By THE CITIZEN

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Tanzania's President John Magufuli has directed all fuel stations across the country to install electronic fiscal devices (EFDs) within two weeks or risk losing their licences.

“It’s better we lack fuel rather than to have traders, who evade taxes…I am giving operators of fuel stations 14 days to install electronic fiscal devices, otherwise they will lose their licences,” said President Magufuli.

He issued the directive during the inauguration of the 154km Kagoma-Biharamulo-Lusahunga road that cost Tsh190 billion ($85m) in the northwestern region.

Earlier this month, several filling stations in the country were closed by the Tanzania Revenue Authority (TRA) for failing to issue EFD receipts.

This follows the government new measures to curb tax evasion to boost its domestic revenues. When President Magufuli took office in 2015, he launched a crackdown on corruption and tax evasion that has seen dozens of senior government officials, including those in TRA, lose their jobs.

Since the beginning of the current financial year, 2017/2018, which begins in July, TRA has been clamping down on fuel stations that are yet to install the EFDs.

Last week, the Minister of Finance and Planning, Dr Philip Mpango, closed a fuel station in Kigamboni, a district in Dar es Salaam, in what appeared to be the start of a nationwide inspection.

Last Thursday, TRA commissioner-general Charles Kichere led his officers in inspecting filling stations in the capital city and closed down a number of them.

Motorists, fearing fuel shortage as a result of the crackdown, have been appealing to the government for more time for the filling stations to install the EFDs.

According to TRA, the electronic fiscal device is a machine designed for use in business for efficient management controls in areas of sales analysis and stock control system and which conforms to the requirements specified by the laws.