Basing on the current system, taxpayers are required to pay taxes through banks and submit evidence of payments to TRA.The following are modes of payments
Revenue gateway and tax banking
TRA has taken a number of initiatives to modernize its operations through automation and improve the quality of services provided to the Taxpayers.
In order to have secure and efficient payment systems, the two institutions; BOT and TRA agreed to develop the interface that will improve the process of revenue collections and achieve straight through process (STP) between TISS-CBS at BOT and EPICOR, ITAX and TANCIS at TRA.
Revenue Gateway is an intelligent software interface designed and developed to improve the process of revenue collections by achieving STP between BOT and TRA, and Commercial Banks.
The Gateway shall be used for three modes of payments:
TISS Payments revenue going direct to Bank of Tanzania (SWIFT Messages)
Tax bank payments reflected directly into specific TRA Systems, revenue transferred to BOT made later
HOW IT WORKS?
The Gateway will enable taxpayers to register intention to pay tax online from TRA portal.
Taxpayer will select mode of payment TISS);Upon submission, the RG shall generate pay slip and assign a unique control number ;The Control number, which is eight (8) digits, will be used for reconciliation between TRA and Commercial Banks; The taxpayer shall then submit a printed pay-in slip to the Commercial Bank and order the Bank to transfer tax to Commissioner’s account at BOT; Commercial bank shall receive a pay slip and command the transfer by initiating the transaction into SWIFT terminal by indicating the Control number of the slip; The Gateway shall receive transaction details in form of SWIFT messages from TISS and Gateway will validate and transform it; lastly Gateway will update respective revenue system through their web services.
The Gateway save time to taxpayers in payment process; improved accounting and analysis of Government revenue collection; Minimized human intervention; improved data integrity and speed up documentation process.
Also the Revenue gateway enhance Security - as concentrator of payment messages flow; Reduce Costs - as TRA shall maintain one interface to all commercial banks which will be easier to manage and maintain; payment procedures is made ease for taxpayer and receive acknowledgement every time when TRA receives payment.