Tanzania reinstates taxes on sanitary wear

Tanzania has reintroduced VAT on sanitary products. PHOTO | REUTERS

Tanzania has reintroduced value added tax on sanitary products after research showed that scrapping of the tax last year has not helped to lower consumer prices in the domestic market, according to Deputy Finance Minister Ashatu Kijaji.

“Instead of the anticipated outcome, domestic factories reduced production due to the tax factor, resulting in job losses,” Dr Kijaji told parliament while explaining the controversial reinstatement of the VAT in the 2019/2020 budget.