Tanzania Tax Tables 2024 - Tax Rates and Thresholds in Tanzania

This page contains the tax table information used for the calculation of tax and payroll deductions in Tanzania in 2024. These tax tables are used for the tax and payroll calculators published on iCalculator™ TZ, these tools are provided for your free use on our website. If you would like additional tax table information added to the tax calculators for Tanzania or would like to add to or suggest amendments to the information herein then please contact us.

Tanzania Personal Income Tax Tables in 2024

The Income tax rates and personal allowances in Tanzania are updated annually with new tax tables published for Resident and Non-resident taxpayers. The Tax tables below include the tax rates, thresholds and allowances included in the Tanzania Tax Calculator 2024.

In Tanzania, social security contributions made by employees are deductible from their gross income for the purpose of calculating taxable income. This means that the amounts paid by employees towards social security schemes, such as retirement benefits and health insurance, can be subtracted from their gross earnings before income tax is computed. This provision helps to lower the taxable income of employees, potentially reducing their overall tax liability and ensuring that their contributions towards social security are not taxed.

Tanzania Social Security and Payroll Deduction Rates in 2024

In Tanzania, the social security system is structured to provide various benefits to employees, including retirement, health insurance, and compensation for work-related injuries. Both employees and employers contribute to these social security schemes, which are managed by different funds designed to cover specific aspects of social welfare and protection. The contributions are mandatory, and the rates are defined by law, varying for different segments of the workforce.

Retirement Benefits

Contributions toward retirement benefits are a significant part of Tanzania's social security system. These funds are designed to provide employees with a stable income upon reaching retirement age, ensuring financial security in their later years. The retirement benefits scheme is supported by contributions from both employers and employees, and it operates on a defined benefit basis, where the payout is determined by the employee's salary and years of service.

Health Insurance

Health insurance contributions are another crucial component, providing employees and their dependents with access to medical services. This coverage includes outpatient and inpatient care, maternity services, and treatment for illnesses and injuries. The National Health Insurance Fund (NHIF) administers health insurance contributions, aiming to ensure that all employees have access to necessary medical care without facing financial hardship.

Workers' Compensation

The Workers' Compensation Fund (WCF) is responsible for managing contributions related to work-related injuries and diseases. Employers contribute to this fund, which provides compensation to employees who suffer from occupational injuries or illnesses. Benefits include medical care, rehabilitation services, and compensation for lost income during the period of incapacity.

Unemployment Benefits

While Tanzania's social security system does not currently offer comprehensive unemployment benefits, there are provisions for end-of-service benefits that act as a safety net for employees who lose their jobs. These benefits, funded through employer contributions, are meant to provide temporary financial support as the employee transitions between jobs.

Additional Benefits

Other social security benefits in Tanzania include maternity leave for female employees, which is funded through the social security contributions, ensuring women have financial support during maternity leave. There are also benefits for disability and survivorship, providing support to employees who become disabled and to the families of employees who die while in service.

The social security and payroll deduction system in Tanzania plays a vital role in providing a safety net for employees and their families. By mandating contributions from both employees and employers, the system ensures that workers are supported in various circumstances, from retirement and health care needs to work-related injuries. The government continues to refine and expand the social security system to better meet the needs of Tanzania's workforce.

Tanzania VAT Rates in 2024

VAT rates for Tanzania are reviewed annually, you can use the VAT Calculator to calculate VAT due in Tanzania or use the Reverse VAT Calculator to calculate the net cost of goods/services after deducting VAT.

Historic Tax Tables supported for Tanzania

The following tax tables are supported by iCalculator™ TZ as part of the suite of free tax tools we provide for Tanzania.