Resources

Embarking on a new investment in Tanzania comes with exciting opportunities—and a clear set of steps to unlock government-backed benefits. The Tanzania Investment Centre (TIC) Certificate of Incentives offers tax breaks, customs exemptions, and other advantages designed to boost your project’s success. Whether you’re launching your first venture or expanding an existing business, this guide will walk you through the essential application procedures. By following each step carefully, you’ll position your project for smooth approval and maximum support from Tanzanian authorities. Let’s dive in. Here are the 9 key steps to apply for your TIC Certificate of Incentives: Project Business Plan or  feasibility study Clarity, Alignment, and Financial Accuracy are Key When applying for a Certificate of Incentives through the Tanzania Investment Centre (TIC), the cornerstone of your application is a solid Project Business Plan or Feasibility Study. It’s crucial to understand that TIC registers individual projects, not entire companies. That means a single company can register multiple projects with TIC, and each project must stand on its own with its own documentation and projections. What Should the Business Plan or Feasibility Study Include? Your plan should present a comprehensive picture of the proposed investment, clearly outlining: Project description and objectives Market analysis and potential for growth Investment cost breakdown and sources of funding Projected financials (Cash flow, Income Statement, Balance Sheet) Job creation numbers and employment structure Timeline for implementation Risk analysis and mitigation strategies Expected returns and long-term sustainability What is TIC Looking For? TIC assesses your project based on alignment and viability. The financial projections must align with: The number of jobs you expect to create The investment amount you claim The sector-specific benchmarks The timeline and implementation strategy Any inconsistencies or unrealistic assumptions may raise red flags and delay approval. You Need a Financial Expert Creating the financial projections in your plan is not just about filling in numbers — it requires financial accuracy and strategic alignment. That’s why it’s essential to engage a qualified accountant or financial expert to prepare this section. Misaligned or incorrect figures can lead to rejection or additional scrutiny. While aspects like market research and sector analysis can be supported by other professionals, the financial model must be built by someone who understands how all parts of the project tie together financially.   2. Completed TIC Application Form Formalizing Your Project with the Right Information Once your project business plan or feasibility study is ready, the next step is to fill out the Tanzania Investment Centre (TIC) Application Form. This document is the official request to register your project and initiate the process of obtaining the Certificate of Incentives. What the Form Covers: The application form gathers essential project details, including: Name of the company and registration details Project title and description Sector and sub-sector of the project Estimated capital investment Planned number of employees (local and foreign) Implementation timeline Location of the project Contact details of the project promoters or directors Why It Matters: This form sets the tone for your registration. It must match the details provided in your business plan, especially the financial figures, employment numbers, and timelines. Inconsistencies between the form and the business plan may cause delays or rejection of the application. Company objectives – showing that the nature of your project falls within your approved business activities Details of shareholders and shareholding structure Powers and responsibilities of directors Rules on decision-making, profit distribution, and company management   3. Company Memorandum and Articles of Association Defining the Legal Framework Behind Your Project Since TIC registers projects and not companies, they still need to confirm that the company behind the project is legally set up to implement and manage that project. Your MEMARTs must clearly demonstrate that the proposed investment falls within your registered objectives. For example, if you’re registering an agro-processing project, your MEMARTs must state that your company is authorized to engage in agriculture, manufacturing, or processing activities. Key Considerations: If your current MEMARTs do not align with your new project, you may need to amend them before submission. For joint ventures or partnerships, the shareholding and roles must be clearly defined. The document must be signed and certified as part of your submission.   4. Certificate of Incorporation Proof of Legal Existence The Certificate of Incorporation is the official document issued by the Business Registrations and Licensing Agency (BRELA) or another recognized authority, confirming that your company is legally registered in Tanzania. Important Notes: The certificate must be up-to-date and legible. Foreign companies must ensure they have registered a Tanzanian branch or subsidiary, and the certificate must reflect this. Any name inconsistencies between the certificate, application form, and business plan can delay approval.   5. Evidence of Land Ownership or Lease Demonstrating Control Over Project Location For TIC to process and approve your investment project, you must provide evidence that you legally control the land or premises where the project will be implemented. This confirms the project’s feasibility and readiness for execution. What Is Accepted as Evidence: Title Deed – If the company owns the land Lease Agreement – With a minimum lease term of 3 years Letter of Offer or Allocation – For projects on government or industrial land, depending on the sector Right of Occupancy – Particularly for large agricultural or industrial projects Why It’s Important: TIC must be certain that your project has a fixed and secure location. Projects without proper land documentation are considered high risk or incomplete. Some incentives may also depend on the location of the project (e.g. strategic or underdeveloped areas). Special Note: If the land is not yet transferred to your company, ensure that at least a signed and valid lease or ownership agreement is submitted, along with a plan for formalization.   6. Evidence of Sufficient Financial Capital (Expanded) Demonstrating Financial Readiness and Reliability TIC evaluates your ability to implement and sustain the project by assessing your financial capacity. This is one of the most critical components of your application because a well-funded project

