Act No. 16 of 1983 s. 57
Purchase of
certificates
CHAPTER 374
THE TAX RESERVE CERTIFICATES ACT
An Act to provide for the issue of Tax Reserve Certificates and for the
satisfaction of liability for tax and for related matters. [25th May, 1956]
Ords. Nos. 17 of 1956
36 of 1956
21 of 1958
[R.L. Cap. 374]
Act No. 16 of 1983

sfaction of liability for tax and for related matters. [25th May, 1956]
Ords. Nos. 17 of 1956
36 of 1956
21 of 1958
[R.L. Cap. 374]
Act No. 16 of 1983

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.323
THE TAX RESERVE CERTIFICATES ACT [CAP. 374 R.E. 2023]
5. The purchaser and, in the case of a transfer, the transferee of
a certificate shall be registered by the Accountant General as its
registered holder in the prescribed manner. 6. It shall be lawful for the registered holder to transfer in
the prescribed manner to the Commissioner, and for the
Commissioner to accept, any certificates at their face value in
payment of the whole or, as the case may be, of part, of any
amount due or payable in respect of any tax.

ept, any certificates at their face value in
payment of the whole or, as the case may be, of part, of any
amount due or payable in respect of any tax.

7.–(1) Subject to the provisions of section 10, there shall be paid
on the face value of any certificate interest at the prescribed rate
for every completed month commencing on the first day of the
month next following the date of its purchase and ending on
the last day of the month-
(a) immediately preceding that in which it is transferred in
payment of tax pursuant to section 6;
(b) immediately preceding that in which it is surrendered
pursuant to subsection (2) of section 10; or
(c) which completes a period of three years after the first
day of the month next following the date of its purchase,
whichever is the earlier. (2) Interest payable under the provisions of subsection (1)
of this section shall be paid by the Accountant General-
(a) in the case of a transfer to the Commissioner pursuant
to section 6, to the registered holder who so transfers
it, on receipt by the Accountant General of notification
in the prescribed manner of the transfer; and
(b) in the case of a surrender to the Accountant General
pursuant to section 10 (where the Minister has
authorised the payment of interest), to the registered
holder who surrenders it, on its surrender.

eral
pursuant to section 10 (where the Minister has
authorised the payment of interest), to the registered
holder who surrenders it, on its surrender.

(3) Where a certificate is transferred in payment of tax on
or before the due date for payment within the meaning of
the Act, that certificate shall, for the purposes of paragraph
(a) of subsection (1) of this section, be deemed to have been
transferred on the day following that due date for payment. Registration of
Purchase and
transfer
Satisfaction of tax
by certificates
Interest
Ord. No. 21 of 1958 s. 2;
Act No. 16 of 1983 s. 57

ate for payment. Registration of
Purchase and
transfer
Satisfaction of tax
by certificates
Interest
Ord. No. 21 of 1958 s. 2;
Act No. 16 of 1983 s. 57

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.324
THE TAX RESERVE CERTIFICATES ACT [CAP. 374 R.E. 2023]
8.–(1) Save as is provided in section 6, a certificate may not
be transferred to any person unless the Accountant General,
being satisfied that the transfer is necessary for the avoidance
of undue hardship to any person or is in the public interest, has
given his prior consent in writing:
Provided that, nothing in this section shall prevent the
transfer or transmission of a certificate by operation of law or
the attachment or sale of any certificate in execution of any
decree. (2) On the transfer or transmission of a certificate pursuant
to the provisions of this Act or by operation of law or on the
sale of any certificate which has been attached in execution of
any decree, the transferee shall notify the Accountant General
of the transfer in the prescribed manner. (3) On the transfer or transmission of a certificate, otherwise
than to the Commissioner pursuant to section 6, the transferee
shall pay the prescribed fee to the Accountant General.

ion of a certificate, otherwise
than to the Commissioner pursuant to section 6, the transferee
shall pay the prescribed fee to the Accountant General.

The Tax Reserve Certificates Act

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