GROW YOUR BUSINESS IN TANZANIA
Have an enterprise level payroll department and a HRMS with Employee Self-Service at a per employee cost
Praxima Services Includes
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Full Payroll Outsourcing
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Hybrid Payroll Outsource
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International Payment Management
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Local Filing
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Social Security Filing
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Interact with Local Authorities
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Human Resources Management System
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Integration with all Accounting and Third Party
Software
Benefits of outsourcing to Praxima
Local Tax Compliance
Secure Data Transferring
Responsive Administrators
Increase Productivity
Industry Experts
Running Your Payroll
Focus on Your
Core Business
Outsource your Tanzanian payroll to Praxima
Payroll in Tanzania
Individuals resident in Tanzania, other than short-term residents are taxed on their worldwide income. Short-term and non-residents are taxed on their income derived from a Tanzanian source. Personal services have a Tanzanian source if the services are performed in Tanzania or outside of Tanzania if the employer of the government of Tanzania.
TAX RATES | 2022
Taxable income in Tanzanian Shilling (TZS)
TZS Tax Rate
0 – 270,000 0%
270,001 – 520,000 9%
520,001 – 760,000 20%
760 001 – 1,000,000 25%
Above 1,000,000 30%
STATUTORY FILING | 2022
A tax year in Tanzania is a calendar year. By the 31st of March of each year an estimated income tax return along with payment of the first instalment for self-assessed income tax becomes due. Additional instalments of income tax becomes due by 30 June, 30 September and 31 December. On 30 June of the following year, a final return and payment of income tax becomes due. Withholding taxes must be paid within the first seven days of the following month.
SOCIAL SECURITY | 2022
The employer and employee are obligated to contribute 10% each of the employees’ gross salary to any of the approved retirement funds. A similar contribution rates apply to other schemes such as the Parastatal Pension Funds (PPF), however in the latter the employer contributes 15% and the employee 5%. A Skills and Development Levy is payable by the employer at a rate of 4.5% of the employee’s remuneration.
Since the beginning of July 2017 the following education institutions have been exempted from paying skills and development levy:
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Nursery, primary and secondary schools
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Vocational, educational and training schools
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Universities and higher education institutions.
The employers are also to pay an additional 0.5% or 1% of the total remuneration for public and private employers, respectively, to the Workers Compensation Fund.
Tax Residents
An individual will be considered a resident for tax purposes if he/she has a permanent place of dwelling in Senegal, or his/her center of interest is located in Senegal, or lastly, if the individual is present in the country for more than 183 days over any 365-day period. Residents are taxed on their worldwide income while non-residents will only be taxed on their Senegal-source income.
Taxable Income
All sources of income, such as wages, salaries, commercial or non-commercial activities and proceeds from agricultural are considered taxable income. Benefits-in-kind are taxable in accordance with the sales published by the tax administrator or in accordance with their fair market value.
Exempt Income
Diplomats and foreign consular agents will be exempt from tax on their income earned while exercising their diplomatic or consular functions, if their countries provides the same benefits to Senegal diplomatic and consular staff present.
Your HRMS is Standard
Employee Self-service
Payslip and tax certificate retrieval. Updating of personal particulars. Leave request and balance enquiries
Records
Employee documents folder. Training records. Heath & Safety records. Disiplinary records. Qualifications, resume and hiring records.
Work Flow
Workflow with different approval levels. Full work flow functionality for leave requests, expense and time-sheets
PAYMENTS, REPORTING & FILING
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Direct payment into employee bank accounts. Emailed password protected pay slips.
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Payment of taxes, benefit providers and other creditors.
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Filing of returns to the authorities.
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Generation and filing of statutory reports.
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General ledger and 100's of customisable reports.
