Tuesday, December 15, 2015

TPA refutes allegations, but admits tax evasion at Dar port



The Tanzania Ports Authority (TPA) has strongly refuted claims that tax evaders use gate number 5 at the Dar es Salaam port to clear their containers without paying tax and that all containers destined for Inland Container Depots (ICDs) were cleared from the port without paying tax. The statement which was issued last week in Dar es Salaam by the TPA’s Corporate Communication Manager, Janeth Ruzangi, denounced media reports that tax evaders exclusively used gate number five and explained that; “containers destined for Inland Container Depots (ICDs) are cleared from the Dar es Salaam port without tax payment.” She went on to dismiss the media reports, deeming them misinformation to the public. “Assessment of all taxes are made when the containers are within the ICDs,” she detailed. According to her procedurally, gate No. 5 is special for clearance of containers going to the ICDs...” and “...customs procedures of the Tanzania Revenue Authority (TRA) demand that all containers that go through gate 5 be cleared without paying tax.” 


Newly elected Tanzania's Prime Minister Kassim Majaliwa Kassim
 
The statement holds firm that according to TRA procedures all containers that carry local cargo must go straight from the port to ICDs for tax assessment. “Therefore, no tax evasion arrangements can be made and effected at this gate because TRA procedures demand that cargo must be cleared without paying tax,” she emphasized. The statement also clarifies that containers having transit cargo remain at the port and no taxes are charged on transit cargo, rather they are charged port duties and levies. Recently, the Prime Minister, Kassim Majaliwa paid an impromptu visit to inspect the port’s receiving and clearing cargo system following reports that 2,431 containers went missing without paying taxes. According to an official in the Prime Minister’s Office, a detailed study of the report previously prepared by the port authority in connection with the fraud is underway to expose all those who are implicated for appropriate action to be taken. “Serious inquiry about the containers that vanished from the port.

Govt revokes over 1000 NGO licenses



The government has revoked operational licenses of more than 1,000 associations countrywide for violating registration rules in the ongoing crackdown that started in May this year on culprits who, among others, would deny the government revenues from tax collection. “We have managed to deregister 1,268 companies. Companies need to fulfill all the registration requirements to allow their operation in the country,” Ministry for Home Affairs’ Spokesperson Isaac Nantanga said early this week in Dar es Salaam. He said the government continues with the verification exercise involving 12,665 registered associations across the nation, taking violators to task though a grace period of 21 days has also been extended to allow 1,406 associations to meet the registration requirements. The requirements include unconditional adherence to ethics, submission of the annual performance, accountability and financial report and payment of annual fees to the Registrar’s Office as per the law governing operation of Non-Governmental Organisations (NGOs). He said all the registered associations were obliged to abide by the laws governing their operations, including a respect to cultural and traditional values of the society in which they operate to avoid misunderstandings and social conflicts. However, accountability has always been a challenge in the operation of the associations despite effectiveness of the law on registration, he said, citing short of conducive environment as a motive behind non-accountability.  “The government will put in place good environment for NGOs operations,” he voiced the pledge, saying it has already adopted the Code of Conduct to enable NGOs to govern themselves.

