Tanzania VAT Calculator

VAT (Value Added Tax) in Tanzania is charged at a standard rate of 18%. Businesses with annual turnover above TZS 200 million must register for VAT, charge it on taxable supplies, and file monthly VAT returns by the 20th of the following month. The Tawala VAT Calculator adds VAT to a net price or extracts VAT from a VAT-inclusive price.

How Tanzanian VAT works

Supply type	VAT rate
Standard supplies (most goods & services)	18%
Exports of goods and qualifying services	0% (zero-rated)
Financial services, education, health (selected)	Exempt

The difference matters: zero-rated supplies allow input VAT recovery; exempt supplies do not.

Who must register for VAT?

Businesses must register for VAT if any of the following apply:

• Annual taxable turnover exceeds TZS 200 million; or
• You expect to exceed that threshold in the next 12 months; or
• You are a professional services provider above the lower threshold of TZS 100 million; or
• Voluntary registration — common for B2B businesses to recover input VAT.

Adding vs. extracting VAT

• Add VAT: Net × 1.18 = Gross. Example: 100,000 × 1.18 = 118,000.
• Extract VAT: Gross ÷ 1.18 = Net. Example: 118,000 ÷ 1.18 = 100,000. VAT element = 18,000.

VAT filing deadlines & penalties

• Monthly VAT return: File and pay by the 20th of the following month via TRA online.
• Late filing penalty: Higher of TZS 75,000 or 2.5% of tax due, plus interest.
• VFD requirement: All VAT-registered businesses must issue VFD-generated fiscal receipts on every taxable supply.