As you are all aware the Companies Act No.12 of 2002 was amended by the Finance Act 2020, introducing the concept of Beneficial Ownership (BO) aligning our identification protocols to international and regional standards. The intention is to “identify the person or persons who ultimately own or control a legal entity or arrangement, such as a company, a trust, or a foundation.”
On 2ndOctober 2021, The National Social Security Fund (NSSF) (“the Fund”)announced to grant amnesty to all employers with outstanding arrears of contributions and penalty. The amnesty is effective from 1stOctober 2021, and it covers all employers of statutory contributions and penalty for the period up to 30thJune 2021 on the following conditions: 16th July, 2021.
Zanzibar spearheads investment in the island as it introduces new incentives for approved investors who have been granted the status of Special Strategic Investor in Pemba following the amendments of the third and sixth schedules of the Zanzibar Investment Promotion and Protection Authority Act (No. 14 of 2018) published in the Zanzibar Government Gazette Vol CXXX No. 6914 of 16th July, 2021.
The Bill Supplement – Written Laws (Miscellaneous Amendments) (No.4) of June 2021 proposes to amend the Non-Citizens (Employment Regulations) Act Cap. 436 if enacted into law.
In its efforts to promote further investment in the Island and the need to diversify the economy of Zanzibar, the Revolutionary Government of Zanzibar (“RGoZ”) has called for Expressions of Interest from investors to invest in the surrounding small islands (“Islets”).
Who is a “Beneficial owner”?
The Companies Act Cap 212 defines a “beneficial owner” as a natural person: –
- who directly or indirectly ultimately owns or exercises substantial control over an entity or an arrangement;
- who has a substantial economic interest in or receives substantial economic benefit from an entity or an arrangement directly or indirectly whether acting alone or together with other persons;
- on whose behalf an arrangement is conducted; or
- who exercises significant control or influence over a person or arrangement.
The Finance Act, No. 8 of 2020 came into force on 15th June, 2020. The Act amends a number of provisions of different laws, which include the Tanzania Revenue Authority Act (Cap. 399), the Tax Administration Act (Cap. 438), the Value Added Tax Act (Cap. 148), and other laws. In this article, we shall point out the changes that the Finance Act has made to the Tax Administration Act, which has been amended in the following ways.