Government to save money from the small cabinet formed



As the recently elected fifth phase Tanzania’s President John Magufuli has already announced his small and well organized cabinet ministers, the government would be saving Sh11.5bn/- this financial year following the small number of ministers and their deputies which is 34. The previous fourth phase government had at least 55 ministers including their deputies who have so far been slashed to only 34. The move has come with a view to cutting costs and making ministers more effective and responsive to the needs of the population, as part of measures to reduce cost overheads in the public service. It is said that, with this cross cutting measures, the government would save around Sh. 1.2 billion which would be used to pay salaries for ministers and deputies, to buy Land Cruiser V8-VX, vehicle service and fuel cost and housing allowances. The money could be used to serve 11 ministers and 10 deputy ministers, before the president decided to merge some of the departments and state-owned enterprises under enlarged ministries. It is said that, the amount which would be used to buy a brand new Land Cruiser V8-VX is said to be around $200,000 per vehicle, equivalent to Sh. 432,430,000/- and its maintenance costs billed to stand at Sh. 0,136,676,000/- for all eleven pruned ministers and 10 deputy ministers. Housing allowance for one minister is put at Sh. 800,000/- per month as well as deputy ministers, in which case a total of Sh. 201,600,000/- would be spent for that purpose annually. Fuel expenses for a single minister is put at Sh. 1, 823,000/- per month and for all 11 ministers and 10 deputy ministers, their total fuel cost allocation would be Sh. 459, 396,000/- per year. It is also noted that car service costs per minister is around Sh.1.8 m/- per servicing charge, in which case about Sh. 599, 400,000/- be required in maintenance charges for the total group of 11 ministers and 10 deputy ministers. Similarly, a minister receives about Sh. 3.8 m/- as basic salary, where the government would be paying Sh. 957, 600,000/- per year for the slashed ministers and deputy ministers. However, some commentators have said that the decision to merge some of the ministries would hamper coordination of duties which is vital to ensure greater efficiency and service delivery. One of the critics, former Deputy Minister of Lands, Housing and Human Settlements, Goodluck ole-Medeye said that that decision will not reduce costs in the government but add more costs due to the structure of the cabinet and its performance. Ole-Medeye was quoted by the meduia as saying that ministers receives Sh. 3.8 m/- in salary, the same amount for members of Parliament, while the government adds some Sh500,000/-  in the minister’s package. Another nominal cost the minister added is Sh. 800, 000/- as housing allowance which he believes will not have any impact in the national budget since performance of the lean cabinet will increase costs. “The structure of government will increase costs because the decision to merge ministries will lead to underperformance, for example having a Disaster Commission at the Prime Minister’s Office and a firefighting force. They will perform the same duties so it is advisable to merge those departments under one ministry,” he said. Another commentator, Prof Simon Mbilinyi who served as Finance Minister from 1995 to 1996 said Dr Magufuli’s decision to slash the number of ministers will reduce costs the government incurs. In previous leadership the country had a huge number of ministers who do not have much work to do and instead they were selected by former presidents to protect party interests or recognition of support rendered during election campaigns. “We have seen ministers receiving a lot of incentives including large amounts of salary, allowances, use expensive cars, etc. and do nothing in return. Commenting on the issue, Trade Union Congress of Tanzania (Tucta) secretary general Nicholas Mgaya said that this decision will reduce the cost of running the cabinet as a lot of money has been used to buy ministerial cars, to pay housing allowances and expenses paid to minister’s assistants such as house maid and drivers.

Thursday, December 10, 2015

Magufuli names his cabinet ministers



PRESIDENT John Magufuli unveiled a lean cabinet of 18 ministries that will have 19 ministers and 15 deputies. The president, however, did not name four ministers for the Finance, Education, Natural Resources and Tourism and Works portfolios, saying he would do after deciding on whom to fill the remaining slots. President Magufuli’s cabinet comprises mostly of new faces and only seven ministers from the previous Fourth Phase government who have made a comeback. He said some ministries will have two deputies while the rest will have only the minister to take care of them. Addressing a press conference at the State House in Dar es Salaam, the president, flanked by the Vice-President, Ms Samia Suluhu Hassan, the Prime Minister, Mr Kassim Majaliwa, and the Chief Secretary, Ambassador Ombeni Sefue, said the leanness of his cabinet is a result of his government’s focus on public service delivery efficiency and cost-cutting. “There is about 2bn/- that was set aside for a retreat for the ministers and their deputies... there will not be any retreat this time around… the money will be redirected to other development projects such as purchase of desks in the education sector,’’ he emphasized. Among the ministers and deputies who made a comeback from the previous phase are Mr George Simbachawene, Mr William Lukuvi, Dr Harrison Mwakyembe, Dr Hussein Mwinyi, Prof Sospeter Muhongo, Mr January Makamba, Ms Jenista Mhagama, Mr Mwigulu Nchemba, Ms Ummy Mwalimu and Mr Charles Kitwanga. Mr Simbachawene, former Minister for Energy and Minerals, and Ms Angellah Kairuki, former Deputy Legal and Constitutional Affairs Minister become ministers of State, President’s Office, Regional Administration, Local Government, Civil Service and Good Governance. They will be assisted by Kisarawe MP Suleiman Jafo, who has been appointed deputy minister. Former Deputy Minister for Communication, Science and Technology, January Makamba has been appointed Minister in the Vice-President’s Office (Union and Environment) with Mr Luhaga Mpina picked his deputy. Former Minister of State in the Prime Minister’s Office (Policy, Coordination and Parliamentary Affairs) Jenista Mhagama will now be a Minister in the Prime Minister’s Office (Labour, Employment, Youth and People with Physical Disabilities), assisted by Mr Anthony Mavunde and Dr Posi Abdallah, who has also been nominated as MP by President Magufuli. 


Tanzania's President John Magufuli.

