LISTENING to the sort of concerns raised by business stakeholders and trade union representatives in what appeared to be an inaugural meeting with the Presidential Task Force on Tax Reforms raises some questions. The key issue is whether objectives are similar, not to speak of their being identical, as in the final analysis that is an underlying premise of the team’s work. It can achieve its objectives if it will be talking to groups who share the same objectives with the government; in case of sharp disparities, nothing much can be expected.

That is precisely where the tone was being set, if the suggestions raised by city traders and even trade unions have much in common with enabling appropriate tax administration where the Tanzania Revenue Authority (TRA) is largely assured of reaching its objectives. Changes and directives being issued by President Samia Suluhu Hassan since taking office were geared to that purpose: collect taxes in a civil manner, and compliance rates will rise. It is not easy to say if tax administrators believe that is workable so it poses challenges.

The business stakeholders for instance decried excessive tax deductions and a lack of professionalism in tax collection which translates into high rates demanded and definitely, with forceful application. If that is indeed the case, and aware that it has taken upwards of three years for presidential directives on tax collection to be effected- not quite implemented, as it appears -   the issues comes up as to the basic reason. It comes to the supposition that TRA seeks to fulfill tax collection goals on a daily basis, and knows the methods.

To many people, in the sense of those marginally aware of government budgeting and the degree to which is depends on TRA performance, it is likely they may give the benefit of doubt to the tax collector, grudgingly perhaps. For TRA to actually observe the kind of administrative procedure that most contributing stakeholders demand, it will have to be clear to the management there that it is their behaviour which will judge them, not goal realization per se, It means they could slip up on the goals and all will be well in Treasury.

That isn’t exactly assured at the moment, as the government knows that it will also be judged harshly at the ballot box in case promises made in past elections are pending on council tables, and little has been done. It is not a matter of sequencing projects as districts aren’t in the habit of waiting for one another,  thus the government has to start implementing as many projects as it can, and then sequence deliveries of funds for its different phases. It thus has little in the way of options on how taxes ought to be collected, but collecting them.

What may also not come up in current discussions on the issue, as it is outside the usual purview of tax issues as well as budgeting in general, is that not all countries privilege tax collection statistics as the item of reference as to the performance of the government. Regular watch on international television shows that not just the US stock exchange but financial markets everywhere wait for US Labour Department monthly company hiring data. A lower figure than expected ignites a shiver, as gold or bitcoin speculators celebrate. That means ending a public sector laden economy, slash taxes and let markets work.