Tanzania Makes It Pricier To Slap On That Wig With New Tax

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Is about that time Tanzania women just chop off their hair or join their Kenyan women in keeping their hair natural.

Tanzania’s Minister of Finance and Planning Philip Mpango, who was tabling the 2019-2020 budget in Parliament on Thursday proposed new taxes for locally manufactured, imported wigs and hair extensions which are a with for women in the country.

The finance minister told the parliament that wigs manufactured locally will now pay 10 per cent tax whereas imported ones will attract 25 per cent tax. The minister also reinstated Value added tax on sanitary towels claiming that the exemption which was announced last year has not helped to reduce the prices.

Additionally, baby diapers in Tanzania will now have a zero customs duty on raw materials used in the production in the country for one year could reduce the cost of locally manufactured diapers. Initially, the raw materials attracted a 10 per cent however imported diapers will attract a 25 per cent customs duty.

“It is also the expectation of the government that the beneficiaries of these tax exemptions will produce these vital products for the health of children and sell them at a cheaper price so that most Tanzanians can afford them,” he said.

Tanzania also has proposed to amend the road safety law cap No 168 so to increase the validity period of drivers’ licenses from three to five years. Dr Mpango said the aim of the proposal is to reduce cost used in printing new drivers’ licenses every three years, yet the licenses can last for more than five years. The vehicle registration fee was also increased from to Sh50, 000 from Sh10, 000, tuk-tuk from Sh10, 000 to Sh30, 000 whereas bodaboda from Sh10, 000 to Sh20, 000.

The transport sector will be among the revenue generators for both Kenya and Tanzania, as Kenya proposed third party insurance cover by bodaboda riders to protect pedestrians and passengers.

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