Dr Abdallah was a lecturer at the University of Dodoma. Former Deputy Minister of Finance, Mr Nchemba has been appointed the Minister for Agriculture, Livestock and Fisheries and will be assisted by Mr William Ole Nasha. Mr Lukuvi has retained his portfolio as the Minister for Lands and Human Settlement Development and will be assisted by Ilemela (Mwanza) MP, Ms Angelina Mabula. The Minister for East African Cooperation in the outgoing Cabinet and lawyer and journalist by profession, Dr Harrison Mwakyembe, becomes the Minister for Constitution and Legal Affairs. Dr Hussein Mwinyi has retained his former portfolio as the Minister for Defense and National Service, while Mr Charles Kitwanga becomes Home Affairs minister. Prof Sospeter Muhongo returns to the Ministry of Energy and Minerals that he previously served in, to be assisted by 47-year old former Director of Legal Services in the same ministry, Mr Medard Kalemani. In perhaps one among the much and eagerly-awaited cabinet appointments, President Magufuli has nominated former Tanzania Permanent Representative to the United Nations, Dr Augustino Mahiga, as MP and Minister for Foreign Affairs and East African, Zonal and International Cooperation portfolio, to be assisted by Dr Susan Kolimba. Charles Mwijage becomes the minister for Trade and Industries, while Ummy Mwalimu is now the minister for Health, Community Development and Social Welfare. She will be assisted by Dr Hamisi Kigwangala. The youthful Nape Nnauye, among the new faces, becomes the Minister of Information, Culture, Artists and Sports, with Ms Anastazia Wambura as the deputy minister, while Mr Makame Mbarawa becomes the Minister for Water and Irrigation, assisted by Engineer Isaack Kamwela. Ministries that are yet to get full ministers but have deputy ministers are the Ministry of Education, Science, Technology and Vocational Training, whose Deputy Minister is Engineer Stella Manyanya, and the Ministry of Natural Resources and Tourism, that will have Engineer Ramo Makani. For the Ministry of Finance and Planning, the Deputy Minister is Kondoa Rural MP Dr Ashatu Kijaji, while Engineer Edwin Amandus Ngonyani becomes Deputy Works, Transport and Communications Minister.

UN agency to build capacity for law enforcers to curb GBV.



The United Nations Population Fund (UNFPA) has pledged to continue supporting Tanzania in the ongoing fight against Gender Based Violence (GBV) including building capacity for law enforcers. It renewed its commitment to support sexual and reproductive health programmes and protect the rights of women by among other things, engaging men and community leaders to change the discriminatory attitudes and social norms that allow abuse to persist. UNFPA Representative Dr Natalia Kanem said on Wednesday this week in Dar es Salaam during the commemorations of the 16 days of activism for ending Violence against Women and Girls that it is upon law enforcers, judiciary and police to appropriate and timely respond to the matter (GBV). “In most countries, fewer than four in 10 survivors of such violence seek help,” she noted.“ Globally, over 140 million girls and women have undergone some form of female genital mutilation. In developing countries, one in every three girls is married before reaching 18, and one in nine before 15,” she said.  She went on to clarify that violence against women and girls includes domestic and sexual violence, human trafficking and harmful practices, such as forced child marriage, gender-based infanticide and female genital mutilation which negatively affects women physically, sexually and mentally and can results into death.  



This is how men harasses their wives without caring for the gender equality.

The negative consequences are not only on women but also their families, the community and the country at large. They also cause tremendous costs, from greater health care and legal expenses and losses in productivity, impacting national budgets and overall development.  Themed: “From Peace in the home to Peace in the world: Make Education Safe for All” the commemorations advocacy on ending violence against women should be a priority for every human and not only a women’s issue alone since it affects all people. “As the dignity and wellbeing of humanity is at risk, peace, security and sustainable development will remain out of reach,” she said.  The Permanent Secretary for the Ministry of Community Development Gender and Children, Sihaba Mkinga commented that GBV is a violation of fundamental human rights and a major obstacle to development, a national challenge that needs to be tackled from all angles and at different levels, from family to community, national, regional and international levels. She said implications of GBV on women and girls are enormous and lead to health problems and death. She said available data shows that 44 percent of ever married women have experienced physical or sexual violence by their partners. One-third of Tanzanian women aged 15-49 experience physical violence in a year, according to surveys. They experience sexual, physical, emotional and psychological torture. “It is obvious, child marriage, female genital mutilation (FGM) and other forms of GBV deny girls and women right to education and the right to good health and economic growth,” she added.  She acknowledged that various government organs have been tirelessly fighting against the issue, including introduction of over 400 gender desks in key department areas.  Additionally, the government is signatory to various regional and international agreements on human rights and the Protocol on the Protection and Prevention of Sexual Violence on Women and Children in the Great Lakes Member States, 2006, to protect the rights of women and girls.