Navigating the VAT refund process might seem like a straightforward entitlement on paper, but in practice, it’s a highly technical and often time-consuming journey that demands precision, preparation, and persistent follow-up. Many businesses overlook the complexities until they’re caught in a cycle of delayed refunds, failed submissions, or outright rejections due to minor documentation errors. Claiming a refund isn’t just about filling out a form; it requires accurate and consistent filing of monthly VAT returns, maintaining a clean audit trail, and ensuring every claim is supported by proper EFD receipts or compliant tax invoices. Even after submitting a claim, businesses often face intense scrutiny from the revenue authority, including in-depth reviews or full audits aimed at validating the authenticity of the refund request.   Who Is Eligible for a VAT Refund? Not every VAT-registered business is automatically entitled to a refund — specific conditions must be met, and failing to meet just one of them can lead to rejection or significant delays. Generally, you may be eligible for a VAT refund if your input VAT (on purchases and expenses) exceeds your output VAT (on sales) within a particular tax period. This often happens with exporters, new businesses making large capital purchases, or companies operating on thin margins. In Tanzania, for instance, eligibility depends on several key criteria: You must be a registered VAT taxpayer with an active VAT certificate and a good compliance history. The excess VAT claim must meet the minimum threshold — typically TZS 10 million or more. (Refunds below this may not be processed unless under special conditions, such as business closure.) All monthly VAT returns must be filed on time and accurately, without missing periods or unexplained inconsistencies. You must have proper supporting documentation, including EFD-generated tax invoices and evidence of zero-rated sales if applicable (e.g., export declarations). The refund must be claimed within the legal time limit, generally within 3 years from the end of the tax period in which the excess credit arose. While the criteria sound straightforward, qualifying for a refund in practice demands careful attention to detail and proactive preparation. Many businesses fail to meet these conditions not because they don’t qualify — but because their paperwork, systems, or processes aren’t tight enough to satisfy revenue authority scrutiny. That’s why having expert guidance can be the difference between unlocking your VAT refund and watching it remain stuck in limbo.   Submitting the VAT Refund Claim Once you’ve confirmed eligibility, the next step is preparing and submitting the VAT refund claim — and this is where many businesses hit a wall. Submitting a VAT refund isn’t just a checkbox exercise; it’s a process that must be handled with strategic precision and a clear understanding of what the tax authority expects. In Tanzania, the process starts with filing your monthly VAT return through the TRA Online System. If your return reflects an excess input VAT balance above the minimum threshold (e.g., TZS 10 million), the system will automatically allow you to apply for a refund. However, the real work starts here — because TRA won’t approve anything based on the return alone. You’re required to prepare a comprehensive refund claim, which includes: A formal refund application through the online portal or at the relevant TRA office. A schedule of input and output tax — clearly showing how the refund amount was derived. Copies of all EFD receipts or electronic tax invoices supporting the input VAT. Export documentation (if applicable), such as customs declarations, shipping documents, and contracts. Certified bank details to facilitate the refund once approved. Any other documentation requested by the TRA officer reviewing your claim. Once submitted, your claim may be subjected to a desk audit or even a full field audit. This is a routine part of the process where TRA verifies the accuracy and validity of your claim, invoice-by-invoice. Any inconsistencies, missing documents, or unverified suppliers can cause delays or even rejection. This is why it’s essential to approach the submission process not just as a routine filing, but as a well-packaged case that can withstand scrutiny. A properly prepared VAT refund claim significantly reduces processing time, avoids unnecessary back-and-forth, and increases the chances of a smooth approval. For businesses that can’t afford to wait months for their money — this is the step that makes all the difference.   From Approval to Payment — What Happens Next Successfully submitting your VAT refund claim is only part of the journey. What follows can be a waiting game — unless you know how to stay on top of the process. Once your claim is submitted, the TRA will conduct a thorough review, which may involve follow-up queries, supporting document requests, or even a physical audit. If everything checks out and the claim is approved, the TRA will issue a VAT refund certificate confirming the amount to be refunded. From there, the payment is processed through the Exchequer system directly into your nominated bank account. While the ideal processing window is between 30 to 90 days, delays are common — especially if documents are missing or communication breaks down during the audit process. That’s why consistent follow-up with the TRA office is crucial. Businesses that remain proactive in monitoring their claim status often experience faster results than those who wait passively. But the process doesn’t end with payment. You are legally required to keep all VAT-related records for at least five years, including returns, invoices, EFD receipts, audit correspondence, and refund approvals. These records not only protect you during future audits but also form the foundation of any future refund claims you may file. Ultimately, claiming a VAT refund is not just about recovering excess tax — it’s about protecting your business’s cash flow, ensuring compliance, and building a reputation for financial transparency. With the right systems, support, and attention to detail, your VAT refund doesn’t have to remain stuck in the system. We’re here to help make sure you get back what you’re owed — and keep your operations running